Tobin Insurance Services for life, medical, fire, general insurance

Life Insurance

Q:  When is the best time to buy Life insurance?
A:  Before you need it.

It never ceases to amaze me how many people think they will live forever.

Can you imagine one day walking out on your family in the morning heading to work never to return, without any warning? You would be leaving them in a state of shock once they realised you were never coming back and of course for most families or businesses, some sort of financial chaos.

Anyone who dies and leaves their family and/or business in the financial lurch is irresponsible in my view, there is no excuse for this. Whatever excuse you can come up with not to buy adequate life insurance, or to cancel your policy is going to sound ridiculous to your widow and family.

Not a lot of people die suddenly. Of the approximate 28,000 New Zealanders that die every year, around 93% die from an illness. That leaves 7% that die from accidents or other causes. Of that 7% that die from accidental causes, only about half die immediately. Conclusion; Kiwis die slowly over a period of time and that costs money in terms of treatment and lost income.

In a recent newspaper article it stated 48% of New Zealanders have life insurance compared to around 80% of Australians. That must make the Australians smarter because they know they will die someday and have taken some responsible steps to prepare financially for this event.

In a nut shell you want to have enough death cover to pay off any mortgage and other debts. If you are a couple or family and are renting while trying to save for a house deposit and mortgage, make sure you have enough life insurance cover to buy a house freehold, otherwise your partner will probably never be able to buy a house these days while paying rent on a single income.

Next decide what education expenses you need for children if applicable and what on going income the household will require and for how long? This is a very simple over view. I can sit down with you and plan exactly how much life cover you will need and provide competitive quotes from the market place.

How much Life Insurance do you need? Click here to view the printable calculator.

Factors affecting the premium will include, age, gender, smoking habits, current and past health, occupation, height to weight ratios and sometimes family health history.

You can choose from level premiums that do not increase with age or stepped premiums which are initially cheaper but increase on policy anniversary each year with your age.

A full disclosure of your health is a must when applying for Life Insurance and it is a good idea to get a copy of your GP Doctor's notes to have handy when completing an application for Life cover. You are entitled to a copy of your Doctors records so don't let some staff nurse or administrator in the GP office put you off getting these. Getting a copy of your doctor's notes is not the same as an insurance company writing to your doctor for a medical report based on disclosures in your application. If you fail to disclose a health issue or past investigation of some medical issue, you jeopardise any future claim payment. Completing your application is a most important part of the process in insuring your life as an insurance company will seek your lifetime medical records should a claim eventuate. As a qualified Chartered Life Underwriter I can help guide you with this application completing process and reduce the risk of non disclosure and subsequent claim declinature at a later date. Of course I can assist at claim time as well, to help ensure a satisfactory claims outcome with no hassle or delay.

One other important point to share with you. There are two forms of Life Insurance applications, one that asks just a few health questions and you can get pretty much instant cover, or over the phone covers. Be very careful of these types of applications because the underwriting is essentially done at claim time with these sorts of offers. You should complete the type of application that asks a lot of health questions about you and lets the full underwriting be done up front, there is much less risk of a claim being declined this way. This way, if there are to be any exclusions or premium loading you will be advised in advance and know where you stand. As a rule of thumb if the application seems a bit short and really easy to complete, this is a good indication the underwriting will be done at claim time which is much more risky.

Sitting down with a qualified Chartered Life Underwriter is the best and safest way to get the job done for you.

There is only one reason in the world why people buy Life Insurance, it is called LOVE. Buying adequate Life insurance on oneself is the most unselfish act anyone can do for their loved ones. Ask any person on their death bed if they are relieved that they bought Life cover. Through purchasing Life insurance on oneself, should you die prematurely, you will still be providing for your loved ones for years to come. I can tell you after having been in situations with clients who are dieing, it gives them great peace of mind knowing that they are not leaving a financial mess and that their loved ones will be well taken care of through the insurance that they have purchased previously.

The following are causes of death for some of my clients that have had their life insurance claim successfully paid. Cancers, Brain Tumour, Brain Aneurism, Drowning, Suicide.

Contact me today for a free risk assessment of your life insurance needs.

Jeff Tobin CLU, ANZIIF (Snr Assoc) CIP.
Chartered Life Underwriter.
Telephone: 09-412 5997

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" Providing Future Dollars When You Need Them The Most"