Doubleday Insurance Agency Blog

     Conventional wisdom dictates that people use the "seven times income" rule to calculate the amount of life insurance they need.  However, according to a survey conducted by one nationally known insurance company, middle-income respondents generally believe they should have enough life insurance to cover bills and funeral expenses.  Policies valued at 7-10 times one's salary are largely viewed as extravagant. 

     The fact is that one-third of adults have no life insurance at all while many others only have the insurance that comes with their employers' benefits package.  In order to get the coverage they need to cover the economic loss that comes with the death of a breadwinner, heds of families are urged to consult with an experienced insurance agent. 

     And while you are adding up the income that life insurance is intended to replace, don't overlook benefits such as health insurance and retirement account payments that come with the breadwinners'  jobs.

     Finally, make certain you carry what I consider the most important coverage of all  --  disability income coverage!  Not just for six months of benefit but for lifetime or at least, to age 65.  With a disability loss the breadwinner is not only not earning any income but he/she is now using more of what funds the family has to maintain the injured or sick person too!  That's, financially, worse than the death of the breadwinner.  I have seen these "bankrupt families" personally. 

     While working for Metropolitan life on what they called a "debit" back in the 60's, I had a family where the wife made more income than the husband but had no life insurance.  I spoke with them on a Friday night about adding coverage for mom too.  They decided they wanted to "think it over".  Saturday morning mom was struck by a hit and run driver in downtown Des Moines and was killed instantly.  Without mom's income the family couldn't survive financially.  There were five little girls in this family and the oldest was about 14.  She tried to help by taking in ironing but that wasn't enough to allow the family to make it financially.  The last I knew of this family the kids were all put in foster homes and dad had a mental breakdown.  I will never forget this family as long as I live.  Buy the coverage before you need it and don't sacrifice the future of your family to chance.

     It costs you nothing to consult with us about life insuance or disability income insurance.  We can, together, determine your need, if any.  We offer insurance protection for life insurance, disability income insurance, pensions, auto insurance and home insurance as well as all types of business insurance, just to mention some.  We stress the importance of updating all types of insurance policies.  For more information or to schedule an appointment, please call 515-964-0637 now.  Iowa Life insurance made simple is our goal.