Personal Insurance Services
Income Replacement
There are only two ways to earn an income: (1) people at work, or (2) money at work. Life insurance simply steps in to replace income that is lost by one or both income earners in a family. Life insurance is the cheapest way to keep your family in the world that you have provided and helped create for them.
Without a correctly structured life insurance plan, your family may be forced to make decisions regarding their way of life at one of the hardest times a family could ever face. The decision to sell a home, relocate, change schools, and so on, should not have to be made during a time of mourning; however, without life insurance, this is often what happens. With a life insurance plan in place, these decisions can be made on the family's timetable, not a bank's or other financial institution's.
Mortgage Insurance
Mortgage insurance is nothing more than a life insurance policy that is structured to pay off the mortgage balance in full in the event of an unexpected death. The death benefit can be used for anything (unless otherwise noted in a trust) and can pay your mortgage off in full or with continued monthly mortgage payments. We can also add several other benefits, such as disability insurance, return of premium, critical illness coverage, and various others (contact us for a full list of available additional benefits).
College Planning
With the cost of college tuition rising every year, and 3% above the rate of inflation, planning for college today is a must! Whether you have a newborn or a senior in high school, you should be thinking about college planning. Different life insurance products can aid in paying tuition or simply help your family qualify for financial aid. We can show your family how to obtain $40,000 - $80,000 (tax-free) to help start their children(s) education while protecting the family against the loss of life that would potentially disrupt any college savings plan. To learn more about options for your specific situation, contact us today for a free consultation.
Estate Planning
The most significant tax is the federal estate tax. Depending on the size of one's taxable estate, the federal estate tax rate ranged from 41 to 49% in 2003 for all estates over $1 million. Under the 2001 Tax Act, the highest estate tax rate will gradually decrease until it reaches 45% in 2007.
The IRS allows a surviving spouse who is a U.S. citizen to receive an unlimited amount of property, free from federal estate tax; however, when your spouse dies, the remaining estate is subject to estate taxes. Federal estate taxes are due nine months after the death, and these taxes can absorb nearly 50% of your estate before even one dollar is passed to your heirs.
We can structure a plan that will provide the necessary funds for taxes and settlement costs, while leaving your personal and business assets intact. You can have the peace of mind of knowing that your heirs will receive the full legacy—not just a part of it—that you have spent a lifetime creating.