|Posted on 25 July, 2018 at 15:45|
Children’s Future Career Choices and their Impact on Insurances.
A few weeks back I helped a client in their mid-twenties apply for $600,000 of life insurance at a monthly premium of just under $30 a month.
This client is a licensed pilot, but currently doesn’t have all that many flying hours and is currently not working for a reputable company.
When the insurance company contacted us with their decision, my client was given two options:
He could continue with the $30 premiums but aviation would be excluded from the policy. This, of course, meant if he passed away while flying the insurance company would not pay the $600,000 benefit.
His other other option was that he could include the aviation benefit in the policy but his monthly premium would increase from $30 to over $200. Yes, you are reading that right - a rate nearly 7 times higher than initially applied for.
This is just one example of an occupation that hugely impacts peoples ability to get good life insurance coverage to protect themselves and their families well. Roofers, Farmers, Construction Workers,Truck Drivers, Firefighters, and Police Officers are just a few of the people with occupations that can cause premium increases or there may be exclusions on their insurance policies.
Many of us teach our kids that they can do whatever they want to, become whatever they want to become. The reality is some of these career decisions can have a major impact building a healthy financial plan and protecting our families when life doesn’t go as planned.
There are many great reasons to insure your children and the ability for your children to choose any career they want, become whatever they want to become, without it impacting their ability to get insurance is one of them. By insuring your children you have ensured that they have insurance coverage for life at a monthly premium that will not increase, giving them the ability to pursue any career opportunity that interests them without it impacting their ability to take care of their future families, if something unfortunate happens.
When your children become adults, you can transfer the insurance policy over to them and they become responsible for the policy. This way you do not have to worry about the policy any longer but you’ve ensured that no matter what your children choose to do with their life, they are insured, and taking care of the ones they love.
If you’d like to learn about the many benefits of insuring your children, We’d love to talk to you.