My apologies in advance for a not so upbeat article today, however I felt the topic was too serious to ignore – life insurance. No joke, the absence of a life insurance policy could mean a life or death situation for your loved ones.
Before going any further, we must thank one of our clients, Lenny and Terry Robbins of LifeNet Insurance Solutions, for giving us some of the knowledge we needed to write this article. *Please note: We did not ask them to proofread this article, so any errors or discrepancies fall purely on our shoulders.
At Sutton Creative Studios we have seen/heard of too many deaths this past year. From our own family and friends to friends and family of our clients, the sudden death of a loved one can not only be heart breaking but debilitating, especially if you haven’t taken the time to set up a life insurance policy. Not only can life insurance cover your funeral expenses, it can assist your spouse and children with their living and education expenses even after the loss of your income.
REMEMBER: You may have had a life insurance policy when you were full-time employee working for somebody else, however as a small business owner you are responsible for setting up your policy. If you are the only one working on and in your business, you MUST think about AND set up your policy, for both your spouse and children. Think about it: Would your death put your immediate loved ones in a life or death situation?
Types of Life Insurance:
Term Life Insurance: Term life insurance covers you for a period of time, otherwise called a term. Starting at 10 years, you can purchase term life insurance in varying, incremental time blocks up to 30 years. The best pricing is obtained after a paramedic exam, which the insurance company uses to determine your state of health. Controlling your weight, handling your medical conditions well, being a non-smoker and minimizing hazardous activities (like sky-diving) will all reduce your threat to the insurance company and thus lower your premium.
Note: Once your term expires you will need to apply for another term life policy, which will probably have a higher premium because you are older.
Whole Life Insurance:
Whole life insurance covers you through your entire life. You still have a regular premium you must pay, however it is usually higher than the term premium because the life insurance company knows they will have to pay out. Whole life insurance policies can also accumulate cash value, which you can withdraw from for certain needs/occasions.
For more information about life insurance, I invite you to check out the LifeNet Insurance Solutions Blog. Licensed in multiple states, Lenny and Terry Robbins are independent agents with an extraordinary amount of knowledge about life insurance.
Kim Sutton is the Managing Partner and Chief Everything Officer of The Sutton Companies, including Sutton Strategic Solutions and Sutton Creative Studios. She is a graduate of The School of the Art Institute of Chicago where she earned her Bachelor’s Degree in Interior Architecture.
An avid reader and passionate learner, Kim is constantly researching, studying and developing business improvement strategies. When it comes to client work, Kim especially enjoys helping her clients develop innovative marketing strategies and sales funnels, particularly when they are using Infusionsoft to automate all the heavy lifting. To find out how you can further develop your company’s marketing and automation strategies schedule a 1-hour Business Boost Strategy Session by clicking here.
In her free-time, Kim cherishes the time she gets to spend with her husband, Dave (her business partner), and five children. She also enjoys reading, knitting, writing and playing video games.
Get a copy of Kim’s FREE guide, “10 Top Tools for Small Businesses” by clicking here.