One of the ways insurance professionals try to get people to sit up and take notice is to state a startling statistic. We find that’s not always the best approach.
Because people can easily explain away statistics with reasoning. We’ve found that real-life examples better connect emotionally with our audience, and as a result, are harder to ignore.
Today’s post shares real-life accounts of how life insurance saved two families, and the three lessons you can take away from their stories.
1) Make sure you’re truly covered: If you work for a company and you know you’re insured, you probably don’t give life insurance much thought. You figure, “My company will take care of everything”, right? Luckily for Alden Wicker, her mother shared the opposite viewpoint. Ms. Wicker’s parents were better off than most, with a solid income and an emergency fund of close to two years of her father’s salary. Her mother was in charge of the budget and inspected her husband’s employer-provided insurance coverage, which would pay out two times his $30,000 a year salary. She calculated their actual expenses to see how much they’d need if they had a crisis and realized it was significantly higher, so she took out two additional policies.
The Lesson: Never assume that your employer’s life insurance is enough to cover your needs. Sit down and make a list of your actual expenses (mortgage, rent, living expenses, etc.) and compare that total against how much coverage you receive.