LIVING 50 PLUS
SEPTEMBER 2020 C7
THE NORTH PLATTE TELEGRAPH
SENIOR LIVING | GARDENING
DON’T WAIT…FINAL EXPENSE
won’t get full face amount, you’ll get a portion of the face amount. For example, you bought a $10,000 policy and die in the first year, your family will get 110% of your money back. If you die in year 2, your family will get 220% of your premium back. By year 3 and after, your family would be paid out the full $10,000. The other type of policy is the “simplified issue” plan that does ask medical questions but are written to allow seniors with reasonable health to be covered. The monthly premiums will be lower than the guaranteed issue and full face value benefits are payable immediately with no waiting period required. The face value of these final expense policies are usually smaller than a traditional life insurance policy so if you thought you couldn’t afford a premium payment, think again. Most people are able to afford and qualify for final expense life insurance. Are you feeling motivated now? Clean out your “financial” drawer and get things in ship-shape in 2020. Give your family peace of mind, the inevitable is coming…. To schedule an appointment or consultation, just call Phares Financial at 308-532-3180 to schedule a complementary appointment with Rebecca. Just a reminder, the Phares Financial office has moved to 319 East B Street in North Platte.
fund to your current spouse, make sure that they are listed as the beneficiary. Also, make sure that any bank accounts that are “payable upon death” are designated to the right person. Those forms will trump a will. I have worked with several clients who still had their previous spouse listed on their beneficiary list. Finally, loss of a loved one is stressful enough without having to worry about final expenses hitting the family. Just because a family member passes away doesn’t mean that the credit card or electric bills stop coming. Funeral costs and travel expenses may easily reach over $10,000. There still may be medical bills left unpaid. According to Berkley, the estate is still going to owe the money. Planning ahead and providing for those expenses can give you peace of mind that your family will have some means to meet those expenses. Talk to your insurance agent to set up a final expense policy. These policies come in two flavors- guaranteed issue and simplified issue. These two types help insurers understand their level of risk and helps keep the rates low. “Guaranteed issue” policies turn down no one between the age of 50 and 80. No physical exam is needed but the costs are little higher due to the risk to the insurer as your health is unknown. Also, your policy’s face value benefits at death may be graduated. If you die within the first 2 years of the policy, you
the, “he promised me this” by including it in the will so there is no question who gets the “car or the favorite shotgun”. Also, talk with your attorney to see if you need to set up a trust. That may protect your estate from paying too much in fees. Why fritter away up to 10% of your assets in court costs if you just do a little planning ahead. Don’t forget to make a medical power of attorney and living will. Make your medical wishes known “in writing” ahead of that stressful time! The forms are available at your local hospital admissions office. In addition, get your records in order. Who wants to paw through someone else’s disorganized file cabinets or drawers. Add to that, the grief and stress of trying to find a will or life insurance or other evidence of estate planning. Keeping track of all your information and organizing it in a recognizable way is vital according to Clifford. “Write down your social security numbers, insurance policies, the name of the companies that you do business with, your brokerage accounts and where they are held, and account numbers and place it in a single drawer or file folder.” Don’t forget contact numbers for your attorney and insurance agent. Sharing the location of these records with your spouse or family members now would help when the situation happens. Have you checked your beneficiary designations lately? If you want to leave your life insurance or retirement
By Rebecca Nordquist, RD, MHA, CLTC
Procrastination may be forgiveable for young singles with no dependents but not for parents or seniors with family members. Putting off making your final arrangements can be devastating. According to attorney, Denis Clifford, “the biggest single mistake is avoiding the subject altogether”. “There are a couple reasons that people do that. For one, it’s not fun. Secondly, it’s procrastination caused by fear of thinking about your own mortality. “ Anyone with assets and a family to protect should start with a will. According to Benjamin Berkley, an attorney who specializes in estate planning, “a will is simply a letter of instruction appointing someone to be in charge of your estate to be distributed or divided”. In addition, it needs to be reviewed at least every 3 years to ensure it’s up to date. You can prevent fights between family members by designating who gets what. Eliminate
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