Insurance, properly utilized, is nothing
more than a pool of money to reimburse those that have a misfortune befall
them. The others simply get the emotional
protection for a loss that never occurs. In essence, therefore,
you hope to never use it.
EFM
Click to Buy it now!
Sample
Pages
No
Nonsense Finance eBook
LIFE INSURANCE AND ANNUITY EXPERT FOR LITIGATION
Irrevocable Life Insurance Trusts and Trustee
Fiduciary Duty
John Hancock ILIT Policy Analysis This is the real
life analysis that is referenced above.
A report describing the fallacies of knowledge and competency from planners
to B/D Firms, attorneys and arbitrators.
Factual and objective. It is based on this solid premise: If you do not
understand diversification by the numbers, you cannot determine risk. If
you cannot determine risk, you cannot determine suitability.
"I have asked Errold Moody to provide a brief example of what he has actually
found on behalf of a client who engaged his services to review the insurance
contracts which funded the client’s estate plan. You will be amazed.
In my 30 years in the business, I have never seen an authoritative, objective,
prudent expert speak so clearly on the use of insurance. What Errold
can do is unique in the industry."
Steven Winks
This page, as others, is continually growing and will probably contain
more objective material on the pros and CONS of insurance then you may see
anyplace else.
I have taught most of the continuing education courses in
California for insurance agents. And I have a Master of Science in Financial
Planning and am one of about 33 individuals licensed in the state as a Life
and Disability Insurance Analyst who is allowed to charge a fee for advice.
And the only CFP who ever passed the exam. Of all the issues I have
ever tackled, insurance is clearly the most difficult. That's primarily due
to the fact that, unlike mutual funds and the services like Morningstar and
Value Line, there is no independent company that rates the different policies
(remember Best, S&P, etc. rate the financial condition,
not the policies themselves.) So it has been a never ending
process of continuing education to enlighten myself as to what is going
on.
After considerable analysis, I believe that insurance should be bought
as insurance, investments as investments. Blending them together can work,
but you tend to lose benefits of both. That said however, cash value insurance
for some business purposes can be an acceptable element for planning
purposes. But you still have to look at the cheap (non investment)
policies first.
The following commentary will, for the most part, refer to individual
and family purposes. As with everything I write, never do anything based
solely on the material. Laws may have changed, I may have made a mistake,
or there are new perspectives on the issues. Make sure you
DO YOUR HOMEWORK!
The list below includes all articles and specific links in
alphabetical order with accompanying description. The listings in the column
to the right are separate sections for articles and links
THE 2002 CONSUMER'S GUIDE TO CHEAP, GUARANTEED
PERMANENT LIFE INSURANCE: Confused about the various types
of whole, universal and variable life policies that are almost indecipherable?
And where there are no guarantees? Insurance should be bought for insurance-
any investment elements ratchet up the costs and restrict policy uses later
on. And you are also at the mercy of lower interest rates and higher company
expenses and mortality rates in the future- perhaps 40 to 50 years later.
The purchase of insurance should be to limit risk- not to increase
it. So here is a straight forward article on the use of permanent insurance
that could solve many personal and business needs at a reduced cost
that is also GUARANTEED to age 130.
403(b) LINK All sorts of info
on 403(b)'s including upcoming legislation
ACCELERATED
DEATH BENEFIT LINK: There were 39.9 million individual policies or group
certificates that included an accelerated death benefit (ADB) as of December
31, 1997, compared with 18.1 million in 1994.
ACTUARY LINK 1: Huge database
and articles on life, health, mortality, morbidity and more.
ACTUARY LINK 2: Includes
many well researched articles from the American Academy of Actuaries on subjects
such as social security, long term care, pensions, Medicare, etc.
AM BEST RATING LINK: AM
Best has been a leader in the independent ratings of insurance companies.
There are others of course and they are also referenced in the material below-
S&P, Moody's and Duffs and Phelps for example. I would first look to
a Best rating and then add in one of the other resources to
corroborate.
AMERICANS WITH
DISABILITIES ACT LINK
ANNUITIES: This is a full text on annuities
that cover tax deferral, ultimate taxation, fixed and variable policies,
ratings, surrender charges, bailout options, fees, payout and lots
more.
ANNUITY AND INSURANCE
CREDITOR PROTECTION LINK: Extensive article on protection available on
a state by state basis. Very comprehensive. Click "By Topic", then "Trusts
and Estates and Wealth Preservation " and finally "Creditor Protection for
Life Insurance and Annuities. Worth the hassle
ANNUITY NEGATIVES: This definitive article
addresses several negative issues with the use of annuities: dismal return
during payouts- even lower for some races, lack of access to principal, insurance
scams, etc. etc. It will radically alter the thinking of annuities as either
safe investments or for use during retirement. THIS IS A MAJOR ARTICLE ON
THE VALUE OF ANNUITY PAYOUTS. IF IT DOESN'T NECESSARILY RELATE TO YOUR
AGE AND ACTIVITIES, IT MIGHT VERY WELL APPLY TO YOUR PARENTS OR GRANDPARENTS
WHO WILL UNDOUBTEDLY BE OFFERED AN ANNUITY SOMETIME IN THE LIVES. READ
IT!!
APPLICABLE FEDERAL
RATES LINK: You must use an interest rate in the calculation of annuities,
reversionary interests, life estates, etc.- but you can't use just anything.
You are subject to the movement of rates in the economy and as stated by
an AFR- Applicable Federal Rate for the month of use (slight
variations.)
ADVISERS: A critical article about
the selection of a life insurance adviser. Almost all people do this wrong
and select agents with little experience or education or those with literally
no experience or education- worse yet, don't even have an interest in doing
the analysis correctly.
AUTO
INSURANCE
LINK 1:
This site at the Insurance Information Institute provides extensive info
on a variety of insurance topics
AUTOMOBILE STATE
MINIMUM LIABILITY LINK: Each state has different requirements when it
comes to auto insurance. In some places, you can't register a car without
showing proof of liability insurance. Other states use a kind of honor system
that doesn't require proof from drivers until they have accidents or tickets
on their records.
BONUS INTEREST: Have you been offered
a policy that pays extra interest up front? Any good? You may be
surprised.
BUSINESS INSURANCE
LINK: Home business, business interruption, insuring the life of
a key employee, professional liability insurance, commercial auto insurance
policy and much more.
CALIFORNIA BROKER
LINK: I have subscribed to this magazine for years. Every
so often I include articles as indicated above. But they include lots of
material on dental, vision and much more. Definitely worthwhile.
CALIFORNIA
EARTHQUAKE INSURANCE LINK: The rates are region-specific and reflect
coverage for homeowners (including mobile home owners), apartment or house
tenants, and condo owners.
CHARTBOOK
ON WORK AND DISABILITY LINK: U.S. info 1998. Great statistics
CLAIMS LINK: Lots of
info including Blood-Alcohol Calculator, Betterment/Depreciation Calculator,
Building Repair Cost Calculator, Coverage Analyzer/Business Torts, Coverage
Analyzer/Personal Injury, Floor Area Calculator and more
COBRA: Simple chart showing Cobra
coverages
COBRA LINK
1: If you are terminated from employment, you may continue health coverage
under the Consolidated Omnibus Budget Reconciliation Act of 1985. Federal
law does impose certain obligations on many employers to continue to provide
health care coverage in the event of a change of employment or job
status.
COBRA LINK 2:
This provides basic info as well as addresses and telephone numbers of
each state since "many states have adopted their own "mini-COBRA" laws that
often grant broader rights in determining eligibility."
COMMERCIAL UMBRELLA LIABILITY POLICY
LINK: A pdf sample policy
CROSS
PURCHASE BUY SELL AGREEMENT LINK: Lincoln Benefit
CRUMMEY POWER: Applicable primarily to
those using an irrevocable life insurance trust. Shows some of the basics
of getting present value gifts to a trustee.
DEFERRED ANNUITY
QUOTE LINK: This is a Berkshire Hathaway site but the reason I picked
it was that it will actually show you the yield you will get on the annuity.
You need this and a financial calculator to do the same thing with other
annuities to see if you are getting a good deal.
DEFERRED
COMPENSATION LINK
DEMUTUALIZATION LINK
Demutualization is the process of converting a mutual insurance company to
a stock company. Mutual insurers are abandoning their mutual status to go
public or "demutualize". This requires approval from policyholders. Management
and directors say reorganization is necessary to enable the company to grow,
gain greater access to capital and to attract the best qualified
employees.
DENTAL INSURANCE SURVEY LINK:
A professional survey from California Broker. This goes to their
front page where you will find a direct link.
DISABILITY: Simple table to determine
how much you need.
DISABILITY
CLAIMS LINK: A lengthy pdf professional article on claims procedures
internationally.
DISABILITY
INFORMATION AND PRODUCT LINK: Huge source or info on all sorts of disability
issues- medicines, lifts, clothing, ramps and much much more. Highly
recommended.
DISABILITY
GLOSSARY LINK : Another good effort by Insure.com. Believe me,
disability insurance is tough
DISABILITY INSURANCE:
Concise article by William Brownlie
DISABILITY
INSURANCE LINK: The basics of long term disability insurance
DISABILITY
LINK 1 : This site by the Health Insurance Association of
America provides many consumer guides to long term care, health insurance,
medicare, and has a very good article on disability insurance for the consumer.
DISABILITY LINK 2: site
from the government. The Web portal provides Americans with disabilities
- and their families, employers and service providers - with one-stop access
to information and programs that facilitate their day-to-day living.
DISABILITY
INSURANCE CALCULATOR LINK: Met LIfe
DISABILITY
PLANNING - ( MetLife) "more than half of full-time employees have not
done any specific planning for their financial security and protection in
the event of a disability." Sounds like a need waiting to be filled.
DISABILITY
INSURANCE QUESTIONS LINK: Basic questions answered by
attorneys.
DISABILITY
RESOURCES LINK: The Family Village is a a global community that
integrates information, resources, and communication opportunities on the
Internet for persons with cognitive and other disabilities, for their families,
and for those that provide them services and support. It includes informational
resources on specific diagnoses, communication connections, adaptive products
and technology,adaptive recreational activities, education, worship, health
issues, disability-related media and literature, and much, much more!
DISABILITY STATISTICS
LINK: The Chartbook on Work and Disability 1998, is an exceptional
reference on work and disability in the United States population, created
for use by both nontechnical and technical audiences. The book is a resource
for agencies, employers, organizations, policymakers, researchers and others
concerned with the relationship between disability and work
DISABILITY
STATISTICS LINK 2: Good charts for small business owners.
DISABILITY STATISTICS and
ARTICLES: What are the odds of becoming disabled, getting better, recent
changes in policy coverage and lots more. As with most other commentary,
this is continually updated.
DOL LINK:
Department of Labor state map for job placement and referrals,
unemployment insurance, disability insurance, employment and training, labor
market information, payroll taxes
EARTHQUAKE INSURANCE: Commentary on
what you should look for and how it works.
EARTHQUAKE INSURANCE
LINK: The EQE International's HomeRisk website is where California homeowners
can obtain an online earthquake risk assessment. The assessments provide
an EQE Seismic Risk Rating- low, average, high risk- for an individual structure
and represents a measure of "earthquake fitness" for that building type at
the shaking intensity expected on the soil mapped at that site, and at the
specific distance of the site from the known active faults in the
vicinity.
ENTITY
PURCHASE BUY SELL AGREEMENT LINK
EQUITY INDEXED ANNUITIES: Commentary, charts,
pictures of my cat
EIA INDEX CREDIT
METHOD RATING SERVICE LINK Great!!!!!!!
EQUITY INDEX ANNUITY LINK: These
have limited applicability, but the site provides a lot of info on what is
going on in the industry.
EXCHANGING
LIFE INSURANCE POLICIES LINK: These are the warnings for
switching variable policies. However, it is valid for most exchanges of insurance
policies.
EXECUTIVE
BONUS ARRANGEMENTS LINK
FEDERAL EMERGENCY MANAGEMENT AGENCY
LINK: FEMA has some good material on disaster preparation, mitigation,
up to date info on hurricanes and a lot more.
FINANCE, INSURANCE,
and REAL ESTATE LINKS:
The finance department of Louisiana State University has provided
an exceptional list of links to all sorts of investment areas. Good
Stuff
FITCH INSURANCE RATINGS LINK:
Similar to S&P, Moody's
FLOOD INSURANCE: Many people mistakenly
think that a homeowner's policy covers for flood damage. WRONG! Lots of other
comments including approximate policy premiums.
FLOOD INSURANCE LINK:
Good overview on many aspects of flood insurance.
GUARANTEED LIFE INSURANCE California
Broker
HEALTH
INSURANCE GLOSSARY: Very extensive
HEALTH PLAN BENEFITS
LINK: Use this comprehensive guide to find your rights to specific coverages.
Plus, see your rights regarding guaranteed-issue plans, pre-existing medical
conditions, and external grievance review panels.
HOMEOWNER'S CLAIMS
LINK: Good consumer's info on Where To Begin, What To Look Out
For, When To Settle and How To Protect Your Rights
HOMEOWNERS INSURANCE: Basic commentary
on what to look for including the different HO policies.
HOMEOWNERS
INSURANCE
LINK 1:
This site at the Insurance Information Institute provides the 15 questions
that homeowners ask claims adjusters regarding the standard homeowners policy
coverage. Starts with auto insurance and contains many other subjects as
well.
HOMEOWNER'S
INSURANCE LINK 2: A consumer's guide by the State of Wisconsin Office
of the Commissioner of Insurance. Very extensive and worth the review.
HOMEOWNERS
INSURANCE LINK 3: from National Underwriter
HOMEOWNERS
INSURANCE ENDORSEMENTS LINK: from National Underwriter
HOW MUCH LIFE INSURANCE: Almost all agents
use pre programed computer programs to show you how much insurance you need.
But I have actually found some software programs to be in error and others
using completely erroneous economic factors. Further, few agents have ever
been taught how to determine the numbers manually- and it probably wouldn't
make that much difference anyway since they MUST be able to use a financial
calculator (HP12C) to do the present value
calculations. You should NEVER use an life insurance agent, stock broker,
financial planner, attorney, etc. for any aspect of finances unless they
have complete proficiency with a financial calculator. Now that I got that
off my chest, take a look a how you actually determine the amount of insurance
you may need.
IMMEDIATE ANNUITY
QUOTE LINK - This is a Berkshire Hathaway site but the reason I picked
it was that it will actually show you the yield you will get on the annuity.
You need this and a financial calculator to do the same thing with other
annuities to see if you are getting a good deal.
IMPAIRED ANNUITIES: I'm not
wild about annuities for many reasons, but if you are not in the best of
health and still want to use one, you should look at these. They use a shorter
actuarial lifetime.
IMPAIRED RISK: If you have a past
medical history, can you still get insurance? Yes and here are some
comments.
IMPAIRED RISK INSURANCE LINK:
You can get insurance almost regardless of your condition- though it costs
a lot more (obviously). This commercial site gives some good information
on what may be covered and how. Just one thing first- if you are an impaired
risk, DO NOT go around to standard carriers hoping to get "lucky" with them
They almost universally will decline the policy- and that raises a red
flag to subsequent insurers. Or if you try and shop it with a bunch of rated
insurers. There aren't that many reinsurers and they don't like getting jerked
around with someone looking for the "best rates". They might simply decline.
Pay attention here if you need insurance and have a medical condition such
as diabetes, depression, high carbohydrate level, etc. Get an agent and company
experienced in rated policies and use them exclusively. (See Impaired Risk
above)
INDEX ANNUITIES: Life
insurance/annuity companies try to find every way to make a sale. Fixed annuities
are conservative but don't earn much. Pure variable annuities take a lot
more risk. So the companies came up with an annuity that is coupled with
the S&P 500 index. Any good? Probably not. Read this article and decide
for yourself what you need to ask.
INTERNATIONAL CENTER FOR DISABILITY
LINK
INSURANCE LINK: Lots
of valid material from Insurance Advisor. Mostly for those in the
business.
INSURANCE LINKS: An
extensive collection of national and international links covering all types
of insurance matters including securitization, health, property and
casualty, demutualization, etc.
INSURANCE ADJUSTER LINK: When
you have a major property loss, you may need help in filing a claim. Independent
public insurance adjusters work for you to "help you with preparation of
inventories, estimates and other factual proofs of loss". Give this serious
consideration.
INSURANCE ARTICLES AND COMMENTARY:
Miscellaneous review of various insurance issues in the news.
INSURANCE COMPANY
CLAIMS NUMBERS LINK: Another valuable resource from Insure.com and
very beneficial when you or a loved one has a claim.
INSURANCE COMPANY
PHONE NUMBERS LINK: Literally all the companies in the U.S. Huge
list
INSURANCE CONTINUING EDUCATION
LINK: This is a private site that sells continuing education courses
for each state. But the reason it is a link is that you can put in any of
the 50 states and find what the individual state continuing education
requirements are. You may never use it, but the links at this site are for
my benefit to readily refer back to issues I find important.
INSURANCE DIRECTORY
LINK: This is a large site that has a lot of paid company listings.
But it also has links to organizations- like actuaries- where you can get
to some very detailed studies.
INSURANCE
FIDUCIARY DUTY LINK: By Glen Daily
INSURANCE FRAUD LINK:
An independent, nonprofit organization of consumers, government
agencies, and insurers dedicated to combating all forms of insurance fraud
through public information and advocacy.
INSURANCE
GLOSSARY LINK 1: Good extensive definitions on many areas of insurance.
Best I have seen so far
INSURANCE
GLOSSARY LINK 2: Covers Annuity Terms, Auto Insurance, General Insurance,
Health Insurance, Legal Terms, Liability, Life Insurance, Property Insurance
and Workers Compensation
INSURANCE GLOSSARY
LINK 3: From Tony Steuer
INSURANCE
GLOSSARY LINK 4: Definitions for (gasp!) insurance
INSURANCE
GLOSSARY LINK 5: Very extensive
INSURANCE
GLOSSARIES LINK 6: Many glossaries
INSURANCE
GLOSSARY LINK 7: From the Berkshire Company
INSURANCE
GLOSSARY LINK by Barry Flagg
INSURANCE GRIPE LINK: They
gather complaint information from you based upon your responses to our questions,
and then prepare a "free" letter which you review. If the letter is acceptable
to you, you can mail it to the insurance department within your state.
INSURANCE IN A TRUST: Trust
owned life insurance will create a significant fiduciary exposure and liability
for the unknowledgeable trustee. How are they doing so far?
INSURANCE
LAW LINK: Federal statutes regarding crop and flood damage, new insurance
cases, state statutes and much more.
INSURANCE
MEDICINE LINK: From MIB Inc and includes issues on aging, health
and more. Highly recommended.
INSURANCE NEWS NETWORK LINK:
Good general comments, links to other sites including those offering
quotes on the Internet. But be careful of marketing claims by any company
no matter where you hear about them- the Internet, newspaper ads, mail, agents,
your mama. Even with no load products or those without commissions, most
people still end up buying insurance that cost far too much compared to what
they should have bought. Let's be careful out there.
INSURANCE OVERVIEW
LINK: Concise article covering many elements of insurance- insurable
interest, claims, bad faith, homeowners and renters insurance. Looks like
a good primer.
INSURANCE POLICY
LINK: An In-Depth Analysis of One Participating Whole Life Insurance
Policy by Rich Franzen. Interesting. Take a look
INSURANCE
PREMIUM QUOTE LINK: While this is just a California Department
of Insurance site, it is great. Put in the data for long term care, auto,
homeowners, title, Medicare and Workers Comp and get quotes from the major
companies. You still have to contact them directly for personalized numbers,
but it may be a great time saver overall- even for people not in CA.
INSURANCE PROBLEMS LINK:
State by state issues consumers should be aware of.
INSURANCE RATINGS
LINK1: Direct link to ratings by S&P and Duff and
Phelps on the largest insurers in the U.S. But do not be misled. Simply because
it is big is no guarantee of good policies or competent agents. Look at what
has happened to Prudential, Metropolitan, New York Life. You need to do a
lot more homework than just check ratings, but this is a start.
INSURANCE RATINGS LINK
2: This is the site for Moody's insurance ratings. The ratings
are provided under different requirements than S&P and Duff and
Phelps.
INSURANCE REGULATORS
MAP LINK: Just click on your individual state to get the info you
need.
INSURANCE SUITS AND SETTLEMENTS
LINK:
INTERNATIONAL
INSURANCE LINK: Facts on literally every country; rankings, profiles,
etc. Very extensive
KEY
PERSON LIFE INSURANCE LINK/
LIFE EXPECTANCY: If you
are 45, how long do you have to live? How about age 65 or 75 or even 85.
You must know these numbers in order to do estate, insurance/annuities or
retirement planning.
LIFE
EXPECTANCY LINK The above site requires printing out a form and does
not provide an on line answer- though it is very descriptive. This site is
not as definitive but allows you to plug in answers and get a result. You
should try it.
LIFE
INSURANCE ADVISER LINK: A fee site that provides insurance analysis
LIFE
INSURANCE CALCULATOR LINK 1
LIFE
INSURANCE CALCULATOR 2 Met Life- Covers some items I don't necessarily
agree with, but it's free. And no one will call.
LIFE EXPECTANCY CALCULATOR
LINK
LIFE INSURANCE
DUE DILIGENCE LINK: By JJ McNab
LIFE INSURANCE
ESTIMATOR LINK : I don't like the simplistic 5 or 7 times income since
they don't reflect the individual needs. This estimator is not prefect but
is better than most.
LIFE INSURANCE
GLOSSARY LINK: From the Insurance Adviser.
LIFE INSURANCE POLICY LOCATOR
LINK: : An invaluable service. The Medical Insurance Board has a Policy
Locator that can maximize your opportunity to discover life insurance benefits
you may not have realized existed.
The decedent's name is searched against a Policy Locator database
of over 110 million records representing inquiries submitted on individually
underwritten life insurance applications processed during the last nine
years.
LIFE
INSURANCE WORKSHEET LINK: From Weiss- Not perfect since it does
not incorporate PV. But it's better than most
LIFE SETTLEMENTS
LITIGATION:
This report took over a year and addresses an egregious
wrong by a highly marketed CFP.
MANAGED CARE QUESTIONNAIRE: Kate Kincaid
is the Editor in Chief for California Broker magazine. Beyond that, and most
importantly, is the fact that she is an excellent and knowledgeable writer
on complicated issues. This questionnaire is must reading.
MEDICAL EXAM
LINK: Why life insurance companies request one and what goes on
in the underwriting stages.
MEDICAL INFORMATION BUREAU: Want
to know why an insurance company may find out your fibs on a policy submission?
Because prior illnesses end up on the MIB computer.
MEDICAL INSURANCE
BOARD LINK: The MIB's traditional role within the insurance industry
is to operate a confidential interchange of information that is significant
to health or longevity as an alert to detect and deter fraud.
MEDICAL SAVINGS
ACCOUNT LINK: An extensive review with questions and answers about the
viability of MSA accounts. Essentially, you buy a LOW premium HIGH deductible
health policy PRE tax. If you don't use the premiums that year, they can
grow for retirement.
MEDICARE HMO LINK: This
site can help answer questions about managed care, selection of a Medicare
HMO along with individual state regulations and more. I would certainly recommend
this to anyone retiring who has questions about whether to join and HMO or
to take Medicare and use a Medigap policy.
MEDICARE
SUPPLEMENTAL QUOTE LINK: The site allows you to get quotes in any state
on any type plan. You still have to do some more homework but it is an excellent
place to start.
MEDIGAP PLANS: Only 10
(essentially) are allowed to be sold throughout the U.S. This article will
help explain some differences and give additional insight to some
problems.
MEC- MODIFIED ENDOWMENT CONTRACTS VERSUS ANNUITIES:
Real life example where an annuity is a very bad purchase.
MOLD LINK: One of the more
important issues about which the insurance industry is concerned involves
toxic mold and how it relates to both personal and commercial lines insurance
policies. Some analysts are making the analogy that mold could be the next
asbestos.
MONTE
CARLO AND VARIABLE LIFE LINK
NATIONAL ASSOCIATION OF INSURANCE
COMMISSIONERS LINK: This organization provides a critical and objective
overview to the insurance industry and is responsible for many changes in
laws, financial reporting. Not a link for many consumer issues, it still
is an excellent resource for what is going on in the industry.
NATIONAL
ASSOCIATION OF INSURANCE COMMISSIONERS ON LINE FRAUD REPORTING LINK:.
Recent allegations concerning inappropriate insurance broker activity, has
created an increased awareness for state insurance departments to enhance
their collection of information from consumers, insurance producers and employees
of insurers concerning alleged violations of insurance laws and regulations.
From this page, you can report suspected fraud.
NEW AND PROPOSED REGULATIONS:The industry
has been under intense scrutiny and many states and organizations have suggested
or are currently implementing changes. You'll see a lot more of this coupled
with more agents leaving the business.
PENSION MAXIMIZATION: This has been
pushed to corporate retirees to take a single life annuity and buy insurance
to offset what would have been paid on a joint life annuity. Form allows
you to figure it out. But I'd still be very careful and ask a lot of questions.
Caution advised since spouse could lose other benefits. Don't do this (or
most anything else I may comment upon) without getting second opinion.
PREFERRED OR STANDARD: Many insurance
policies are submitted quoting you as a preferred rating (usually the best
of health providing the lowest rates). Then, after review, the contract comes
back with a standard (lower) rating and much higher premiums. Look at this
to see how your health might stack up to an underwriter and help you avoid
surprises. Recognize, however, that each company has its own unique underwriting
standards.
PREMIUM FINANCING:
Michael Gallop
PROPERTY
INSURANCE: Code upgrades, use of Public Adjuster, more
PROPERTY AND CASUALTY
GLOSSARY LINK: An extensive and comprehensive explanation from alienated
premises exclusion to valet parking services
PROPERTY/CASUALTY INFORMATION LINK:
This goes to the Insurance Services Office (ISO) which provides some
excellent statistical data on the risks of property and casualty losses.
It also provides links to just about all the other major insurance sites
so I suggest you take a look if you are reviewing your risks and thinking
of buying a policy.
PUBLIC ADJUSTER LINK: When you need
help with a property insurance claim, an independent adjuster may provide
the help you need.
RENTERS
INSURANCE LINK: Basic info from the Ohio Insurance Department
RISK MANAGEMENT/INSURANCE SEARCH
LINK
SALARY
CONTINUATION PLAN LINK:
SECOND TO DIE INSURANCE: This
has been pushed a lot EVERYWHERE as the way to pay estate taxes. I don't
necessarily agree since it tends to represent bad estate planning. So look
at these examples and judge for yourself.
SMALL BUSINESS
INSURANCE LINK: A site for selecting the right insurance for a small
business.
SPLIT
DOLLAR LINK
SPLIT AND REVERSE SPLIT DOLLAR INSURANCE:
Used a lot for business purposes. General comments
STATE GUARANTY
LAWS LINK: Also see
http://www.fsdfinancial.com/State%20Guarantee%20Associations.htm (My software
does not like the code.)
STATE HEALTH BENEFITS
LINK: Identifies specific coverages and rights regarding
guaranteed-issue plans, pre-existing medical conditions, and external grievance
review panels. More
STATE
HEALTH INSURANCE ASSISTANCE PROGRAMS LINK:
STATE INSURANCE LINK:
Direct link to all sorts of statistical insurance info on any state.
You will also be able to get to any state's own WEB page
STATE INSURANCE
INTEREST LAWS LINK:
STATE INSURANCE
REGULATORS LINK:
STATE
INSURANCE STATUTES LINK: Directory of State Insurance laws and
statutes.
STATE
WORKERS COMP LINK: Simply by clicking your individual state, you can
get state specific info. Was looking into this most recently- hence the link.
Saves a lot of time in research by using this.
SUPPLEMENTAL
RETIREMENT INCOME LINK
SURVIVOR OPTIONS: Payouts options
for survivors and, from my standpoint, normally not advisable. But look for
yourself.
TSA MAXIMUM EXCLUSION
ALLOWANCE LINK: Teachers and other non profit organizations under
Section 403(b) and 501(c)3 are allowed to use pretax money and invest in
tax sheltered annuities (fixed or variable). There is a special formula to
determine how much they can put away. Unfortunately all the annuity companies
seemed to come up with different numbers. Anyway, this is an online computerized
form that "might" be correct.
TAX TREATMENT OF INSURANCE and PREMIUMS: Short
table showing when premiums may be deductible. And what happens when
you die and the insurance is paid to others. YOU'LL BE SURPRISED!
TERM INSURANCE SURVEY LINK
A professional survey from California Broker. This goes to their front page
where you will find a direct link.
TRUST
OWNED LIFE INSURANCE LINK: Fiduciary pitfalls- good article. between
70% and 95% of ILIT policies have no servicing agent, 83.5% of professional
ILIT trustees have no guidelines or procedures for handling trust policies,
and 71% of nonprofessional trustees have not even reviewed their policies
within the last five years.
TRUST OWNED LIFE INSURANCE, IS
IT AN ACCIDENT WAITING TO HAPPEN: Great article by Mark Teitelbaum
on the breach of fiduciary duty in the review of life insurance.
UNDERWRITER
LINK: Commentary and articles on the underwriting of certain risks including
breast cancer, depression, Parkinson's, colon cancer, etc.
UNDERWRITING LINK:
Extensive database of professional articles on many insurance
subjects.
UNIFIED RATES FOR ESTATE AND
GIFT TAX: Generally, if you leave more than $1,000,000 when you die,
anything above that starts getting taxed at 41%. This clearly makes the case
for proper estate planning
VARIABLE ANNUITY
ABUSES LINK: prepared for the North American Securities Administrators
Association by JJ McNab
VARIABLE ANNUITY
LINK: The SEC's description and commentary. Needs more but it is an
acceptable start.
VARIABLE ANNUITIES VERSUS VARIABLE
LIFE VERSUS MUTUAL FUND INDEXING: Do you understand how each of these
will work considering basis, taxation, risk, fees? Bet you don't and here
are some examples to put them into perspective. Shows why some variable policies
might not work. Actually, now that the lower capital gains tax has been
implemented, very few people should buy variable life. And ask yourself this
if you do buy one. Will your beneficiaries ever see the full amount of the
insurance upon your death. NOPE! If you don't understand why, you got a LOT
of homework to do.
VIATICAL COMMENTARY: . Here is a AAUL
Bulletin by four attorneys that might put the sophistication, taxation,
fraudulent offerings, etc. into a more intensive perspective. Don't
buy these by yourself- or certainly let your father/mother/grandparents get
involved without outside scrutiny. Also includes some updated
statistics.
VIATICAL GLOSSARY
LINK:
VIATICAL INFORMATION LINK:
A non profit organization provides insight.
VIATICAL
QUESTION LINK: The Consumer Reports commentary
VIATICAL SETTLEMENT LINK
: This site by viatical author Gloria Wolk provides some good insight
to the various settlements along with the risks and warnings for people
that do not do their homework. This is an involved area during the end of
life that requires careful review before utilization.
VIATICAL
STATE REGULATION LINK: Viatical sales of life insurance policies
for the terminally ill (and otherwise in certain cases) has led to tremendous
abuses. Here is a list showing whether or not a state is regulating such
sales. Many don't and you are therefore put at extensive risk. Even for those
states that supposedly have rules, I'd still suggest hiring outside help
to analyze.
WORKERS COMP
LINK 1: Good general description of workers comp from
Insure.com
WORKERS COMPENSATION
LINK 2: Includes a listing on all 50 states with statutes, forms, procedures
and more.
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