Having a family in Texas and needing life insurance

If you are single, living in Texas, and have no children, you many not need life insurance at this stage in your life. However, people who want to protect their family’s standard of living or who own a business should critically think about how much life insurance they should purchase.

One rule of thumb is to purchase life insurance equal to 5 to 10 times your annual salary. Quicken.com suggests that a better guide when figuring the amount is to focus on why you are buying the insurance.

The amount you need can be much less, depending on a number of factors, such as how much your spouse earns and how much you have saved.

To learn more about the fascinating growing trend of Premium Financing go to www.imprl.com

American Families at Risk with no life insurance

Numbers provided by LIMRA International:

28% of wives have no life insurance at all

Wives have an average of $147,800 of life insurance coverage

15% of husbands have no life insurance at all

Husbands have an average of $235,600 of life insurance coverage

The typical married couple would need to double its current coverage to meet the expert recommendation of having enough life insurance to replace income for 7 to 10 years.

Premium Financing’s Role in saving a family at risk

Insurance can be a very intelligent purchase, but it can also be costly. Out of convenience or economic necessity, many people finance their insurance premium. Before you decide to finance an insurance policy, you should understand how the process works. It is also important to compare costs, just as you would with any purchase. Even slight differences in the terms of the premium financing agreement can make a big difference to your financial bottom line.

Financing Life Insurance in Texas

Financing permanent life insurance premiums in Texas via third-party lenders is a marketing idea that promises relieving clients of having to pay their life insurance premiums. But whether premium financing makes sense for some of your clients will require some careful analysis.

Typically, targeted clients are buying life insurance associated with their estate planning, and therefore have substantial assets and are probably in their sixties or older. The life insurance policies are almost always owned by irrevocable trusts or similar entities. The marketers of life insurance or clients negotiate financing arrangements with lending institutions. This epidemic is growing widely in the State of Texas.

Finding the Best Premium Finance Company to Work With in California

There are a number of companies that provide premium financing for life insurance in the state of California.
Here are some things to consider when you are looking for a premium finance company in California.

• Look for insurance professionals with reliable experience and dependable credentials.
• You can search online or talk to a financial advisor to find one that you think will work for you.
• If someone offers you a payment or inducement to enter their program, the program is not justifiable.
• If the program requires that the policy is sold at the end of the finance term, it is not legal.
• If a percentage of the sale proceeds are kept by the financial institution or agent, the program is not lawful.
• If the insurance company is not told that the policy is being purchased through premium financing, the policy is unsound.

It is very important to consider all of these things when looking for a premium financing company to work with.

Benefiting from understanding life insurance as leverage

Few people consider the financial benefits of their own death. The majority of us focus on the financial benefits of being alive. As a result of this, few use the leverage that is available to them in terms of life insurance.

Those who do take the time to understand this concept can ass a substantial amount to their family’s net worth. These individuals understand the leverage that premium financing provides. By having someone else finance their premiums, they can leave their other assets to mature. This is how premium financing provides retained capital for those who take advantage of it.

Illinois premium financing trends

Premium financing is beginning to be a new technique and used to purchase life insurance. They are becoming a permanent fixture in this market place. Premium financing aids senior citizens in purchasing life insurance policies without having to employ any of their capital that is currently tied up in stocks, bonds or real estate.

Premium financing is a service which enables wealthy individuals, or their heirs, to secure a life insurance policy without liquidating their current assets. Potential benefits of this type of financing include cash-flow flexibility, tax savings, and wealth creation for the policy holder’s heirs.

For affluent senior obtaining a substantial amount of life insurance, premium financing is a valuable vehicle to use. Although premium financing has been used for many years, it is now starting to be recognized by a new wave of clients and financial advisors. For a while the concept of premium financing has been a bit of a mystery. But, once it is properly understood, this simple concept can be very useful.

For additional information check out www.imprl.com

The importance of life insurance

A number of people go through the majority of their lives before understanding what life insurance is all about and how important it really is. There are several reasons for this – the most common is that no one really informed them about it.

Life insurance is all about providing for the future in a way that your absence does not hurt your family members financially. For this you must first, as accurately as possible, estimate the value of your life. Once you have done that you must take a life insurance policy to give you an insurance cover equaling your human life value.

Premium Financing for seniors

Premium financing is beginning to be a new technique used to purchase life insurance. They are becoming a permanent fixture in this market place. Premium financing aids senior citizens in purchasing life insurance policies without having to employ any of their capital that is currently tied up in stocks, bonds or real estate.

Premium financing is a service which enables wealthy individuals, or their heirs, to secure a life insurance policy without liquidating their current assets. Potential benefits of this type of financing include cash-flow flexibility, tax savings, and wealth creation for the policy holder’s heirs.

For affluent senior obtaining a substantial amount of life insurance, premium financing is a valuable vehicle to use. Although premium financing has been used for many years, it is now starting to be recognized by a new wave of clients and financial advisors. For a while the concept of premium financing has been a bit of a mystery. But, once it is properly understood, this simple concept can be very useful.

New York premium financing

Life insurance premium financing is a tool, offered from a premium finance company, that an individual with substantial assets uses to cover the upfront costs and premium payments on a life insurance policy. Individuals often choose this course if they require a large amount of life insurance and do not want to pay the out-of-pocket costs. Premium financing makes the most sense when an individual wishes not to liquidate high yielding assets to cover the costs of a life insurance plan.

Premium financing in New York and throughout the country has become a very important topic in the insurance industry. Premium financing of life insurance is a way for high-net-worth individuals, especially the age of 55 and over, to obtain the life insurance coverage they need without having to divest high yielding assets.

Most premium financing policies require at least $2.0 million in net worth and $100,000 a year in net income. The person insured under the life insurance policy has the option after 24 months to pay off the loan and maintain the insurance policy or they can retire the policy in a life insurance settlement.

For more information and get your questions answered check out www.imprl.com

Life insurance numbers and percentages

These numbers are from the Life Insurance Marketing Research Association (LIMRA) published in the August 2006 Agent’s Sales Journal:

1. 29% – Americans who would like to discuss life insurance with a financial professional
2. 33% – Americans who say no one has approached them about life insurance coverage
3. 22% – Percentage of households that have no life insurance at all
4. 40% – American households that have life insurance but believe they don’t have enough
5. 70% – Agree it would be useful to periodically review their current life insurance policies
6. 25% – Feel they have not received any information about life insurance that relates to their needs
7. 75% – Households that do not have a personal life insurance agent or broker
8. 75% – Households that do not have a personal financial advisor or planner
9. 50% – Americans who admit they haven’t gotten around to buying a life insurance policy