The stockings have been hung, candles lit, lights strung, and carols sung when the financial stress begins to peek behind the corners of brown paper packages tied up with string. Everything’s shiny and cozy but you can’t extinguish that tiny feeling that you went way over budget this holiday. You’re not alone; holidays are a particularly financially stressful time for many.
It is no secret that the typical American is working long hours with little respite compared to other countries with large economies. Full-time employees report an average work week of 47 hours and four out of 10 American workers say they work over 50 hours a week.
With the average life expectancy surpassing age 85, the number of people who will require some sort of assistance performing daily living functions can be expected to increase dramatically. Already one in three people age 65 and older will receive care in a nursing home or through a home caregiver. After age 74, there’s a 50% chance of needing assisted care.
An increasing number of people are starting to understand that their real risk exposure is not in the costs associated with repairing or replacing their car or home, rather it is in the far more costly liability risk. Yet, most people drastically underestimate their personal liability risks.
Critics of whole life insurance point to the higher premiums these plans require and the inflexibility of the payment schedule.
The annual meeting is rescheduled to sometime later this quarter and the family reunion is sometime next summer, but like certain holidays and your birthday you know you can always count on a few specific dates. It’s reassuring. One such day is Tax Day, AKA April 15. Yet, unlike a birthday this looming deadline tends to sneak up on you in the least enjoyable way.
With rates as low and competitive as they have ever been, it’s as close to a “buyers” market in life insurance as you’ll see. Still, in these cash-strapped times, curbing all costs and expenses is a priority for most people, and buying life insurance is no different.
Life is full of risks, and people make decisions everyday that require weighing those risks against their ability to protect themselves using their own resources or by transferring the risk to an insurance company. Most people realize that they couldn’t afford to rebuild a damaged home or buy a new car without insurance.