Answers for InsuranceLibrary.comJim Winkler - CEO/Owner - Winkler Financial Group

Answer on How To Cancel A Globe Life Insurance Policy? by Jim Winkler

Jim Winkler — Fri, 18 Apr 2014 02:42:10 +0000

Great question! There are a couple of things I'd have you look at before you cancel the policy. The first, and most important, is do you have coverage to replace it? It is always wise to have something in place to protect yourself from the unexpected. Second, is it a matter of affordability? You may want to reduce your coverage amount, and thus your premium payments, and keep the policy in force, especially if you have health issues. Lastly, have you had this policy a long time? There may be some cash built up in it that you would forfeit if you just stopped paying, and let it lapse, or told them you want to cancel, as opposed to "surrender" the policy. If you surrender it, you should be able to get some or all of that cash back. I hope that helps you, if you need more information, contact me, I'm happy to help. Thanks for asking!

Answer on Why Does Life Insurance Cost More For Black People? by Jim Winkler

Jim Winkler — Mon, 12 Jan 2015 03:37:43 +0000

That is an interesting question. I've been an agent for many years, and I can speak from experience when I tell you that price is not based on color. I do not work with any companies (and I work with many) that would even consider breaking the law that way. That said, there are some things that come into play that might make you think (wrongly, I promise you) that It may cost more for African Americans. Life insurance costs are based in great part upon risk factors, including high blood pressure, diabetes, and obesity. These factors, along with heart disease are statistically common among all Americans, but much more so among African Americans. The American Heart Association in an article released last September suggests that a gene found in African Americans may be the cause for the highest rates of hypertension in the world. This disease is the leading cause of heart disease (#1 killer of Americans) and strokes (#4 killer).Their article also outlines problems with obesity (63% of men, 77% of women over 20 years old) among the community, as well as higher rates of diabetes (2x as likely as whites to have it, among those 20 and older 15% have the disease). The US Dept. of Health and Human Services Office of Minority Health documents higher rates of cancers among the African American community in 2009 research, as well as higher mortality rates. Insurance companies aren't as concerned about the causes and reasons behind the statistics, as much as the heath issues of the applicants. If you are of any race, your rate will be higher if you suffer from diabetes or hypertension, especially if it has gone uncontrolled. The life expectancy of anyone with those issues is shortened, and so the companies bear more risk, and as a result charge more. The better the health, the cheaper the rates might be a simple way to put it, since the risk to the company determines the rate they will charge to insure you. If you smoke, expect to pay more. If you are overweight, expect to pay more. This will be true regardless of race, where you live, or the amount of coverage you apply for. I hope that this helps you understand how the industry works, and why it might seem like it is unfair. Thanks for asking!

Answer on What Happens If I Stop Paying Life Insurance Premiums? by Jim Winkler

Jim Winkler — Tue, 07 Oct 2014 01:32:15 +0000

That is a great question! When you stop making payments on your policy, it will enter into what is called a "grace period", and then will "lapse", or end. With a term policy, that is generally no big deal, you don't lose anything by letting that happen. Your whole life policy can be a whole different story. With the whole life policy, over time it builds a cash value, one that will be kept by the company, should you allow the policy to lapse and poof up in smoke. The better thing to do in the case of a whole life policy is to either "surrender" it (and get your cash back) or take it as "paid up insurance", have some coverage, and no more payments. Please feel free to contact me if you need help with this, okay? Thanks for asking!

Answer on Can I change my health insurance plan at any time? by Jim Winkler

Jim Winkler — Tue, 14 Apr 2015 16:37:09 +0000

That is a great question! Unfortunately, the answer is no, you really can't. There are specific times set for the enrollment and changing of plans, so that the insurance companies can accurately assess the costs and risks involved in providing that insurance. If people changed plans constantly, those costs and risk factors would be very difficult to get a grip on. While the annual enrollment period begins in the fall, there are reasons where you can change or add coverage other than at that time. Certain life changing events such as having or adopting a child, losing or changing jobs, or getting married or divorced allow you to change or add coverage. If you go to the Affordable Care Act (Obamacare) website, www.healthcare.org you can enter your information and see if you qualify to add or change coverage. I hope that helps, good luck, and thanks for asking!

Answer on Can I Borrow From My Globe Life Insurance Policy? by Jim Winkler

Jim Winkler — Mon, 10 Nov 2014 00:14:01 +0000

That is a great question! The only things that you need to have in order to borrow from your Globe Life (or any company's life insurance policy) are these: First, that you are the owner of the policy. If Your parents bought it for you when you were young, and they are still the owners, you will not be able to borrow from it. They can, but you can't. You must be the owner of the policy. Second, it must be a whole life policy, as term policies have no cash value; And third, that there is an adequate cash reserve to borrow from. If the policy is fairly new, there may not be much to borrow from, or if there has already been a loan taken, you may not be able to take more cash out, without tanking the policy. My advice would be to contact your agent, or Globe themselves, (have your policy number handy) and ask them if you are good to borrow. Good luck, and thanks for asking!

Answer on What Are Current Immediate Annuity Rates? by Jim Winkler

Jim Winkler — Mon, 04 Aug 2014 02:29:29 +0000

That is a great question! Unfortunately, each company will offer rates that are based off of your age, the annuity itself, and any riders that you might want to have added. I'd love to give you even a ballpark number, but I have annuities that offer really low rates, and some that are double digit, so they are all over the board. Best thing to do is contact an agent ( or agents) and get a feel for what's out there that looks right for you. Happy hunting, and thanks for asking!

Answer on Who Should Get Annuities? by Jim Winkler

Jim Winkler — Wed, 23 Jul 2014 15:56:22 +0000

That is a great question! Like all investments, there are good and bad things about annuities that make them a great investment for some people, and not so great for others. The ideal purchaser of an annuity is someone who has a steady cash flow; significant reserve assets to cover in emergencies; can afford to set aside a large sum of money for a length of time; and is looking for structured, taxable income flow for many years. If setting a large part of your savings into limbo for several years can be an issue for you, then an annuity may not be the best investment vehicle for you. Please discuss your specifics with your advisor, to see if it would be right for you, or drop me a line, I'd be happy to walk you through the details. I hope that helps, thanks for asking!

Answer on Does State Farm Drug Test For Life Insurance? by Jim Winkler

Jim Winkler — Mon, 05 May 2014 14:22:11 +0000

Great question! Like Jason mentioned above, depending upon the size and type of the policy that you are applying for, the insurance company may test you up front. Almost all policies will ask you if you have an issue with drugs or alcohol, and falsifying your answer will void your policy. Honesty is always the best choice, and you should be aware that many policies ( and I'd bet State Farm's are the same) have a clause that denies your coverage if it is determined that illegal drugs or intoxication were involved in your death. It would really be a shame to pay on a policy for years only to have your claim denied. Thanks for asking!

Answer on What Is The College Major To Study In Order To Be An Insurance Agent? by Jim Winkler

Jim Winkler — Wed, 18 Feb 2015 01:25:26 +0000

That's a great question! Selling insurance doesn't really require any particular field of study to help you be successful. While having a degree in a business or marketing related field can help, what you really need to be successful won't be learned behind a desk. To be successful you need to be empathetic, caring, and a good listener. You need to be able to put the needs of a client above your desire for commissions. You need to be able to foster and maintain relationships, and you need to be able to persuade someone that you are the answer to their problem. That comes from within, not a classroom. Thanks for asking!

Answer on What Is Jumbo Life Insurance? by Jim Winkler

Jim Winkler — Tue, 07 Oct 2014 01:25:51 +0000

That is an excellent question! Like the name implies, a jumbo life insurance policy is one with a very high face value. We're talking very large. These multi-million dollar policies are generally supported by several insurance companies, so as not to sink a single company when the time came to pay the benefit. This is some serious wealth transference we're talking about here! Thanks for asking!

Answer on How Do Roth IRA Contributions Affect Taxes? by Jim Winkler

Jim Winkler — Fri, 05 Sep 2014 20:41:25 +0000

That is a great question! I love Roth IRA's , I believe that they are an excellent part of a solid retirement plan. Since you are making your annual contributions on an after-tax basis, there are no tax consequences, unless you exceed the contribution limits. The money when it is finally available to be withdrawn, is tax free, and that is what makes this such a great deal. I hope that helps, thanks for asking!

Answer on How Long Does It Take To Get A Life Insurance License? by Jim Winkler

Jim Winkler — Tue, 20 May 2014 15:52:59 +0000

That is an excellent question! There are a couple of things that will determine how quickly you can obtain your license. The first is how quickly you can become enrolled in, and complete your State required training class. (There may also be company required training that you might need to complete before being able to sell, btw...) You will also need to schedule and take your State exam, and get your fingerprinting and background checks done. It is a really wise idea to look into getting your Errors & Omissions insurance while in the process also, so that you can hit the ground running once licensed. So depending upon how well you learn and test, and how easy it is to get everything scheduled, you can expect your licensing within a couple of weeks, to a cople of months. If you would like to know how it went for me, please contact me, and I'll talk to you privately about it. Thank you for asking!

Answer on Is Medicare Advantage Better Than Medigap? by Jim Winkler

Jim Winkler — Sat, 10 May 2014 22:44:20 +0000

That is a great question! As Jason said, both plans have their positives, and negatives. The Medigap plans can cost more, but have better coverage. The Advantage plans are generally cheaper, but can change, and become a disadvantage. They are also the focus of cuts under the Affordable Care Act (Obamacare) designed to reduce overpayments and administrative costs. There were several large physicians organizations that grumbled about that, and they threatened to drop or cut back services. Whether they actually will, who knows. It might be safer to keep to Medigap. Thanks for asking!

Answer on If i have family insurance with no dental through work, can I get CHIPS or medicaid dental for my kids with the state? by Jim Winkler

Jim Winkler — Wed, 01 Apr 2015 04:06:48 +0000

That is a great question! You sound like many of the people who found themselves between a rock and a hard place when it came to health insurance. Employers don't offer dental, because of its expense to them, and if you earn too much, CHIPS and Medicaid are unavailable. Did you look into the Affordable Care Act (Obamacare) exchange for the dental policies? The enrollment period is over, but go to the site www.healthcare.gov and walk through the steps to see if you can still qualify to get a plan. There's a good chance that you qualify for a subsidy (hurry, before the Supreme Court decides on undoing them) to help pay for it. You can also find out whether you can get yourselves and the kids covered by the CHIPS or Medicaid programs. I walked through it using an example of 35 year old parents with two kids, and they qualified on earnings of $24,000 a year. The site is user friendly, and quick to tell you whether you qualify. If you need help, contact me and I'll help you walk through it, okay? Good luck, and thanks for asking!

Answer on Is A Deferred Income Annuity A Good Investment? by Jim Winkler

Jim Winkler — Wed, 18 Feb 2015 01:34:59 +0000

That is a great question! Depending upon what your desired goal is, a deferred annuity can be an excellent investment. What makes this a good investment? Deferred annuities can provide a lifelong income stream, making it impossible to outlive. They can also be structured to continue to provide a surviving spouse an income stream. They are low risk, and have a payout amount that is easily determined. If you are someone who is looking for stability, safety and a guaranteed payout, this is a great way to go. If you are looking for a liquid or high yield investment, not so much. Thank you for asking!

Answer on I am uninsured and was hit by an insured driver. Should I contact their insurance or would I get in trouble even if they’re at-fault? by Jim Winkler

Jim Winkler — Sat, 07 Feb 2015 16:24:38 +0000

This is an interesting question! It sounds as if there was no Officer present at the accident scene? Because if there was, you'd have already found the trouble that you're trying to avoid. I'm not sure where you live, and they might not be able to charge you after the fact, but they might, and they can certainly pay more attention to you if they learn that you are willing to break the law and drive uninsured. So if there was no Officer, and you had no insurance information to exchange at the accident scene, you are really in kind of a 'he said she said' position. Can you prove the other driver hit you if you try to get their company to pay? They should pay, if the other driver was at fault and admits their liability, but if they don't, you may have trouble collecting from them. Bottom line? If you'd been obeying the law and were insured, you'd have no trouble collecting. As it is, you'll have your work cut out for you. Good luck, and thanks for asking.

Answer on What Is Annual Renewable Term Life Insurance? by Jim Winkler

Jim Winkler — Mon, 26 Jan 2015 01:04:40 +0000

That is an excellent question! There are a lot of great answers above, but I'll give it to you in plain English : It's insurance speak for "We will take your money until you go broke and lose your coverage". Simply, that is what will happen. A term policy with this tag is marketed to you to make you think that it will last beyond its set term. It will, but look in your policy at the annual payment section. See how dramatically it rises? Bet after the second year it's become unaffordable, and you drop the policy... Part of the reason I do this website is because of the insurer who hooked me with one of these policies back before I understood what she was selling me, and am doing my best to keep others from being hooked like I was. There are better policies out there, I promise you, and I'd advise you to seek a second independent agent for alternatives. Thanks for asking!

Answer on Can Insurance Cancel You Without Notice? by Jim Winkler

Jim Winkler — Mon, 26 Jan 2015 00:29:07 +0000

That is an interesting question. If I understand this correctly, you had a portable device from the insurer added to your car, you decided you didn't like it, and for some reason neither it nor your payments ever made it to the insurance company? You bet they'll cancel your policy. Every insurer will cancel you for non-payment; in the auto insurance business that will nearly always result in the suspension of your registration, tags, license, or combination thereof. You will need to get a policy (either from a new company, or straighten things out with your current one) and show the State that you are again driving with legal coverage in your State. Once you show that you have coverage, they should lift your suspension. Thanks for asking!

Answer on How Much Life Insurance Can You Get If You Have Been Diagnosed With Breast Cancer? by Jim Winkler

Jim Winkler — Wed, 07 Jan 2015 03:34:47 +0000

That's a great question! I'm sorry to hear about your diagnosis, and pray that you are well, and healed. Here's what you need to know- no matter how long ago you were diagnosed, or in what stage the cancer is/was, there is a company that will write your insurance policy. Several, actually. What makes the difference is when you were diagnosed, and where you are with it now. Each company will have a period of time that they "look back" on health histories, and that amount varies between companies. An independent agent will be a blessing to you as you look, as they will be able to sort out which company will be best. As Jason wisely suggested, do not apply for more than one policy - only apply for the one that you want. Multiple applications are a huge red flag to insurers and they will refuse you just for that reason. If your diagnosis was 3-5 years ago, and you've been cancer free since, you shouldn't have any problems finding an affordable and "same day" coverage policy. If it's been a year or so, then it starts getting a little more expensive, and starts coming with conditions. If it was recently, then you can still get coverage, but it will be more expensive, and come with a period of time where the paid benefit is reduced. Your cancer diagnosis won't keep you from finding coverage. Please contact an independent agent near you, or any of us here, and have that agent walk through this with you in a bit more detail. You've got enough to worry about as it is, and a good agent will sort out all the details so you won't have to. I pray for your health and wholeness. Thank you for asking!

Answer on Should young people consider life insurance? by Jim Winkler

Jim Winkler — Mon, 29 Dec 2014 16:10:46 +0000

That is a great question! There are really two schools of thought about life insurance. One school believes that the money that someone would pay for a policy should be saved and invested, and those funds used to ensure the well being of the loved ones left behind. The second school of thought is buy young, and be prepared. I can see wisdom in both views. There can be much higher rates of return on the investments made with what would have been the premium money if invested wisely.But...I am a pretty staunch realist, and the sad reality is that most Americans can't/don't save, and even fewer know how to invest what they do. As a result, nearly 3/4's of Americans live paycheck to paycheck, and are one disaster away from bankruptcy. (Want some scary data for your paper? Go look at the 2012 Census data...) Life insurance provides a "forced savings" method of providing for the need for protection. As long as the payments are made, your family is protected. And in my opinion, life insurance provides three serious benefits that the first view can't match: There is no guarantee on how long we live,and there is a real chance that disaster could strike before the amount needed to protect your loved ones could be accumulated. With a policy, if it's in force one day, and you were (God forbid) to pass away in an accident on the second, the policy would pay out in full. What investment pays off that well? Secondly, that benefit paid is tax free, and generally probate free. Many estate battles take years, and on average eat away about 40% of the value of the estate that would have been left. The third, and in this economy that favors the wealthy and stresses the majority of Americans, a whole life policy provides a source of money in an emergency. As the policy increases in age, it also increases in its cash value. That value becomes available for the policy owner to withdraw if a need arises, with virtually no questions asked. With interest rates and credit ratings what they are for the majority, having a strings free cash source can be a life saver. I hope that gives you some food for thought for your essay. I almost forgot to mention that the younger you are when you purchase your policy, typically the cheaper it is. Most companies lock that price in for you, so it is set for your whole lifetime. As a result, a policy purchased in one's 20's typically will be cheaper, and much easier to get than a policy purchased when one is in their 50's or 60's. If you'd like more help, please feel free to contact me. This is a lazy week for most of us, and I'll have some free time :) Thanks for asking, and good luck on your paper!

Answer on What Is A 403 B Tax Deferred Annuity? by Jim Winkler

Jim Winkler — Tue, 16 Dec 2014 19:13:19 +0000

That is a great question! A 403b is a retirement plan that is set up for certain occupations, like school teachers, Ministers, and some tax exempt organizations. They can be funded by annuities, custodial mutual fund accounts, or a combination of both. The contributions can be made to an account pre-tax, and taxed upon withdrawal, or they can be in a Roth and taxes on contributions paid in result in tax free withdrawals. You will want to see which plan options are available to you, and speak with an adviser about what would work best for you. Thanks for asking!

Answer on Is Medigap Insurance Worth The Cost? by Jim Winkler

Jim Winkler — Sat, 06 Dec 2014 20:02:38 +0000

That is a great question! Unfortunately, though we have made progress on health care in America, there are still issues. One of them is the gap in coverage left from Medicare in coverage needed by most Elder Citizens. Dental coverage, for example is not Medicare covered, as well as many other services and medications. That is where the Medigap plans come in. They help cover for the expenses of, or the provision of many of those services. Look for one that provides the coverage that you need. Thanks for asking!

Answer on Can A Business Own A Fixed Annuity? by Jim Winkler

Jim Winkler — Sat, 06 Dec 2014 18:53:18 +0000

That is a great question! There are a great number of companies that hold fixed annuities as part of their retirement benefit plans. In some cases they are offered as an investment option for the employees, in other cases the company holds them to be able to fund the employee benefits to be paid at some later date. The annuities ensure the availability of income at that later date. Thank you for asking!

Answer on Why Does Bad Credit Affect Car Insurance? by Jim Winkler

Jim Winkler — Wed, 03 Dec 2014 17:17:25 +0000

That is an excellent question! There are a couple of reasons why auto insurers look at your credit score (and other insurers, btw...) and payment histories. The first should be pretty obvious - they want to make sure that they will get paid, so the more likely you are to make on time full payments, the less risk to them. On the other hand, if the risk of not getting payments on time, or receiving partial payments will cost you more in a higher premium. The second reason is a little more subtle. The assumption is that having poor control of your finances is an indicator of the possibility of not being in control of other areas of your life. If you take risks with your money, maybe you take risks with your car, or your health, etc. If you are prone to taking those sort of risks, then the companies risk also increases, as will your premiums. If you have issues with your credit, be sure to explain them to the agent, many will find a way to work with you. I hope that helps, thank you for asking!

Answer on Does It Make Sense To Buy Whole Life Insurance? by Jim Winkler

Jim Winkler — Tue, 02 Dec 2014 17:23:18 +0000

That is an excellent question! There are several reasons why buying a whole life policy makes sense. One reason is the security of knowing that no matter what happens during your life, the policy will protect those you love. If your health takes a turn for the worse, your coverage remains. It can't be cancelled by the company for any reason but underpayment, in most cases, and you are covered as long as you live. Another advantage is that the premium price is fixed, so the younger the age of person insured, the cheaper the policy. And that price doesn't increase. My policies still cost me less than $10/month, and I'm a whole lot older than I was when my Dad bought them for me. Yet another is the fact that the payout is known, guaranteed, and left behind as a tax free, probate safe (almost always) benefit for your loved ones. The financial people that advocate "buying term and banking the savings" can't guarantee the same results unless you are 'lucky' enough to pass while your term policy is in effect. And since statistically the vast majority of Americans can't save money, it truly does make sense to have a 'forced savings' plan like a whole life policy. Lastly, the policy over time builds cash reserves that can be borrowed from should they be needed. These policy loans are typically low interest and quickly done, with very few steps. I'd ask that you meet with a good independent agent and discuss with them your exact needs for the policy you are looking for; they can help you find the policy that will suit you best. Thanks for asking!

Answer on What Is Auto Insurance Comprehensive Deductible? by Jim Winkler

Jim Winkler — Mon, 10 Nov 2014 05:55:20 +0000

That is a great question! Deductible is the word for what insurance companies expect you to pay towards your share of the cost. In their view, if you know that you have to pay before they will, it will act as an incentive for you to be a little more careful. In your auto policy you have a collision part, and a comprehensive part. The comprehensive covers any damage not incurred through a collision. A rock through the window, someone breaking into your car, or a tree falling on it would be examples of comprehensive coverage. In the event of these repairs, you would be expected to pay your deductible, and the company the rest. This is why it is important to not set a deductible higher than what you can safely scratch up, if you need to. I hope that helps, thanks for asking!

Answer on What Is Individual Flexible Premium Variable Life Insurance? by Jim Winkler

Jim Winkler — Mon, 10 Nov 2014 00:30:12 +0000

That is a great question! There are a couple of types of life insurance, each with certain functions, guarantees, and returns. The term policies are short lived, have a determined end date, and are very simple policies, with few frills. Whole life policies are a little more complex, but have sure guarantees of the payout, and cost of premiums. They are set, and guaranteed. Then there are the variable life policies. These are another type of animal altogether. They were designed to give the insurance consumer an option that was more like stocks or mutual funds in their ability to generate returns. The premiums are said to be "flexible", because you can overpay, pay the suggested premium, pay less than the suggested, or skip altogether one month. The catch is that this type of policy works off of the cash you put into it, and the ability of your investment choices to generate a positive return. Since there are typically very few (if any) guarantees, the risk of the performance is yours, not the insurers. This policy can cost you money, and go belly up, if you are not a wise investor, and able to make larger premium payments when needed.I will be honest - I like my clients to keep their money, and add to what they have in a safe and secure way. I do not recommend these policies to my clients. I hope that helps, if you would like more details, please feel free to contact me. Thanks for asking!

Answer on When Is Full Coverage Auto Insurance Required? by Jim Winkler

Jim Winkler — Mon, 03 Nov 2014 02:24:59 +0000

That's a great question! Most commonly, you will be required to carry full coverage insurance on the car idf the car has been purchased through a lender. So that they are not out their investment in your car, they will often require the full coverage on the car. You may also need it for company vehicles, but lenders most commonly. Thank you for asking!

Answer on When To Buy A Variable Annuity? by Jim Winkler

Jim Winkler — Mon, 20 Oct 2014 01:20:59 +0000

That is an excellent question! Here's what you need to have to want to purchase a variable annuity. A.) A lot of money that you are willing to lose. These annuities do not guarantee that your investment choices will perform well enough to make money, nor that you won't lose the money that you invested. Be aware that this is a possibility. B.) A lot of extra money that you want to pay in fees. These annuities have all the regular fees associated with annuities, and extra ones to boot. C.) A good understanding of the market, and the investment histories of the choices you are offered. Far too often, clients know nothing about the performance history of the options they are given to allocate into, and make unwise choices. If you have all three of these things, then this may be the annuity for you, if not, maybe a different one would be better. Thanks for asking!

Answer on Can I Get Money From My Term Life Insurance Policy? by Jim Winkler

Jim Winkler — Tue, 07 Oct 2014 01:19:14 +0000

That is a great question! Unfortunately, the answer is no, because there is no money there to get. Term policies are as cheap as they are because the premium cost is generally just enough to cover the cost of insurance, associated costs, and the company's profit margin. These policies have no cash value as a result, and no surrender value either. Whole life policies will have the cash value and surrender values that you were thinking of. I'm sorry, but I appreciate you asking!

Answer on What Is Group Variable Universal Life Insurance? by Jim Winkler

Jim Winkler — Mon, 06 Oct 2014 03:15:30 +0000

That is an excellent question! I'm assuming that you are seeing this in a benefits package, in some form of retirement plan? A variable UL policy is a securities regulated product, that grows (or loses) cash value based upon the investments made within the policy. You are offered a selection of investments, (or your company chooses them for you, and you choose whether to participate or not) and your policy prospers, or suffers according to the performance of those investments. The "group" means that many people are participating in the plan, not just yourself. (Your health insurance offered through work, and your life insurance are group plans also.) Many companies use this type of policy to try and build large amounts of cash value, which they then take out in the form of loans to pay the benefits promised to the plan participants. I hope that helps, thank you for asking!

Answer on What Is A Good Price For Whole Life Insurance? by Jim Winkler

Jim Winkler — Sat, 27 Sep 2014 15:29:45 +0000

That is a great question! This is a very commonly asked question, and in each case, one that is impossible for us to answer. In order to give you even an accurate range of prices, we need a lot more information. We have no idea if you are male or female, how old you are, whether you smoke, or even how much coverage you were seeking. And that doesn't even touch the health questions...Please inbox me, or contact a local independent agent to give you a better answer, okay? Thank you for asking!

Answer on Why Do Annuities Have Surrender Charges? by Jim Winkler

Jim Winkler — Wed, 17 Sep 2014 21:48:42 +0000

That is an excellent question! I think a lot of people have the impression that like in the old days of Bonnie and Clyde that banks and insurance companies take your cash and pile it up in big vaults to gather dust until needed. The truth is that almost as soon as you've given it to them, they've turned around and used it to pay off something they owe on, or invested it to make some money for themselves. Therefore, when you buy an annuity, and promise them a number of years to use that money before they have to pay you, and then tell them you want it back, they are going to take a loss. They have to scramble to get your cash ready for you, and so that they don't lose money, they pass that loss on to you in the form of a surrender charge. Their hope is that by putting a steep fee on taking the money out early, that you won't, and they can make money too. I am very careful who I sell annuities to, there has to be a very good liquidity and cash flow on your part to make this a good investment vehicle. I hope this helps, thanks for asking!

Answer on What Happens When Your Term Life Insurance Runs Out? by Jim Winkler

Jim Winkler — Sat, 13 Sep 2014 22:58:42 +0000

That is a great question! Once your term policy ends, you will have one of two things happen. You will either both part ways like you'd never met and done business, as there will be no further obligations on either side - you don't owe them anything, and they owe you nothing. The other alternative is that you decide you want the coverage to last a little longer. In that case, if the policy is renewable, you contact them, and they renew it for another year, at a very healthy premium rate. Each time you decide to renew, they increase at very healthy increases. That continues until you come to your senses, or go broke. I hope that helps, thanks for asking!

Answer on How Much Would A Term Life Insurance Policy Cost? by Jim Winkler

Jim Winkler — Sat, 13 Sep 2014 22:04:28 +0000

That is a great question! Unfortunately, the answer requires that I have some more information from you - how much insurance were you looking for? For how long a term? And then the myriad of health questions - age, gender, smoking/non, health issues, weight/height, etc. If you'd like to inbox me the details, I can give you your specific answer, but with such a blank slate, all I can tell you is that term insurance is generally dirt cheap. I'm sorry that's not much of an answer, but thank you for asking!

Answer on Which Is Better Mutual Funds Or Annuities? by Jim Winkler

Jim Winkler — Fri, 05 Sep 2014 20:33:39 +0000

That is an excellent question! The answer is kind of difficult, though, as both are good for different reasons, and both might be bad for you for different reasons. Annuities are generally a safer vehicle for guaranteeing an income stream during retirement, as they typically will have provisions that will not allow you to lose your initial investment amount, even if everything else tanked. But annuities require that you set that initial investment aside for a number of years, and that can be an issue, if you have severe cash flow issues.Mutual funds can bring a greater return that a lot of annuities, but unless you have really done your homework, the fees associated with your fund can eat the return alive, and you can end up not making the return that you could have. Statistically most mutual funds make money, but again, if you invest in the wrong one, there's no guarantee that you recoup your initial investment, let alone a profit. You also need to do the work to get the money out of your fund, unlike an annuity that has a set payment amount and schedule. A really solid retirement plan is diversified, and can include both types of investments; If you're forced to choose one or the other, that's a decision that needs a lot of soul searching and planning, and a trusted adviser to help. I hope that helps, thanks for asking!

Answer on Can You Take Money Out Of A Term Life Insurance Policy? by Jim Winkler

Jim Winkler — Fri, 29 Aug 2014 14:13:56 +0000

That is a great question, and one that I get a lot! The reason that term life insurance policies are as cheap as they are is because they have very few moving parts. They are very simple, and have very few perks. The cost of your policy is low, because all you pay is the cost of insurance, and some fees and profits for the insurer. There is a very likely chance that you will outlive the term, and they owe you nothing when that happens as when the term policy ends it's as if it never existed. There is no cash value, so there is nothing that you can borrow from. These types of policies are very good for covering short term debt obligations, or supplementing your gift to your beneficiaries, but not so good at anything else. You would need to have a whole life policy to have borrowed from. I hope that helps, thanks for asking!

Answer on Is 401K Considered Income? by Jim Winkler

Jim Winkler — Mon, 04 Aug 2014 03:40:04 +0000

That is a great question! The money from your 401k account becomes considered income once you start taking your withdrawals from it. Until then, it is just like a savings account - there, but not taxed. Unlike your savings, however, once you start taking the money out, it is considered taxable income. I hope that helps, thanks for asking!

Answer on Is A Fixed Index Annuity A Security? by Jim Winkler

Jim Winkler — Mon, 28 Jul 2014 03:01:48 +0000

That is an excellent question!! Many people become confused by this type of annuity because of it's connection to the stock market. The annuity does have it's performance linked to the performance of the market, but it does not involve any particular stock. Your annuity gains based upon the gains that the aggregate market gains, not ant particular stock. For example, your annuity bases its gains on the S&P 500. If the S&P 500 rises from point a to point b, your annuity credits your fund with a promised gain. You have not purchased any stock, nor are you participating in the market. You are just "gambling" on its performance. Since there is no stock investment, it is not considered a security, unlike a variable annuity, which does invest in the market, and therefore is considered a security. I hope that helps, thanks for asking!

Answer on When Does Whole Life Insurance Expire? by Jim Winkler

Jim Winkler — Mon, 28 Jul 2014 02:42:11 +0000

That's a great question! One of the best features of a whole life policy is that as long as you are making payments, the policy lasts as long as you do. You can structure these policies to where they are paid off in a set number of years, and the coverage extends again, as long as you do. I hope that helps, thanks for asking!

Answer on Can You Add Money To A Fixed Annuity? by Jim Winkler

Jim Winkler — Sun, 20 Jul 2014 23:48:13 +0000

That is a great question! The answer is that it depends upon your specific annuity. Mine allows me to add within the first year. Yours may allow it, or may not. There also may be adjustments to payment periods or charges, so be sure to ask your agent when you contact them to find out about your contract terms. Good luck, and thanks for asking!

Answer on Does Life Insurance Pay For Funeral Expenses? by Jim Winkler

Jim Winkler — Thu, 03 Jul 2014 05:16:03 +0000

That is a great question! The best part about life insurance is that the money passes tax free to your beneficiary, and can be used for any purpose that person sees fit. If paying for your funeral expenses from the proceeds is a desire of yours, then you may want to consider discussing that with your beneficiary beforehand, so your wishes are understood. You may also want to go to the funeral home of your choice, and see if they will allow you to pre-purchase your funeral, and assign a portion of your policy as the payment. If you would like to know more about this, please drop me a line, I'd be happy to explain further. I hope that helps, thanks for asking!

Answer on Why Invest In Whole Life Insurance? by Jim Winkler

Jim Winkler — Thu, 03 Jul 2014 04:32:59 +0000

That is a great question! I think it's important to be clear about the difference between an investment and the protection that life insurance provides. An investment is something that is designed to hopefully increase in value over time, and provide you with an increase over what was invested. Stocks, money markets, mutual funds, bonds, these are investment vehicles. Life insurance typically doesn't provide that same result. Term life has no value unless you die while it is in force, and you wouldn't be able to use any of those funds either way. Whole life insurance pays out when you pass, and the amount is promised when you purchase the policy. Though there are some companies that will pay dividends, these are rare, and most policies will only pay out what your face value is ( and again, that is of no value to you). It is a great way to protect against estate taxes, provide an income to those you love and leave behind, and for covering expenses that might outlive you. Life insurance is a worthy investment in that sense. I hope that helps, thanks for asking!

Answer on My new car was demolished in an accident that was somceone else’s fault, I only owned the car for three months will I get back what I paid for it three months ago? by Jim Winkler

Jim Winkler — Tue, 01 Jul 2014 03:51:00 +0000

That is a great question! I am sorry for your loss, it is tough when you don't get to own the car long enough to even get a chance to enjoy it. Your insurer most likely uses what is called the "Blue Book" value to determine what your car is worth. The price that you paid three months ago most likely is higher than what the Blue Book will allow, since the car starts depreciating in value almost the minute that you drive it off the lot. They will factor in wear and tear, ( dings, dents and normal wear of parts) and depreciation when they offer your settlement sum. Do not expect to get reimbursed for your tags and fees; Those things are like gas to insurance companies, you need it to drive, but it's not a part of the actual value of the car. If they do not give you what you want, you can always appeal the settlement, sometimes the company will give in and pay. I'd hope so, in your case. Good luck, and thanks for asking!

Answer on How Much Is Term Life Insurance For 62 Year Old? by Jim Winkler

Jim Winkler — Tue, 01 Jul 2014 03:08:11 +0000

That is a great question! I'd be very hesitant to quote you a price, because I know nothing about your health situation, your gender, your desired amount of coverage, or whether you smoke. The price can vary from relatively inexpensive to very expensive based upon your answers. I am very careful about suggesting term policies for folks your age, as it is likely that you will throw that money away, when it might have been better spent. If you are in good health, you will outlive it, and then have no coverage, and possibly be unable to get another policy, either because of new health issues, or your age. If you are in terrible health, you won't qualify, or it will be very expensive either way. I'd sure like to have a better idea of what you are thinking, if you would like to contact me, I'll clear up time to speak with you about it. Thanks for asking!

Answer on Why Variable Annuities Are Bad? by Jim Winkler

Jim Winkler — Thu, 26 Jun 2014 20:35:39 +0000

That is a great question! The question is really not accurate though, it's like asking why all dogs bite people. Not all dogs do, but the ones that do give them all a bad name. Are variable annuities bad? They most certainly can be, if your risk tolerance is low, or your allocations made unwisely. Just like you would pick a dog that suits your needs and temperament, you should choose an annuity to suit you also. The risk in a variable annuity may not be right for you, but may suit someone else quite well. Please take the time to discuss what you are looking for with an agent that will listen, and take your concerns to heart. If they pressure you, or appear to be more interested in the sale than what you say, don't buy, and send them packing. Annuities are not something that you can afford to buy without completely understanding what you're buying. I hope that helps, please contact me if you need more information, okay? Thanks for asking!

Answer on Does Car Insurance Go Up After A Claim? by Jim Winkler

Jim Winkler — Thu, 26 Jun 2014 19:46:19 +0000

That is a great question! In some cases, it is likely that a claim can increase your premiums, but it is not always the case. Many companies offer a "forgiveness" benefit, which allows for an infrequent, or first accident claim to go through without damaging your record with them. It may also depend upon the circumstances of the claim as to whether or not the price will go up. It is pretty much a certainty that if there was a hefty property damage claim, or any kind of criminal act involved, that you will see an increase. I hope that helps - thanks for asking!

Answer on How To Cash Out A Tax Deferred Annuity? by Jim Winkler

Jim Winkler — Thu, 26 Jun 2014 13:18:23 +0000

That is a great question! You will want to contact the agent that sold the annuity, or the financial institution that sold it, and ask them to start the process for you. You want to remember that in most cases, the amount of principal that was used to start the annuity will be the amount un-taxed, all of the interest earned on the annuity over the years will be considered gain, and thus taxable. Taking the funds out of the annuity in a lump sum will cause that tax to be applied at once also, and may substantially reduce the amount paid to you. If the annuity is still within the surrender period, there may be penalties or fees applied also that will reduce your payout. I do not know your reason for cashing it out, but there may be a better way to get cash if you need it quickly than to surrender your annuity. If you would like to discuss them, please contact me, I'd be happy to help. Thanks for asking!

Answer on Why Are Annuities So Expensive? by Jim Winkler

Jim Winkler — Thu, 26 Jun 2014 03:34:00 +0000

That is a great question! As an answer for you, I'd point out that there are many different annuity products out there, and like mutual funds, some have higher expenses than others. It is wise to shop around, and learn what fees and expenses will be attached to the annuity, and its riders. That said, insurance companies determine cost based on risk, and when you add a guaranteed income payout rider to your annuity, the risk of you receiving a payout that exceeds what you paid in id pretty good, so the companies will charge you more. Just like life insurance for a smoker is higher, as their health risks are higher than a non-smokers are. I always advise that you speak with an advisor that you can trust before making any investments, as they all have pros and cons to consider. If you contact me, I'll walk you through this in a little more detail. Thanks for asking!

Answer on Where Can I Get Auto Insurance With No Money Down? by Jim Winkler

Jim Winkler — Wed, 18 Jun 2014 19:41:46 +0000

That is a great question! If you can find an auto insurance company that will insure you without a payment first, let me know, will you? Unfortunately the way insurance works is that they accept the risk of insuring you, once you have agreed to, and started, making payments. I'm sorry, but I don't know of any company that will issue insurance without money paid first. Thanks for asking!

Answer on Is Universal Life Insurance Taxable? by Jim Winkler

Jim Winkler — Wed, 18 Jun 2014 19:14:42 +0000

That is a great question! One of the selling points that your agent will give you when selling you this type of policy is the great cash growth that it can accrue. Managed correctly, it can do that. When you pass, the death benefit is passed tax free. If you borrow from the cash reserves in the policy, those loans are also tax free. If you surrender the policy, (or "cash out") then all of that growth in excess of what you paid into it is taxable. And if your policy did well, that can be a big tax bite. Check with your agent before you take any action, as even borrowing can have a big impact on your policy's viability, okay? Thanks for asking!

Answer on What Are The Tax Implications Of Cashing In A Life Insurance Policy? by Jim Winkler

Jim Winkler — Wed, 18 Jun 2014 18:41:34 +0000

That is a great question! One of the great benefits of a whole life policy ( Term policies do not have this) is the cash value that the policy accumulates as it ages. As long as the cash value stays within the policy, it is tax free. It can be borrowed against, and still be tax free. But if the policy is cashed out, or "surrendered", any cash value amount that is more than the total amount of premiums paid is considered to be income, and therefore taxable. If you need some cash, but don't want to get a tax bite while getting it, you may really want to consider borrowing vs. surrendering. Contact me, and I'll walk you through the advantages/dangers of doing this. Thanks for asking!

Answer on How Do Body Shops Work With Car Insurance? by Jim Winkler

Jim Winkler — Wed, 18 Jun 2014 16:48:44 +0000

That is a great question! Generally, your auto insurance company will have a contract or agreement with a local garage, mechanic, and body shop. They will refer you to them to have your work done. By doing this, they have an agreement with the garages to keep costs under control. Should you choose to use a different mechanic, you are certainly welcome to, but my experience has been that the insurance company is much more difficult to work with. Thanks for asking!

Answer on Why Are Economists Concerned About Medicare? by Jim Winkler

Jim Winkler — Tue, 17 Jun 2014 18:03:50 +0000

That is an excellent question! The eventual collapse of Medicare and Medicaid has more than just economists worried. And I said eventual collapse, since I believe that it is much more likely that our current Government philosophy of income disparity politics will continue to prevent any kind of significant reform or refunding of those programs. Without overhauling, the system is predicted to bankrupt in 2024. The Affordable Care Act ( Obamacare) created a series of fat trimming cuts that in theory will add 5 years to the life of the programs. As of the 2012 Census statistics, 55% of all seniors are currently at poverty level, and the statistics suggest that further cuts in just food stamps will double the currently 15% of Americans living in poverty (46.5 million households, and that number is woefully under estimated, as the formula for computing it is still based on 1963 data - bet you can't find a gallon of milk, or gas for what you paid in 1963). Jared Bernstein, a noted economist, calculates that the poverty rate will increase nearly 500% when SSI tanks in 2030. Now imagine the financial hardship on our Seniors, and our economy, when their medical expenses can't be paid for either. Something has to give, or we'll be seeing our parents and grandparents out on the streets, or not at all. An interesting statistic? 50 % of Americans combined own what the top 30 individual Americans do - $793 billion dollars. 47% of Americans own nothing, their debt is equal to or greater than their assets. I've been very blessed, God has been good to me and my family, but I'm worried, and if you have parents or grandparents, you should be too, as millions of folks depend on it. Thanks for asking!

Answer on How To Cancel Ameriprise Auto Insurance? by Jim Winkler

Jim Winkler — Fri, 13 Jun 2014 15:25:55 +0000

That is a great question! The easiest way is to go see your agent, or contact Them, with proof of the sale of the car, or proof of your new policy. The agent can set your policy's cancellation into motion for you. Be aware that if you are keeping the car, but cancelling your policy, that you may not be able to register the car without it, and that can open up a whole new series of problems for you. Be careful, ok? Thanks for asking!

Answer on What Does Medicare Cover On Dental? by Jim Winkler

Jim Winkler — Thu, 12 Jun 2014 17:00:00 +0000

That is a great question! Unfortunately, the answer is not much. In fact, to be brutally honest, not much of anything. Some emergency procedures may be covered, but generally there will be a need for a separate dental plan if you want to have any kind of dental work done. My suggestion is to go to the Affordable Care Act (Obamacare) website, www.healthcare.gov and look for a dental plan there. The policies found there can be purchased very cheaply, and it is very likely that you will qualify for help paying for it, if you purchase it through that exchange. Good luck, and thanks for asking!

Answer on Is Life Insurance Part Of Your Net Worth? by Jim Winkler

Jim Winkler — Thu, 12 Jun 2014 16:08:18 +0000

That is a great question! As a rule, while you are living, the benefit amount is not since the face value of the policy is not an asset that you personally will be able to use. The death benefit is an intangible asset, until you pass, and assuming that you have a named beneficiary, will not become a part of your estate, but will increase the amount of what your total net worth was. If you have a large cash value in a policy, that is counted in your net worth, and Medicaid will count that cash as an asset, so you may want to consult with your advisor if this is the reason for asking the question. Thanks for asking!

Answer on Why Are Endowment Contracts Not Considered Life Insurance? by Jim Winkler

Jim Winkler — Mon, 09 Jun 2014 16:03:09 +0000

That is an excellent question! They are like wheat and white bread - both bread, but different kinds, and with different benefits for you. A whole life policy will generate a cash value slowly, and generally reach the point where the face value and the cash value match (or endow) at the age of 100, or 120 in most policies. Most people will receive their death benefit before the policy would endow. An endowment policy/contract is designed to endow much more quickly - generally in either a 20 year period, or at the age of 65. The premiums therefore are much higher than a traditional life policy. The idea here is that if you were to pass within the first few years, you would receive a big payout for few dollars, but the flip side is that you would receive an almost even payout if you were to die later in the contract. So why do it? These policies typically pay a higher interest rate on the cash value savings building up in them than the traditional, slower policies do, and that is about the only reason. They were popular once, but have faded as a rule from popularity. Thanks for asking!

Answer on How Old Do You Have To Be To Receive Medicare? by Jim Winkler

Jim Winkler — Mon, 09 Jun 2014 13:25:31 +0000

That is a great question! Medicare was created to allow Senior citizens the opportunity to receive affordable health care at a time when that was difficult to get. The age for being able to apply for Medicare was set at 65. Most people will enroll in the 6 month span that goes from 3 months prior to your 65th, to 3 months after. You can retire and start Social Security early, but Medicare won't kick in until your 65th. Thanks for asking!

Answer on Is 401K Loan Considered Debt? by Jim Winkler

Jim Winkler — Mon, 09 Jun 2014 01:21:22 +0000

That is a great question! The answer is simple. Anything that you borrow, and must repay, is considered to be debt. In the cases where you borrow from yourself, (401K loans, life insurance loans, etc.) it's easy to think that it isn't really debt, but consider what happens if you don't pay it back. If you were to lose your job, your 401k debt becomes immediately due in full. Your life insurance loan, if not repaid, can eventually cause the policy to lapse, and eventually cancel. A good financial rule is if you borrow it, it's a debt, and needs to be repaid. I hope that helps,thanks for asking!

Answer on How Can I Get Cheaper Car Insurance? by Jim Winkler

Jim Winkler — Fri, 06 Jun 2014 17:01:50 +0000

That is an excellent question, and one that I get asked a lot! There are a couple of things that you can do to get your insurance rate lowered. The best is to continue to have a claim and ticket free driving record. If your record is clean, many companies will offer a discount. If yours doesn't then tell them you are going to drop the policy and switch, and see if that will motivate them to work with you on the rate, or to match the rate of the company you will switch to. (many will). Another way is to add your other policies to your auto insurer's company. Having multiple cars or policies with the same company will result usually in substantial discounts on all of the policies. The last way, and one I caution you on, is to raise the amount of your deductible. If it is $500 now, and you can afford to pay a $1000 if you need to, then raise it to $750 or $1,000, and get a lower rate. If you'd have a hard time coming up with $500, I'd not advise raising it, especially if you've filed claims before. Ask your agent to help, they are good that way, and thank you for asking!

Answer on What To Do If You Can’t Afford Health Insurance? by Jim Winkler

Jim Winkler — Wed, 28 May 2014 14:51:57 +0000

That is a great question! I'd recommend that you go to the Affordable Care Act (Obamacare) site www.healthcare.gov and look there first. It is very likely that you will qualify for discounted coverage. I do a lot of work with folks who struggle to make ends meet, and so far, everyone of them has found a policy there that they could afford, that was really a blessing. If you need help, please feel free to contact me, okay? Thanks for asking!

Answer on How Is Life Insurance Used In Estate Planning? by Jim Winkler

Jim Winkler — Tue, 27 May 2014 05:11:08 +0000

That is an excellent question! The best things about life insurance when it comes to estate planning are that first, it isn't taxable. It is an excellent way of transferring wealth without paying taxes. Second, it is usually not held up in probate, and therefore the funds are released to the beneficiary without any issues. That said, if your estate is a large one, you may need to put some thought into how the policy is structured, to avoid potential problems. Please consult an attorney, financial planner, or tax advisor, and your agent to be certain of the best route for you. Thanks for asking!

Answer on Can You Cash Out A Universal Life Insurance Policy? by Jim Winkler

Jim Winkler — Tue, 27 May 2014 05:02:24 +0000

That is a great question! The answer is yes, but I'd ask you to contact your agent first, and see if this is the best alternative for you. A couple of things could be bad for you in cashing this type of policy out. The first is that you won't have any coverage, should you pass, and if you are older and in worse health than when you started it, may find it cheaper to keep it. The second is that if it built up a large amount of cash, that cash is most likely going to be taxable, and may put you in a higher bracket for the year you take it , which can be very expensive. This is really a case where maybe taking a loan out of the policy is better than closing it out. Please talk to your agent, and then decide what to do, okay? Thanks for asking!

Answer on How Can You Find Out Someones Homeowners Insurance? by Jim Winkler

Jim Winkler — Wed, 21 May 2014 21:09:55 +0000

That is a great question! A better one might be why do you want to know? If you have asked them, and they didn't tell you, it will be very difficult for you to legally find out. The Patriot Act took great strides toward protecting our personal information, so it's not likely that unless you are close family, and trying to unravel a family members finances, that any company will tell you who their clients are. if you need more information, please don't hesitate to contact me, if I can help, I will. Thanks for asking!

Answer on Can I Get Life Insurance After Open Heart Surgery? by Jim Winkler

Jim Winkler — Wed, 21 May 2014 02:14:04 +0000

That is an excellent question! Yes, you can. And depending upon how long ago your surgery was, and how complication free you have been since, it should not prevent you from finding a good, affordable policy. If it has been more recent, you may find that the policies are more expensive, and come with a period called a "grade" that reduces your death benefit during that grade period. Your best bet is to find an agent who will look into finding you a policy that is right for you. If you would like to contact me , I'd be glad to help. Thanks for asking!

Answer on What Is Voluntary AD&D Life Insurance? by Jim Winkler

Jim Winkler — Wed, 14 May 2014 01:45:10 +0000

That is a great question! AD&D, or Accidental Death & Dismemberment is a type of policy that covers a very specific type of injury and death. Many people will purchase it, thinking that it will provide adequate insurance in the event of one's death. And it will, IF the death is the result of an accident. If it has to do with a sickness, disease or health issue like a stroke or heart attack, it provides no coverage at all, in nearly every case. It is a great, low cost way to protect against disability due to an accidental injury, and to supplement life insurance coverage, but I absolutely do not recommend it as a stand alone policy for life insurance. If you would like more information, please contact me, I'd be happy to set aside some time to talk to you privately about this. Thank you for asking!

Answer on How Does Renters Insurance Benefit The Landlord? by Jim Winkler

Jim Winkler — Tue, 13 May 2014 21:50:16 +0000

That is a great question! The landlord needs to provide a safe environment for the tenants, and carries insurance on the property. To help protect the property manager/complex from a higher liability, your renters policy helps take some of that liability off of their shoulders. If you damage the apartment, or someone is injured in your apartment, your policy covers some or all of that claim, and not the landlords. Thanks for asking!

Answer on When Can I Get On Medicare? by Jim Winkler

Jim Winkler — Sun, 11 May 2014 23:06:39 +0000

That is a great question! The vast majority of people will enroll as they near their 65th birthday. That is when you become eligible, unless there are special circumstances. Kidney failure is one, and having it regardless of age can allow you to become eligible. Extended disability is another. Thanks for asking!

Answer on How To Track Down Old Life Insurance Policies? by Jim Winkler

Jim Winkler — Wed, 30 Apr 2014 22:13:45 +0000

Great question! One of the best ways to look for a lost policy is to go to sites like findmypolicy.com or the MIB website. Both charge for their services, MIB if I remember right is $75. You can also check with your State's Unclaimed Property Department, in the event that the policy was unclaimed. If you have access to bank records, look for cancelled checks that were paid regularly to an insurance company. Cross your fingers, and say prayers that the policies weren't term policies, or allowed to lapse. If you need help, please contact me, Id be happy to help. Thanks for asking!

Answer on What Is Level Benefit Term Life Insurance? by Jim Winkler

Jim Winkler — Fri, 25 Apr 2014 13:06:45 +0000

Great question! You ever get those policy offers in the mail where they have a chart that shows the rates for different age groups? (or hear the one on TV that says "term life insurance for $19.99?") Look closely, and you will see where every 5 years the rate increases. These policies want to give you a specified amount of coverage, and as it becomes more expensive for them, they pass that cost on to you. The longer you live, the more expensive they become. (Until your 80th birthday, at which point most of them let you go, and your coverage ends.) Other types of life insurance policies figure that cost in, and charge you a level premium for the life of your policy. If you would like more information, please feel free to contact me, I'm happy to help. Thanks for asking!

Answer on Does CA 50/50 marriage law play into party when it comes to life insurance? by Jim Winkler

Jim Winkler — Tue, 22 Apr 2014 04:01:28 +0000

Great question! Insurance policies have three moving parts. The owner, the insured, and the beneficiary. The owner holds the right to changing the beneficiary; The insured is the person that the policy is taken out on; and the beneficiary is the person who gets paid when you (the insured) pass. Do you know who was listed as the beneficiary? That's what you really need to know. My understanding of the 50/50 law in your state as explained by a couple of lawyers, doesn't mean all debts or assets are necessarily split 50/50. I'd advise strongly that you ask the agent or company who holds the policy who they award the ownership to, and your lawyer. Good luck! Thanks for asking!

Answer on Does Owning A Trampoline Affect Homeowners Insurance? by Jim Winkler

Jim Winkler — Fri, 18 Apr 2014 13:39:54 +0000

Great question! The best thing to do would be to check with your agent first, and ask. There are many injuries every year from trampoline accidents , so there is an increased risk. Typically increased risk = increased cost. I can assure you that should someone be injured on your property, on your trampoline, and they file a claim against you for the hospital expense, your trampoline will end up costing you plenty. If you have more questions, please contact me, I'm happy to help. Thanks for asking!

Answer on What Does A Life Insurance Mouth Swab Test For? by Jim Winkler

Jim Winkler — Fri, 11 Apr 2014 14:36:24 +0000

Great question! A swab will test for many things, but typically the focus is on tobacco, major diseases, and illegal substances. They do this to ensure that what is marked on the application matches what is marked in your saliva. That protects you, and the insurance company, should a claim be filed at some point for something that the swab might or might not have found. If you have more questions, please hit the 'contact me' button, and I'll get back to you. Thanks for asking!

Answer on What Does Annuity Due Mean? by Jim Winkler

Jim Winkler — Fri, 08 May 2015 13:50:28 +0000

That is a great question! The definition of an annuity is " any stream of payments that has a fixed total." When we use the word in our financial word, we are referring to an investment vehicle designed for providing a long lasting income stream. They are offered by insurance companies and other financial institutions, and are used to fund retirements, grants and trusts. Here's a very simple description of how an annuity works: They are funded by a deposit, which then sits for a number of years gathering interest. After that period of time, the annuity begins paying out a set amount until either it runs out, the owner dies, or the owners spouse dies, depending upon how the annuity is structured. It guarantees that there will be an income that lasts as long as you do. Because they require that the deposit sit untouched for many years, an annuity may not be a good investment for some people. That deposit money can be taken out, but there are very costly penalties. As a result, regulations require that the seller sit down with you first and do what is called a "suitability study." They will go over your financial situation, your retirement plans, and your goals. If it is found to not be "suitable" for you, they cannot sell you one. This protects folks that may have need for that cash from being trapped into a losing investment. I hope that answers your question for you, if you'd like more detail, I'd be happy to help, feel free to contact me, okay? Thanks for asking!

Answer on Can I Get Medicare If I Took SS At 62 And Found Out I Have Hepatitis C? by Jim Winkler

Jim Winkler — Thu, 07 May 2015 14:15:40 +0000

That is a great question! The Medicare system was set up so that everyone could qualify for it, once they turned 65 years of age. There are no restrictions as to your health status - if you are perfectly healthy you qualify, if you have cancer you qualify. The age limitation is pretty solid though. You mentioned that you started taking your Social Security benefits at age 62, and if you did so because of a disability that required retirement and early benefits, and have been steadily taking those disability benefits since then you may qualify for the early Medicare exemption. To qualify for it, you will have had to have continuously pulled benefits for two years, and you have passed that mark if so. If not, I'm sorry to say that they are pretty strict about the age requirement, and you will be unable to sign up until you turn 65. Good luck, and thank you for asking!

Answer on Does Term Life Insurance Mature? by Jim Winkler

Jim Winkler — Thu, 07 May 2015 14:04:31 +0000

That is a great question! Term life insurance policies are very simple things. They provide protection that begins the day that the policy is approved and issued, and lasts exactly as long as the policy specifies. There is no maturity point, as the coverage is full from start to finish. And that is the thing to be aware of with term policies - they will most often end before you do. There is no returnable cash or value, and no more coverage after the specified day the term period ends. Be aware that extending that coverage becomes very expensive very quickly. Please discuss your need for insurance with an independent agent so they can best steer you to the policy that will work best for you. Thank you for asking!

Answer on If i contact my insurance company, will they increase my rates? by Jim Winkler

Jim Winkler — Wed, 06 May 2015 14:38:14 +0000

That is a very good question! You are kind of between a rock and a hard place. If you contact them, and have a 'safe driver' bonus, you could lose that, and with the subsequent rate increase,(if there is no first accident forgiveness plan) you might well exceed the expense of the repairs. On the other hand, if you do not know the person that she hit won't be the type that later claims back injuries or some such thing, and takes you to court (I'd wonder about this if he or she documented and/or took pictures, and your wife didn't), without the power of your insurance company behind you, you could be in a bigger mess. Another consideration is your deductible - if it's more than $700, you would end up paying that much anyway, and run the risk of a rate increase. If coming up with $700 is an issue, and you have a low deductible, then having the insurance company pay may be an option. Perhaps a good thing to do might be to contact your agent, and tell them you and your wife were talking about what would happen if one of you were to have an accident, and were not sure what would happen if so, and have them explain it to you. If it sounds good, then do it, if it sounds bad, then consider your risks of handling it out of pocket. Personally, I'd probably call them, and explain it exactly as it happened, and trust my agent to what is best for me. I hope it works out for you, good luck, and thank you for asking!

Answer on If I Move To A New State, How Long Do I Have To Get New Auto Insurance? by Jim Winkler

Jim Winkler — Wed, 06 May 2015 14:25:09 +0000

That is a great question! Here in Texas, it is 30 days, but each State will have its own regulations as to the time period they will allow to pass before ticketing you for not being properly registered. I had to have a policy that was issued in Texas before being able to register my car and get plates, you may need to switch your policy first also. I'd recommend going on line to your new State's Department of Motor Vehicles or Secretary of State webpage and see what your State requires. Good luck with your move, and thank you for asking!

Answer on I Have A Qualified Variable Annuity. What Is That Exactly? by Jim Winkler

Jim Winkler — Wed, 06 May 2015 14:17:01 +0000

That is a great question! I'd strongly advise that you check with your annuity's agent or your tax adviser before doing anything. You mentioned that you were willing to pay penalties and taxes, so I'm assuming that there is a pressing need for cash, or a great dislike for the policy/agent/company that has caused you to decide to gut your annuity? If so, I'd again advise caution. If you surrender your annuity, and it was meant to fuel your retirement, what is your plan to replace it? Will you end up suffering for many years for a temporary hardship if you surrender the annuity? Maybe it might be wiser to see what cash withdrawal you can make from the annuity without fees (you are allowed a certain amount without penalties or fees, and more if you are willing to pay any surrender fees that may still be applicable) and leave the annuity intact; you may also want to look at borrowing from a cash value of any whole life policy that you may have, as that also is a quick and relatively painless way to get cash. If your heart is set upon surrendering it, please bear in mind that there will be a 10% penalty, possible surrender fees, and a major tax bite from the amount that you might expect to get. Please assume that if you are lucky, you will recieve roughly half of what you are expecting to receive, depending upon your tax bracket. This type of investment is designed specifically for saving, and stopping the process is very costly. To start the process, contact your agent who sold you the annuity, or the plan administrator, and tell them of your intentions. If you would like to discuss this further, please do not hesitate to contact me, okay? I'd be happy to help. Good luck, and thank you for asking!

Answer on What Is The Impact Of Gender Change On Auto Insurance Rates? by Jim Winkler

Jim Winkler — Wed, 06 May 2015 14:00:15 +0000

That is a great question! I think that the industry will have to rethink how they treat this issue somewhere along the line, but I think for the time being it is safe to assume that they will react as any profit oriented industry would. Unless you can show them medical proof that you are now "Joann", and not still anatomically "John", I'd expect to pay the "John" based rates. I am afraid that they would speak carefully about appreciating your choices, but then fall back upon corporate doctrine, and charge you according to your rate category. There is no statistical evidence that would persuade them that changing your gender would change your driving habits,(individually or as a rate class) so it's unlikely that they would reclassify you. That said, you never know, some companies and States are a little more progressive and understanding, so it's certainly worth asking your auto insurance agent. Good luck, and thanks for asking!

Answer on Can You Have Life Insurance On SSI? by Jim Winkler

Jim Winkler — Wed, 06 May 2015 13:52:04 +0000

That is a great question! There are no rules that would prevent you from having a life insurance policy while collecting SSI. It is actually a really good idea to have a policy, as it can cover your final expenses, burial costs, and leave a legacy behind for loved ones. There are sometimes issues with Medicaid, however. While they have no problem with you having a policy for your final expenses and burial, they do have an issue if you have a policy that has a great cash value. As you may know, Medicaid is designed for those folks who are severely economically disadvantaged, and they look for any large tangible assets that you can use to pay for your own medical expenses before expecting the taxpayers to pay for them. As a rule, a smaller final expense policy will fall under their threshold for assets, and after doing a little documentation, is no issue. If you do not have a policy, please look for an independent agent in your area who can help you work your way to finding the right policy for you. If you need help, please feel free to contact me, and I'll help in any way that I can. Thank you for asking!

Answer on What Are Qualifying Events For Health Insurance In North Dakota? by Jim Winkler

Jim Winkler — Fri, 17 Apr 2015 03:53:32 +0000

That is a great question! The best thing to do is go to the Affordable Care Act (Obamacare) website, www.healthcare.gov and walk through the questions to see if you qualify. Start by entering your zip code and county, and follow the very simple prompts. It will tell you if you qualify for a policy. There are several qualifying events - gaining or losing a spouse or child, losing a job or income, moving out of a previously covered area, losing your coverage, even gaining citizenship or being released from incarceration. Give it a shot, and if you need help, feel free to click on my profile and contact me, I'd be happy to walk through it with you. Good luck, and thanks for asking!

Answer on How To Compare Individual Health Insurance Plans? by Jim Winkler

Jim Winkler — Thu, 16 Apr 2015 14:31:23 +0000

That is a great question! Thanks to the Affordable care Act (Obamacare), there are now exchanges where you can look at several policies to compare them. Even so, they can still be confusing. How do you know what to look for? I'd ask you to contact one of the advisers available on the site, or a qualified agent to help find the right policy for you, but here are some simple things that you can look at to get an idea. ( I have simplified this greatly) The OUT OF POCKET COST - this is what it will cost you to get your service, Doctor visit, or service. The out of pocket is determined by your DEDUCTIBLE ( the amount that you pay before the insurance company pays - a high deductible plan will cost less in monthly premiums, but more when you need medical help), your CO-PAY, (the amount that is charged to you for the service rendered. Typically, the lower your out of pocket, the higher your monthly premium will be. If you/your family are healthy people with few prescriptions or medical needs, a high deductible plan with a low monthly cost might make sense. The PREMIUM - this is the monthly cost of the policy that you will pay to the insurance company for the coverage the policy will provide. The COVERAGE - what the policy will allow for services, Doctors, and prescriptions. Here's where an adviser can be really helpful. You want the policy that covers the most things for the least cost, while allowing you the most freedom over who to use as the provider of the services. If you have a medical need that requires frequent services, and you've had the same Doctors for awhile, you'd want to be sure that the policy allows that doctor to continue being your Doctor (They call this in-network, or out-of-network and charge accordingly), and that his/her office accepts that insurance. This is a greatly simplified overview, and I would still advise that you have someone help you when you are choosing, but this hopefully gives you a better idea of how to get started. Thanks for asking!

Answer on What State Has The Highest Automobile Insurance Rates? by Jim Winkler

Jim Winkler — Wed, 15 Apr 2015 20:11:36 +0000

That is a great question! There is a company that commissions a survey every year to provide exactly the information that you asked for, and it was just released not too long ago. You've got great timing! They use the example of a 40 year old man with good credit and a clean driving record as their standard, driving a Toyota Camry, and poll 20 zip codes in each State. This years results gave an average national cost for that auto insurance as $1311. The cheapest state was Maine, with an average cost of $805, and the most expensive was Michigan at $2476. It is very important to remember that those are averages, and can vary widely from zip code to zip code, and from driver to driver. Factors such as percent of uninsured motorists (Florida), fatalities (Wyoming) and insurance laws (Michigan) all play major roles in costs . I lived in Michigan for many years, and can tell you that the "no-fault" insurance laws and the very generous medical payments that were allowed, along with the high theft rates made the insurance there much more expensive than it was in some other States that I've lived in. Please take these survey numbers with a great bit of salt, as the costs within a State can vary greatly, and even in cities from suburb to suburb. I can tell you for a fact that my auto insurance in Chicago was far more expensive than it was when I was living in the rural countryside...But there you go. Thanks for asking!

Answer on If already insured, will insurance pay for Federal Pacific Stab-Lok panel that show signs of issues? by Jim Winkler

Jim Winkler — Wed, 15 Apr 2015 04:49:27 +0000

That is a great question! There have been issues with Federal-Pacific breaker boxes for years - I've heard that nearly 1 in 4 are defective...They were actually investigated some years ago, and found guilty of fraudulent testing. Faulty wiring is usually a covered expense so your homeowners policy should cover some or all of the cost (minus deductible). They put an awful lot of those things in homes during that time, so there are a lot of folks in the same boat you are. Good luck! Thanks for asking!

Answer on Is there aid in paying for Xeralto? by Jim Winkler

Jim Winkler — Wed, 15 Apr 2015 04:42:12 +0000

That is a great question! Have you checked with your doctor or pharmacist to see if there are samples ( I've had several through the years who would give sample packs when we reached the maximum amount that insurance would pay) or a similar product or medication that they can put you on to help keep your cost down? If they can't, maybe the manufacturer offers help with the prescription costs. You can try and contact them to see. Many of them will, because they know you'll be using their medicine, and not someone else's. You might also ask your Doctor if there is a generic version that you can take that would be cheaper for you. Give those things a shot, it's definitely worth a try. Good luck, and thanks for asking!

Answer on Will High Deductible Health Insurance Plans Become The Norm? by Jim Winkler

Jim Winkler — Mon, 13 Apr 2015 15:01:54 +0000

That is a great question! Very simply put, probably so. While the Affordable care Act (Obamacare) has done a good job of slowing healthcare costs from rising double digit increases to low single digit increases, the damage has been done. The high costs to employers of providing their share of the costs eats into their profits, and sadly the prevailing sentiment seems to be profits are more important than employees in far too many cases. As that is the case, what we are seeing is a shift from the employer taking the risk of paying to the employee. This has been the case with retirement accounts, there are very few companies that pay pensions anymore, most have moved to employee managed 401k's or IRA accounts. The same with health care - they still offer it, but to keep costs low, they offer plans that have low costs, and high deductibles. The good companies will make HSA's (Health Savings Accounts) available to you (they allow you to deduct money from your check and deposit it in an interest bearing account for future medical expenses, and can only be used with high deductible plans) to kind of balance them out. So my best guess is unless there is a change in employer love for profit, or a dramatic drop in health care costs, we've pretty much set ourselves on a path of high deductible health care plans. Thanks for asking such a good question!

Answer on Will insurance cover a fire if it occurred on the same day a policy was reinstated? by Jim Winkler

Jim Winkler — Mon, 13 Apr 2015 14:49:15 +0000

That is a very good question! It will certainly be something that the insurance company will be very suspicious of, as it is always very coincidental when the policy and claim come in the same day. I'd expect that they will work very hard at showing reason to doubt the fire was a naturally occurring accident that you had no knowledge of beforehand - you weren't aware of any thing that might have contributed to it, let's say. The way I read your post, the policy was inforce for nearly an hour before the fire, so they would definitely seem to be be obligated to pay. However, I'd bet there is a clause or some language in the policy that protects the insurer from suspicious or intentional claims, and my best guess is this is where your battle will be fought. I am not a lawyer, and would not give you any legal advice, but if they drag their feet about paying the claim you may want to have one on hand, just in case. Good luck, and thanks for asking!

Answer on Why Is It Prudent To Start A Retirement Plan As Soon As Possible? by Jim Winkler

Jim Winkler — Sun, 12 Apr 2015 21:45:16 +0000

That is a great question! One of the biggest issues we face in the financial industry is the cold truth that many people start thinking about their retirement far too late to adequately fund it. There are few conversations that are harder than having to tell someone that their current income will not allow them to save enough to fund the retirement plans they had dreamed of. Starting early really helps make saving enough a real possibility. By not thinking, "I'll start next week/month/year" the process begins, and allows for enough time to make the possibility a reality. Modern wisdom says to live on your current standard of living, you will need to save 8-10 times that much. If you're barely making ends meet now, you're probably going to want to save even more. To be on track to make your retirement goals, the rule of thumb in your twenties is save 15% of your income. Starting your savings in your thirties increases that to about 22%. Starting in your 40's? Think about setting aside about 27%. 50's? Better plan on nearly 40%. You can see how increasingly difficult it can be to make up the ground as you age. It is so much easier to start young, and take advantage of time to help build your savings. Having time to build your savings becomes easier when things like employer matching on company 401k's and compound interest are available to take advantage of. Investing enough in your company plan (assuming your company is good enough to you to still offer one) to earn their match doubles your savings, and over time, will make a huge difference. Same with compound interest. Opening an account with compounding interest and depositing in it even if it's small amounts and infrequently will lead to large values in that account when you are ready for retirement. Many people find that saving the money is hard, studies show nearly 60% of all American's don't have enough savings, and over half of Americans entering retirement age are afraid they will not have enough money to retire on. By having a good, working budget, the willingness to cut back on extra's, and some dedication, you can avoid being one of them. Please feel free to contact me if you'd like some help with a budget, or ideas on how to get started saving, okay? I'm happy to help. Thanks for asking!

Answer on What insurance covers your car if an auto shop damage your engine? by Jim Winkler

Jim Winkler — Sat, 11 Apr 2015 21:50:06 +0000

That is a great question! The auto repair shop is liable, providing you can prove that they were responsible for the damage. Hopefully they make it right because they are a reputable business, and value you as a customer, but if there are issues with getting it taken care of, you may have to resort to hiring an attorney or taking the case to small claims court. Let's hope they realize that their business reputation is worth more than the cost of fixing your car, and spare both of you the misery. Good luck, and thanks for asking!

Answer on Why Should I Buy Annuities? by Jim Winkler

Jim Winkler — Sat, 11 Apr 2015 21:42:46 +0000

That is a great question! There are several reasons why annuities can be a good investment, and some reasons why they may not be. The downside? the purpose of an annuity is to save up for a later payout, so there are steep penalties for taking out the money early. Once you've put your money in, you have to leave it there for a period of time, so you need to be able to leave that cash alone. You'll need to have an adequate savings, and cash flow to cover whatever may occur before the withdrawal time comes. Depending upon the annuity, there might mot be the return that you might get from an alternative investment. The pluses? There are great guarantees. You will know exactly what you have at risk, and what your potential gains will be. It's unusual to lose money with the right annuity, and most will guarantee no less than what you started it with, so even if the markets and interest rates tank, you get back no worse than what you put in. Can't say that about bonds, money markets, or stocks. Annuities can also be structured to give lifelong payouts, and include the lifespans of both you and your spouse. Having an income that you can't out live is also a big plus. They are passive investments, which means you don't have to keep track of what they are doing, you buy and let them roll, or look at them once a year and adjust, if you decide to. The security of knowing you will be receiving a lifelong monthly payment is a huge part of financial peace of mind. Thanks for asking!

Answer on Do You Really Need Medigap Insurance? by Jim Winkler

Jim Winkler — Sat, 11 Apr 2015 19:14:42 +0000

That is a terrific question! Unless you have a ton of money, unfortunately the answer is probably yes. The name says it all. There is a gap between what Medicare will cover, and what most people will need, when it comes to medical practices, procedures, and prescriptions. That gap in coverage then falls entirely upon you. For most people, the expense of the coverage is more than they can afford. To fill that gap, many health insurers created policies that help pay for those procedures, practices, and prescriptions. I'd recommend that you speak with your adviser about your current health insurance coverage, your social security and medicare options, and the likelihood of needing a medigap plan, so that you can plan accordingly. Thank you for asking!

Answer on Is A Fixed Indexed Annuity A Good Idea For Seniors? by Jim Winkler

Jim Winkler — Sat, 11 Apr 2015 19:06:34 +0000

That is a great question! They can be, a great investment, depending upon your financial situation. An agent will do what is called a "suitability study" with you to determine whether an annuity is right for you. The suitability study is designed to see if the investment in an annuity is a safe investment for you to make - is it financially safe, will it meet your retirement needs, and does it fall within the tolerable amount of risk that you are comfortable with. Annuities are not very flexible for a period of time when it comes to the money that you invest. There are large fees and penalties, and much damage done to the earnings potential if you need to take back money from your annuity in the first years of the contract. This period is called the "surrender period", and may last as long as 10 years. That makes an annuity something that should be seriously considered only if you have some safeguards in place, and have a good cash flow. That said, if it is a suitable investment, then it can be a terrific one to make. Annuities can guarantee an income that you can't outlive, and with our increasing lifespans that is a great thing to have! There are some really good annuity products out there, and the indexed ones have some great earning potential and guarantees. If there are specific questions that you have, feel free to contact me, I'm happy to help. Thanks for asking!

Answer on if i have a universal life policy and the guaranteed side goes to zero at age 75 does that mean that I lose the death benefit at that age? by Jim Winkler

Jim Winkler — Sat, 11 Apr 2015 18:52:33 +0000

That is a great question! Call your agent as soon as you can, and ask them to give you a current illustration for your policy. Here's the deal - Your policy is like a glorified term policy - that means it's only designed to last a period of time and then eat itself and die, unless interest rates are high ( which they haven't been for years) or you overpay your premiums ( which no one does). With these policies, the cost of the insurance and fees increase every year, and are not factored into your premium payment. When the cost of your insurance becomes more than your payment, it begins to dip out of your cash value to compensate for the shortage. Once that cash value is depleted (and it sounds like your policy was designed to do that at age 75 for you) your policy lapses unless you pay more to keep it alive. That is typically financially unrealistic for most, and your coverage ends. Please contact your agent, and get a look at where your policy stands, and what your options are. Good luck, and thanks for asking!

Answer on is being wheelchair bound an automatic disqualification for life insurance? by Jim Winkler

Jim Winkler — Sat, 11 Apr 2015 18:42:30 +0000

That is a great question! The wheelchair itself is for some companies, but for most it's the reason for the wheelchair that is. In the case of your son, I'd strongly suggest that you find a local independent agent who can help you look for an affordable policy. There are companies that will write a policy for your son. What you want to be aware of and look for, are how the policy will be classified. There are policies issued for people with no big health issues, policies for minor health issues, and policies for people with bigger health issues. These policies are called "graded", modified", or "guaranteed issue" policies. They all are more expensive, and will have a period of time where the return on the policy will be reduced, if your son were God forbid, pass. That is where the agent can really help. You want to find the most affordable price, with the shortest grade (the period of reduced payment of benefits), and the highest return to you. Good luck in your search, if I can help in any way please feel free to contact me, and thank you for asking!

Answer on Do damages caused by weather void an auto deductible? by Jim Winkler

Jim Winkler — Sat, 11 Apr 2015 18:19:16 +0000

That is a great question! Unfortunately, I do not have a great answer for you. The deductible part of your insurance policy is designed to help lower the cost of that insurance by sharing the expense of repairs. The higher the amount you pay, typically the lower the cost of the policy. Unfortunately, the cause of the repairs is not a factor in having to pay your deductible. Whether it was your fault, their fault, or no one's fault, per your policy contract, you are obligated to pay the deductible. I'm sorry, but that is just how it works. Thanks for asking, though!

Answer on Is High Cholesterol Considered Heart Trouble When Completing A Life Insurance Application? by Jim Winkler

Jim Winkler — Sat, 11 Apr 2015 18:05:33 +0000

That is a great question! I'm glad that you asked it, because I believe that you are representative of a lot of people that fear health issues will keep them from getting life insurance, like pre-existing conditions did with health insurance. Many people aren't aware that the Affordable Care Act (Obamacare) removed that obstacle, so the perception that having a health issue gets in the way of getting, or affording insurance. Life insurance qualifications take a close look at your health issues, but aren't as strict as you might think. Most insurers will look at your high blood pressure, cholesterol levels, or diabetes, and if they are being controlled by medications, will not count that against you. It's when these issues aren't being managed that you will have trouble getting or affording the coverage. Many companies will also have a "look back" period, where it is only within that period (usually 2-5 years) that major health issues are considered. So if you'd had say, a stroke, but it was 10 years ago, and you've been on medications and have had great health since, a good independent agent can help you find a policy that won't count that stroke against you. I am pleased that you were so careful with being truthful with your answers, that says a lot about your character and honesty. You rock!! I hope that helps you feel better about the question - they are looking for big things, not the little ones, but if you are still worried, just ask your agent, or drop me a line, and if I can help I will. Thanks for asking!

Answer on Is A Deferred Annuity An Insurance Contract? by Jim Winkler

Jim Winkler — Wed, 01 Apr 2015 03:53:59 +0000

That is a great question! Annuities are considered to be insurance products, and there is most definitely a contract that defines clearly the stipulations for payments and fees for you and the insurer issuing the annuity. Deferred annuities can be great investments, especially if you can safely put aside that money without need for the allotted deferment period. Be sure to do your suitability study to be sure before buying one, okay? Thanks for asking!

Answer on When Can You Withdraw From Your Roth 401K? by Jim Winkler

Jim Winkler — Wed, 01 Apr 2015 03:41:06 +0000

That is a great question! Roth IRA's are very withdrawal friendly, compared to other retirement plans. Simply put, your contributions can be withdrawn at any time without being taxed, as you paid the tax on those contributions before making them.Withdrawing your contributions is no different than taking it out of your savings account. It's not income to take back your deposit. Your earnings, however, can be taxed under certain circumstances. To avoid them, your plan must be open for at least five years, and you must be at least 59 1/2 years of age. But...even then there are reasons that you can pull earnings without being taxed - first time home buying, medical emergency payments, and qualified education expenses would not be taxed. Like I said, this is a very withdrawal friendly investment vehicle. So to recap: contributions can be taken tax free at any time. Earnings after 5 years, and if you are over 59 1/2, unless it's for a qualified expense. Remember that the purpose of your Roth is to generate earnings, and any withdrawal of funds from it early will have a very serious impact on that growth, so should be avoided if possible. This was a great question, thanks for asking it!

Answer on Should You Save For Retirement Or Pay Off Debt? by Jim Winkler

Jim Winkler — Wed, 01 Apr 2015 03:18:10 +0000

That is a great question! There are a couple schools of thought here, both with merit. One school will tell you to pay off debt first, and then contribute the amount that would have been paid to interest and loans to your retirement fund. The other will tell you to start funding your retirement early, so as to best utilize the power of time and compounding interest. I recommend a hybrid approach. If you have the opportunity to fund a workplace 401k with employer match, then contribute as much as you can to receive the employer match. It makes no sense to pass on that free money, and longer time at compounded interest will grow a fund faster than shorter time and larger contributions. If that isn't an option, then open a Roth account, and fund it with automatic deposits of whatever amount you can afford. At the same time, working off a detailed budget, we work at reducing the debt, and creating an emergency savings. The 'snowball' payment method is one that I've found to be effective in creating excitement and motivation in reducing debt. I've found that with most clients finding the money to be able to work on those goals simultaneously isn't hard to do, once we've scoured their spending habits and expenses. Having automated deposits to pay your savings and Roth are also big key steps - what you don't see, you don't miss! I'm certain that you will get several differing opinions and answers to your question, so I'd ask that you really think them over, and work with the answer that feels best to you. Find an adviser that can help you get where you need to be. Thanks for asking!

Answer on Why Is A 401K Loan A Bad Idea? by Jim Winkler

Jim Winkler — Wed, 01 Apr 2015 02:59:45 +0000

That is a great question! There are some reasons why taking a loan out of your 401k might not be the best option. Before doing so, please consult your plan administrator and be certain to understand the rules for your particular plan. The first reason is that you may lose the ability to contribute to your fund while your loan is outstanding. Some companies will disallow contributions or matches until the loan is repaid. That can seriously derail your long term growth potential of your plan. Other companies will deduct the loan payments from your check, reducing your flexibility with other payments. The second reason is that you lose your tax sheltered advantage. The interest that you are paying yourself on the loan (you are both borrower and lender in the transaction) is considered a taxable income by the IRS, and reduces your returns. It's also possible that the opportunity cost of having invested that repaid interest could be more than what you'd make having used it in an investment. The third reason is that if you were to God forbid lose your job, the loan amount is repayable within 60 days. If that isn't done, you are subject to a 10% penalty on the balance, (if you're under 59 1/2) and are due for whatever State and Federal taxes apply, as it is no longer considered a loan, but an early withdrawal. An alternative to consider might be a home equity line of credit, if the interest rates and your equity allow. Some things to consider. Again, I'd advise you to speak with your plan administrator and see exactly what your plan rules are. Thanks for asking!

Answer on Is There Capital Gains Tax On Roth IRA? by Jim Winkler

Jim Winkler — Wed, 01 Apr 2015 02:41:59 +0000

That is an excellent question! The investment gains within your Roth IRA are not subject to capital gains taxes. As long as your gains are contained within the IRA, you aren't subject to any taxes on those gains. That is one of the best reasons to have one. Your contributions are taxed before making them, so like life insurance, it isn't taxable coming out. There are rules about making qualified withdrawals that have to be followed to keep your withdrawals tax free during the first five years, but they only apply to the gains, not the contributions. (Those can be taken out at any time without penalty, other than loss of earnings potential.) Roth's are excellent investment vehicles, particularly when considering the tax implications. Thanks for asking!

Answer on Does Having A Dog Increase Homeowners Insurance? by Jim Winkler

Jim Winkler — Wed, 01 Apr 2015 02:20:34 +0000

That's a great question! Having a dog in and of itself might not affect your home owners rates, but owning specific breeds of dogs might. Depending upon your policy and company, there are some breeds of dogs that the insurer will deem as more of a risk to bite. That risk will affect the liability portion of your policy, and thus increase your rate. I'd advise you to contact your agent, and see if they have a pet clause in your policy, and if your dog will invoke any or all of it. Hopefully it won't, and you will have many wonderful years with your furry companion! Thanks for asking!

Answer on Can You Have A Roth 401K And A Traditional 401K? by Jim Winkler

Jim Winkler — Sun, 22 Mar 2015 00:10:57 +0000

That is a terrific question! Yes, you absolutely can, and should! If you can afford to fund both accounts, by all means do so. The tax free growth advantage of the Roth, and the freedom to continue letting it grow when you turn 70 1/2 make it a perfect compliment to the taxed withdrawals of your 401k account. The balance of the two are a very good investment plan for your retirement. You should be aware that the IRS caps the amount of yearly contributions in your Roth at $5500 a year ($6500 if you are over 50 years old). You can put $18,000 into your 401k, in 2015, and an additional $6,000 if over the age of 50. If you can afford to max these out, do it! Especially the 401k if your company matches a percentage of the contributions that you are making. What a great question! If you need more detail, please feel free to contact me, okay? Thanks for asking!

Answer on How Do You Convert Term Life Insurance To Whole Life Insurance? by Jim Winkler

Jim Winkler — Sat, 21 Mar 2015 23:53:16 +0000

That is a great question! Your policy should have a clause that outlines the details of your conversion process, but here's what you want to do. If you purchased the policy through an agent, contact them and let them know what you are wanting to do. They will then tell you if your policy is convertible, and if so what that conversion will buy for you in a whole life policy. You should be aware that your coverage amount will be much lower, and if you want to keep the face value that your premiums will become much more expensive. Whole life policies are more expensive than term policies are because of their cash accumulation features, and the higher risk to the insurer - they don't have to pay out on many term policies, but have to pay out on nearly every whole life one. Decide where your budget allows, and what minimum coverage you want to keep, and have your agent work with you on getting as close to those numbers as possible.I think the conversion is a great idea. If you have questions, please don't hesitate to contact me, okay? Thanks for asking!

Answer on What Is Variable Adjustable Life Insurance? by Jim Winkler

Jim Winkler — Mon, 16 Mar 2015 00:28:41 +0000

That is a great question! In the spectrum of life insurance policies, there are policies that come with lower risk and higher guarantees, and there are those that may have higher values, but come with more risk and less guarantees. On the low risk end are traditional whole life policies. You pay a set premium for a specific face value, and as long as you pay your premiums, it's almost certain that you will see that face value paid when the insured passes. Moving up the spectrum a little are term policies. These policies also have set face value amounts, and cover only a specified amount of time. The payments may or may not remain constant. they might increase or decrease as the term nears completion. The only way these policies pay out is if the insured passes while the term period is still in effect. On the high risk end of the spectrum are the adjustable,variable, or universal policies.Though they may carry any of these terms in the name, the basic working chassis is the same. With these policies your risk to gain or lose is not guaranteed. You basically play the market within your policy with the funds that are in it. If your investments do well, then your policy may make money, remain solvent, and have steady premium payments for you. If the market isn't doing so hot, like lately, or your investment choices weren't the best, your policy may go belly up, or require higher premium payments from you to keep it solvent. The guarantees on this type of policy are generally minimal, and the balance of the risk is on you, not the insurer. They will have some pretty good looking numbers when trying to sell it to you, so if you are looking to purchase one of these, please be very sure that you understand exactly what you're offered, and what is guaranteed, okay? I appreciate you asking, and if you'd like more information, please don't hesitate to contact me, okay? I will go on record now as saying that I do not advise my clients to purchase this type of policy, unless they are completely comfortable with the possibility that they may lose money, or pay more than they might have wanted to. Thanks for asking!

Answer on Is There Any Insurance Available For People, In Good Health At 81 Years Old? by Jim Winkler

Jim Winkler — Mon, 16 Mar 2015 00:11:50 +0000

That is a great question! And I have a great answer - yes there are companies that will insure you, especially if you are in good health! You need to be aware that they may not be very cheap, as a great portion of the insurer's risk is based upon mortality rates and life expectancy, and at 81, you are in the higher risk end of the spectrum.It is also quite likely that the face value amounts that you will be offered will be relatively small for that same reason. Life insurance is unfortunately one of those things that are cheaper the younger you are when you acquire it, and more expensive as time marches on. The majority of insurers will stop offering policies after the age of 80, so you will want to look for a trusted agent who can look for a company that will be the best fit for you. They can help you find a policy that may avoid being modified or graded, especially if your health is good, as you mentioned. I hope that helps you, if you'd like more information, please do not hesitate to contact me, I'd happily make time to discuss your concerns or questions with you. Thank you for asking!

Answer on I know a person who has taken ownership of a life ins policy without the original owners permission, is this legal? by Jim Winkler

Jim Winkler — Mon, 16 Mar 2015 00:02:46 +0000

That is a very interesting question! Legally, the only way that ownership of an insurance policy can be transferred from one person to the next is if the original owner has done so by completing paperwork with the insurer, and signing it over to the next owner. If there is some debate over whether this has been done ethically or legally, then I'd start by finding out whether the original owner was aware of what they were doing. If the original owner did so under duress, or was not mentally competent (maybe suffers from dementia or Alzheimer's, for example) to make that decision, then there might be grounds to have the insurer legally cede ownership back to the original owner. If the owner signed it over and did so in their right mind, and freely, no matter how much you may dislike the idea, it will be virtually impossible to undo. I'm sorry if that's not the answer that you were hoping for, but I'm glad that you asked.Thank you for doing so, and I hope that it works out for you.

Answer on What Is Graded Death Benefit Whole Life Insurance? by Jim Winkler

Jim Winkler — Sun, 15 Mar 2015 23:49:59 +0000

That is a great question! If you are looking at whole life insurance policies, you want to look at whether the policy is an "immediate issue" policy, or one that is a "graded (or "modified")" policy. An immediate issue policy is one that goes into effect as soon as the underwriting is approved, the policy is issued, and the first payment received (in some States the policy may be honored if the company issued the policy, and the payment had not yet been received). These policies are most often written for people with great health, or people with minor health issues, as determined by that company's underwriters. (A good independent agent can help you find the best fit.) A graded or modified policy will be issued to folks that have more significant health issues, or by companies that are mass marketing the policy - like AARP or Mutual of Omaha's "guaranteed everyone qualifies" policies that you see on TV or that arrive in your mailbox. These policies will all have a period of time where the desired face value (and typically it is very small - often not more than $10,000) is not paid out unless the insured dies an accidental death (as strictly defined by the insurer). Typically any health related passing will result in a payment only of the amount you've paid into the policy, and some amount of interest. This period is generally 2-3 years. (Again, an independent agent can help sort through companies to help you find the best grade for you.) So an "everyone is guaranteed" policy like AARP offers will somewhere in the small print tell you that the policy has a graded or modified benefit period of ___ years and during that period a death resulting from natural causes will result in the return of premiums paid plus __% interest. This is done to help limit their cost over the entirety of the risk classes they will be insuring. The other companies that offer this type of policy are doing it based upon your specific health issues, and the increased risk to your mortality. For example, someone who has no diabetes, or that has controlled their disease with a regimen like Metformin will usually be a certain immediate issue candidate. Someone whose diabetes went unchecked for a while, and is on an insulin program will more often than not be issued a graded/modified policy. If that unchecked diabetes has led to complications like amputations, diabetic coma, or neuropathy, you can usually expect the more expensive guaranteed issue policy to be your only option. Again, a good agent can help you find the best fit for you. You can expect to pay less for the immediate issue policy, more for the graded policy, and most for the guaranteed issue policy. I hope that answers all of your questions, and if not, please don't hesitate to reach out and contact me, I'd be more than happy to spend some time answering whatever questions or concerns that you may have. Thank you for asking!

Answer on When Do You Pay Car Insurance? by Jim Winkler

Jim Winkler — Sun, 15 Mar 2015 23:12:10 +0000

That's a great question! Your insurance company will offer you a few different options. The most common are to pay monthly, quarterly (every three months), every six months, or yearly. Not every company will offer all of those options, and by far the most common billing method is paying monthly. Your insurance company may also make payment options dependent upon your length of time insured with them, the make and model of your car, and your driving history. I'd expect to pay monthly with most companies, and be happily surprised if they give you the option to pay less frequently. Thanks for asking!

Answer on What Kind Of Health Insurance Do Professional Hockey Players Have? by Jim Winkler

Jim Winkler — Wed, 25 Feb 2015 18:01:14 +0000

That is a great question! The Pro players generally have health insurance through plans set up by the player's union. The Clubs themselves will have policies for non-playing personnel, and may offer as contract stipulations/bonus's some level of coverage for the players, but as a rule it is done through the player's union. In some cases the team may cover the minor league players, (some MLB teams do this also) in others it's the union, depending upon contracts, playing time in the big leagues, etc. As you might imagine, due to the increased risks of playing contact sports, the benefits and coverage will be greater than what the average health policy would be. I'm certain that the Player's Union Rep or the specific team's HR person could give you specifics, should you ask. I appreciate your question though, and you for asking it! Thanks!

Answer on Can I Ride A Snowmobile Without Insurance? by Jim Winkler

Jim Winkler — Wed, 25 Feb 2015 15:01:58 +0000

That is a great question! If you are living in one of the Northern States where snowmobiles can see some use, it's a good bet that you'll be required to have some insurance coverage. There are a few really good reasons why it makes sense to get a policy. The first is that any damages or personal injuries that might occur on your property as a rule won't be covered by your homeowners policy. If something bad were to happen, you would be left unprotected for the liabilities of costs and damages. Your snowmobile (and trailer, if you have one) won't be covered under your auto policy either. So again, you would be liable for any damages if something bad were to happen. So what should you purchase? I'd strongly recommend the same kind of coverage that you'd buy for your car - full coverage with comprehensive, collision, and liability. Here's why - collision is obvious, if you run into something, or roll your sled, it will be covered by this part of the policy. The comprehensive portion covers the other stuff - hitting a deer, water damage busting thru ice, etc. The liability part covers you for damage to riders, or property. You can add trailers to your policy coverage with some carriers, and that makes sense, as it's cheap, and doesn't get covered by most auto coverage. Sled policies are generally fairly inexpensive, and often can be discounted with multiple sleds, proof of training classes, and bundling with other policies. Most will not charge for non-use periods also. I'd say it's definitely something to have before you ever get on your sled, okay? (I love this question, I'm from up North originally myself, and don't get to answer too many of these type questions here in Texas!) Be safe, have fun, and thanks for asking!

Answer on What Is The Current Interest Rate On Annuities? by Jim Winkler

Jim Winkler — Wed, 18 Feb 2015 03:34:03 +0000

That is a great question! But a difficult one to answer...Most companies will offer several interest strategies on an annuity, and those can be dependent upon market fluctuations, or contractual stipulations. They can change daily. Other annuities will have set interest rates that may change monthly, or may remain the same. Rates will vary from company to company, and from annuity to annuity within the company. Your best bet is to contact the agent for the company you are interested in, and ask for the current rates. Anything that I'd tell you here would most likely change before you read it. But thanks for asking!

Answer on Is 401K Money Tax Free? by Jim Winkler

Jim Winkler — Wed, 18 Feb 2015 03:29:18 +0000

That is a great question! In any retirement vehicle the money in it will be taxed at some point. In a deferred vehicle like a 401k, the contributions that fund it are made before taxes are taken out. As a result, once the money begins to be withdrawn, the Government collects the tax on those contributions, and any growth that has occurred on that money. This works out well if you've moved into a lower tax bracket than you were in when making the contributions. A good retirement plan will balance out that tax loss by including a tax free vehicle like a Roth IRA (the contributions that fund it are taxed going in, so tax free when withdrawn) or a similar investment. Talk to a trusted adviser, and see what might work best for you, okay? Thanks for asking!

Answer on What Does Increasing Life Expectancy Mean To My Retirement Plans? by Jim Winkler

Jim Winkler — Mon, 16 Feb 2015 21:37:46 +0000

That is an excellent question! And one that a whole bunch of people are asking. Unfortunately for many people it means that their retirement plans may not fund the retirement they'd envisioned. For some it means they will need to scale back expenditures more than they'd hoped. For others still it is a very scary thought, as medical expenses continue to rise, and benefits continue to be cut. For those still able to react to the situation, it means increasing the amount set aside for retirement, and investing in vehicles that can continue to pay out regardless of how long the retiree lives. It means looking more closely at what retirement looks like to you, cutting expenses, and maximizing income.It means a close eye on returns, and better planning. If you have concerns over your retirement plans, please consult with a trusted adviser, and look at where you currently stand, and what options are available to you. Thanks for asking!

Answer on What Insurance Will I Need In Retirement? by Jim Winkler

Jim Winkler — Mon, 16 Feb 2015 21:28:59 +0000

That is a great question! I wish you'd been a little more specific, but here's how I'll answer you: 1.) As long as you are driving, then have auto insurance. If you are finding it difficult to drive, and near misses becoming more frequent, either consider stopping, or be sure to have a good comprehensive coverage policy. 2.) Have a good medi-gap plan, to fill in what medicare won't. You will need it, and a dental plan also, since medicare won't cover much dental work. 3.) If you don't have dedicated savings set aside for the cost of your funeral and the replacement of your income, then a life insurance policy is a must. If you've got a plan in place and your finances squared away, maybe this isn't such a need, but if you're in the 99%, or would like to pass on some tax free wealth to loved ones, have a policy. 4.) if you plan on staying in your home, then homeowner's insurance is a must, if downsizing, or moving into an apartment, then a renter's policy. Depending upon your situation, there could be other suggestions I'd make for you, but these are the basics. I hope that answered your question, thanks for asking!

Answer on Is An Index Annuity Fixed Or Variable? by Jim Winkler

Jim Winkler — Sat, 07 Feb 2015 16:31:43 +0000

That is a great question! An annuity can be really sorted out into two types - A variable annuity, which has an interest rate that can go all over the board; and a fixed annuity, which pays a specified rate of interest. An indexed annuity is really a fixed annuity, as each interest crediting strategy clearly defines the interest that it will pay, depending upon the market it is tied to's performance. While the interest paid can vary based upon that performance, it is generally defined by caps, participation rates, and floors, so you know what it will pay within those parameters. I hope that helps, thanks for asking!

Answer on What Types Of Death Does Term Life Insurance Cover? by Jim Winkler

Jim Winkler — Sat, 07 Feb 2015 16:16:22 +0000

That is an excellent question! All policies will have some rules about suicides and questionable deaths during the first two years of the policy, but after that will rarely make any kind of restriction on the cause of death. The type of policy that does is called an Accidental Death Policy, and those policies have very strict limits on what they will pay out for. Nothing health related will pay, unless it was a direct result of an accident, and occurs within a specific time frame after the accident. Insurance companies like marketing these policies as they are big money makers for them, but really should never be considered for someone's primary coverage. Thanks for asking!

Answer on Can A Term Life Insurance Policy Have A Cash Value? by Jim Winkler

Jim Winkler — Sat, 07 Feb 2015 16:10:43 +0000

That is a great question! The traditional term policy does not have a cash value, and very few moving parts. That is why they are so cheap. The industry has begun to offer term policies that have some options to get your premiums back, and so have a small cash value, but they are more expensive than the term policy most people would think of. So as a rule, no this type of policy won't have a cash value. If that is something that you want, a whole life policy is what you should look into. Thanks for asking!

Answer on Why should I buy insurance from an agent rather than directly from the insurance company? by Jim Winkler

Jim Winkler — Sat, 07 Feb 2015 16:03:18 +0000

This is an outstanding question! It goes to the heart of how best to protect your family, and sort through all of the choices out there. It can be scary trying to figure out who has the 'best deal' and since most people don't understand a lot about insurance, how not to get taken. I think it is fair to say also that people don't have a high opinion of insurance to begin with, so agents aren't seemingly much better. So why not just choose a policy from an on-line company or name brand company? Here's what I'd say to you. I have always done business as much by my feel for the person as by their product. If my server doesn't care about me or my meal, I don't go back to the restaurant, or I only order carryout from them. If a bagger at the grocery store just throws my groceries haphazardly into the bags, I'll look for a different line every time. I want to know that the person I'm dealing with cares about me, and my business. I also want to know that I have some flexibility - if they're the only bagger or server, I won't go back to those places. An independent agent can offer more options than a name brand office agent would. The name brand can only offer that companies policies, and prices. If their policy is the best one, and I feel the agent truly cares about me and my needs, I'll buy from them. Chances are though, I've met with at least one other independent agent (one not tied to a single brand name - I myself work with several) to shop prices and coverage before deciding. Again, how they presented themselves to me as they worked for my business was as much a consideration for me as the policy details. If I didn't feel like they cared about anything but the sale, I'd leave, and thank them for their time. When the time comes that I need help (and it inevitably does) I want someone who cares and jumps to help, not someone who has to hunt to figure out who I am. i guess for me, I want a relationship with my business people, (and my clients) not just a transaction. I hope that helps you, and I thank you for asking!

Answer on Аre the rates from agents and insurance companies the same or different? by Jim Winkler

Jim Winkler — Sat, 07 Feb 2015 15:29:59 +0000

That's a great question! Many people think that there can be price differences between agents, as they assume that the agents' profits play a part in the quote. In reality, that's not the case. The agent has no say whatsoever in the price structure of the policy. The only way company A's price can be different when quoted to you by two different agents in your town would be if one included riders (additions to a policy that provide additional protections, but at an added cost). Both agents have to use the prices set by the company, and the industry's regulators. That is a great question, and I'm glad you asked it. Thanks!

Answer on I just got a bill from my Chiropractor from 5 years ago. Do I have to legally pay for this? by Jim Winkler

Jim Winkler — Sat, 07 Feb 2015 15:24:55 +0000

That's an interesting question! It sounds as if you admit that you've used the Chiropractor's services, and that you are admitting that the bill in question is legitimate. If that's the case, it also seems like at the time you might have realized there was a mistake in the billing if you'd not had to pay? Perhaps they've had a billing issue , and they've just now found it (stranger things have happened). Unless you can show you have already paid for the service, yes, morally at least you're obligated to pay, and most likely legally also. I'm absolutely certain that paying them will be infinitely better for you than having the bill go to collections and having a debt company buying it and getting a hefty judgement against you while trashing your credit (that's a multibillion dollar business, by the way). If you owe it, pay. Thanks for asking!

Answer on How Do I Handle A Retirement Shortfall? by Jim Winkler

Jim Winkler — Mon, 26 Jan 2015 02:52:31 +0000

Boy is that the million dollar question of the day! There are a whole lot of folks asking that same question...Without knowing your financial status or how near/far into retirement that you are, I cannot give you a specific plan of attack, but there are some things that you can start doing immediately that will help. The first is downsize. Move to a smaller house, or less expensive area. Sell off the extra car, unneeded belongings, anything that is no longer really close to your heart, and can generate some cash. Do the same thing with your debt. Tighten the belt and pay off every high interest credit card or loan that you have. Save that interest you'd be paying for food and electricity. Take the money that you've found, and invest it in an investment vehicle that will provide you with an income. The second is prioritize. What are you doing that you really could be doing without? Are you eating out 12 times a week? Is that more important than saving for your retirement? Things like lottery tickets, entertainment, take a second and ask yourself if they're worth the cost. I certainly am not telling you to stop enjoying life, but I'd ask you to consider if there is a cheaper way to do so (And lottery tickets I will tell you to stop. You lose far more money than you will ever win). The third is to re-evaluate your current savings plan. Can you re-allocate your investments? Do you have any annuitized investments that you can be assured to not outlive? Can you shuffle investments that may have under-performed into better ones? Lastly, are there ways to increase your income? Can one of you put off taking SSI benefits, (The longer that you delay the start of the payments, the larger those lifetime payments will be), work longer, or use a hobby to generate an income? If you like gardening, for example, can you grow vegetables to sell, or flowers to arrange for sale? Using something that you love to do anyway as a secondary source of income is as emotionally rewarding as it is financially rewarding. I hope that there was something in my answer that will help you, have faith. Matthew tells us that God provides for our daily needs, and if you can honestly say that He has done so so far, it's a safe bet He will continue to. Thanks for asking!

Answer on Where Can I Go To Start A Roth IRA? by Jim Winkler

Jim Winkler — Mon, 26 Jan 2015 02:25:02 +0000

That is a great question! You will find that almost any bank will have Roth plans that you can start up, most credit unions will also. You will also find brokerages offering them, places from Ameritrade to Merrill Lynch will all have plans that you can open up. Thanks for asking!

Answer on When Can I Access My Roth 401K? by Jim Winkler

Jim Winkler — Mon, 26 Jan 2015 01:23:36 +0000

That is a great question! With any retirement vehicle, the design is for the money to remain in the account for as long as possible, to provide the best chance for supporting your retirement. That said, there are times when cash is needed for emergencies. That's where having a Roth comes in handy. The IRS requires a penalty if you're taking your withdrawal before the age of 59 1/2, unless what you take out is less than the amount you've contributed to it. For example: You've paid into your Roth $55,000 over the years. It has a value of well over that amount. If your withdrawal is say $50,000, you would most likely not pay the 10% penalty, or taxes, especially if the money is to be used for a home, school expenses, or catastrophic medical expenses. If you were to withdraw over that $55,000 amount, you may have taxes and penalties to worry about, especially if the withdrawal is not for the reasons I mentioned. Other than the 5 year, 59 1/2 rules, there really is no forced time to have to start taking withdrawals, which makes this an exceptionally good retirement vehicle - wait on this one until the others have been run low. I hope that helps, thanks for asking!

Answer on What Factors Contribute To High Car Insurance Premiums? by Jim Winkler

Jim Winkler — Mon, 26 Jan 2015 00:55:54 +0000

That is an excellent question! There are many factors that contribute to how the companies set their premium prices. The first thing to know is that insurers are all about the risk. The more risk that they will have to pay out, the higher your premium payment will be. Why? because they don't want to collect a couple of payments from you, and get stuck paying out a large sum. So your driving record will be the first thing. Your age and gender will be a factor. Young male drivers are higher risks than middle-aged mom's, for example, so the young man will likely pay higher premiums than Mom will. What you are driving also plays a part, a sports car or expensive to repair vehicle will cost more than a gently used family car would. A new vehicle verses an older one, for the same reasons. Then there are things like your credit history, and where you live; and the companies profit margin to consider. There can be more, but these are the big ones that you can count on as factors. I hope that answers your question, thank you for asking!

Answer on Where Can I Find More Income In Retirement? by Jim Winkler

Jim Winkler — Mon, 26 Jan 2015 00:47:05 +0000

That is a really good question! More and more people are becoming worried that they will not have enough in the bank to live out retirement like they'd hoped. There are a great number of things that you can do, many of which could depend upon where you stand financially now, and how close to/far into retirement that you are. Some simple steps? 1.) Eliminate as much debt as possible now. Eliminating interest on loans, credit cards, etc. will save you tons of money later on. Tightening the belt now and paying off those debts will free up cash later, when it's needed. 2.) Look at when you want to file for your SSI benefits to begin. If you or your spouse can hold off on starting the benefits, the payments when they do start will be larger. 3.) Eliminate unneeded expenses, and downsize where possible. If you are living in a home that has become larger than you need, maybe downsizing the home or property could provide the money that makes the difference. 4.) If there is available money to invest, then look at vehicles that might help down the road - annuities, or a Roth IRA that allows later distributions might be options. 5.) Work, or making money off of hobbies is always a possibility. If you like to garden, grow vegetables to sell, or make flower arrangements, etc. that both gratify you, and add income. I wish that I had more information from you to work with in my answer, but I hope that there will be something here that will give you ideas, and hope. Thank you for asking!

Answer on What Do College Students Need To Know About Life Insurance? by Jim Winkler

Jim Winkler — Mon, 26 Jan 2015 00:34:17 +0000

That is an excellent question! I like simple answers, so here's the cliff notes version - cheaper to buy the younger and healthier that you are; one of the best financial protections there is; and if there is anyone that you love and wish to care for if you were to pass, it's a must. Contact an independent agent when you have some free time, and we'll walk you through in more detail. Thanks for asking, and good luck with school!

Answer on Are There Special Retirement Planning Companies For Christians? by Jim Winkler

Jim Winkler — Mon, 12 Jan 2015 04:08:04 +0000

That is a great question! I know that there are several companies out there that practice Christian values and standards of good stewardship, (mine included) and use those values and biblical lessons when teaching their clients. I'm a little leery however, when companies profess to market specifically for one segment of the population, and here's why. First and foremost is our commission to "go forth and make disciples". If I'm only working with "saved Christians", how can I be fulfilling Christ's command? Secondly, I'm always a little skeptical of the motives of companies that separate out folks to market to based on religion. What makes the money of one religion any different than another's? Or the needs of those people? And aren't we asked as Christians to help everyone as we'd like to be helped? Those "Christian" companies that only serve the needs of other "Christians" then seem to me to be doing exactly opposite of what our Lord has asked us to do. I'm sure that there are many good companies in your area that can assist you very capably, perhaps your Pastor or Priest can direct you to one in the Church you attend. Thanks for asking!

Answer on What Is The Best Way To Shop For Cheap Life Insurance Rates? by Jim Winkler

Jim Winkler — Mon, 12 Jan 2015 03:55:23 +0000

That is an excellent question! These days, everybody searches on the internet for things, and you could do that for insurance, but I wouldn't, and here's why. Most internet sites are going to give you a "quick quote", based upon the best case scenario. In a great many cases, that "best rate" won't in truth apply. It's legal, because it COULD apply, but misleads many people to believe that would be their price. I seriously recommend that you search the internet for local independent agents, and then talk to a couple of them personally. Once they know a little bit about you, they can give you pretty accurate quotes from several companies, and let you see the differences between them. You want this person to be someone that you form a relationship with, to be there for you when there is trouble, and I'm not sure an internet site can do that as well as a live body can. Give that a try, okay? Thanks for asking!

Answer on Can Life Insurance Companies Cancel Your Policy If You Get Kidney Failure? by Jim Winkler

Jim Winkler — Mon, 12 Jan 2015 03:45:21 +0000

That is a great question! Two of the best reasons to buy Life Insurance at an early age is to first lock in a low price, and second insure against any health issues you might have as you grow older. No reputable company will drop you for developing health issues, and that should be clearly stated in your policy. If you've made your payments on time, you should have nothing at all to worry about. The only legal way that a company could drop you is if there was reason to doubt the truthfulness of your answers on the application when it was submitted, and your policy is less than two years old. Other than that, you should have no problem keeping your policy. Thanks for asking!

Answer on Can I Use Reduced Paid Up On Four Of My Policies To Use The New Found Money As Payment For My Daughter’s Finale Expense Policy? by Jim Winkler

Jim Winkler — Wed, 07 Jan 2015 03:20:47 +0000

That is an interesting question! I want to make sure you understand what exactly you are asking, and what would happen, as it seems as if the agent you spoke with may have misunderstood you. You have 6 policies totaling $31k in face value. Without knowing how long you've had them, let's assume they are each at least a couple of years old. There are some things to be aware of here - taking reduced paid up coverage on 4 of them might seem like that would leave you with about $20k in coverage, but chances are it will actually be considerably less than that. How much coverage were you wanting to keep on yourself? The second thing to be aware of is that you won't receive any money from taking the reduced coverage, only what you would have paid monthly on them. So again, understanding that I have no information on your policies to go on, let's assume that they are all for $5k apiece and you pay $40 total a month in premiums. What you will gain from taking the reduced coverage is considerably less than $20k insurance for you, and $40 a month more money. Assuming that you are good with considerably less insurance coverage for yourself, and that your daughter's policy can be purchased for less than that $40 a month, you are good to go. Since you are not surrendering any of the policies, there are no replacement issues to worry about, as you're not replacing anything. There's a whole lot more information that I would need to really steer you right, so maybe it would be wise on your part to contact someone other than whom you spoke with the first time, and get a better idea. Good luck, and thanks for asking!

Answer on Are Health Insurance Costs Going To Increase In 2015? by Jim Winkler

Jim Winkler — Wed, 31 Dec 2014 05:34:56 +0000

That is a great question! The answer is yes, probably, depending upon where you live. Here in Houston, it went up about 4%, but there are other parts of the country where prices declined, or went up higher than ours, as the insurers got more comfortable with the client base and costs. Overall, the price increases have been very minimal compared to what they were pre-ACA, but if the new Congress and Supreme Court get the bill gutted like they want, then we can most likely expect that the double digit increases return in 2016. Let's hope not, especially if you're one of the people who benefited from the subsidy, or the demise of the pre-existing condition exclusion. If you are, I'd be writing a Congressman, or three, and a Judge or two to boot...Thank you for asking!

Answer on What Does Life Insurance Blood And Urine Test For? by Jim Winkler

Jim Winkler — Tue, 30 Dec 2014 23:45:48 +0000

That is a great question! While they may also look for other things, as a rule they will look for these things:Your sugar levels, for diabetes; cholesterol/triglycerides for heart disease/stroke risk; drug, alcohol and tobacco use (both illegal and legal drugs); chemicals that show kidney health and liver health; proteins that show cancer risk; HIV and hepatitis. All of these things help validate the truthfulness of your answers, and assess their risk insuring you. Great question, thanks for asking it!

Answer on Why Is Having Auto Insurance So Important? by Jim Winkler

Jim Winkler — Tue, 30 Dec 2014 16:27:40 +0000

That is an excellent question! I am asked all the time why "I need insurance if I don't need it". I always explain it like this - the whole purpose of protection is to help prevent a bad thing from being worse, right? Throughout history we've built fences, moats, armies, etc. to protect ourselves from a potential attack. Did those things get used every day? Nooope. Once in a great while, but they were immensely helpful when they were needed. That's the idea behind insurance. You may have years of safe driving under your belt without so much as a parking ticket, but you have no control over the chance that the guy coming around the corner towards you won't be coming from the bar, or texting away on his phone. When something like that happens, the insurance is a Godsend. Who has the money to settle a lawsuit or replace a totalled car, let alone repairs or a rental? Having everyone required to have insurance evens out somewhat the odds that anyone is left unprotected in the event of an accident, and greatly increases your ability to pay for those repairs, replacements, rentals, or reparations, should they be needed. I hope that helps, thanks for asking!

Answer on How Is Life Insurance Different From AD&D? by Jim Winkler

Jim Winkler — Tue, 30 Dec 2014 15:58:35 +0000

That is a great question! I think that there are a lot of people who are confused about AD&D policies and life insurance. I think that often people assume that the AD&D policy is a cheaper form of life insurance, and therefore can "save" by purchasing one of them instead of the more expensive life policy. That is sadly not the truth. An AD&D policy will indeed pay if you pass away, but ONLY if your death falls within the very limited definition of "Accidental" as the insurer defines it. If you have a heart attack or stroke the policy won't pay - they aren't "accidents". If you have a reaction to a spider bite, it's not an "accident". There are far fewer people who die from accidental causes than from natural causes, so the coverage offered in most cases is paid for, and uncollected. A life insurance policy will pay no matter what the cause, so is much more sure to pay. An AD&D policy is a cheap way to supplement your coverage, and is a good thing if you work in a hazardous job, but please don't use it for primary coverage, okay? Thanks for asking!

Answer on Does Roth IRA Distributions Affect Social Security? by Jim Winkler

Jim Winkler — Mon, 29 Dec 2014 04:05:13 +0000

That is a great question! If you've had your Roth for more than 5 years, and are over 59 1/2, the income from your Roth is non-taxable. As a result of that benefit, the money that you receive from it does not count as income for your Social Security calculations. Because your contributions were made post-tax into your Roth, you've already paid the taxes on the money that went into it, and there are no income taxes due either. Thanks for asking!

Answer on How Does A Homemaker Save For Retirement? by Jim Winkler

Jim Winkler — Mon, 29 Dec 2014 03:55:49 +0000

That is my favorite question of the week, hands down! What an excellent question! The first place to start is to figure out where your money is going, and eliminate or cut back on those places where it doesn't need to go. Maybe you find that you're dining out 6 nights a week, and that it is a significant amount of your paycheck. Cut back on the number of nights, or go to less expensive places. Put together a budget, and stick to it. Take the money that you now find extra, and use it to create a stable financial foundation for yourself - create an emergency fund, pay down your debt, and start investing the rest. Once you've created a stable platform to work from, you can be more aggressive with your long range financial plan. It will all start with knowing where your money is going, and how to make it go where you need it to, instead of where it is going now. Be the steward of your money, not its slave. Great question! Thanks for asking!

Answer on Can Life Insurance Companies Access Medical Records? by Jim Winkler

Jim Winkler — Mon, 29 Dec 2014 03:45:29 +0000

That is a great question! The answer is you better believe it! The insurance industry is all about risk. A person's health history makes a big difference in the risk that the insurer accepts. Because they typically aren't going to blindly accept that risk, in the application will be clauses granting them your permission to look at your medical records, and your prescription history. In some cases, they may also look at your credit history or criminal records. There will be places for you to sign that grant those permissions, so if that is a concern for you, don't sign anything that you don't understand or agree with, okay? Thanks for asking!

Answer on What Does Ownership Of A Life Insurance Policy Mean? by Jim Winkler

Jim Winkler — Mon, 29 Dec 2014 03:37:38 +0000

That is a great question! The terms used in life insurance policies can be confusing. There are three entities in a policy - the owner, the insured, and the beneficiary. The easiest one is the beneficiary - the person or entity (trust, estate, etc.) that receives the benefits from the policy. They receive these benefits when the insured passes away. The insured is the person whose need was the reason for the policy. Here's where it can be confusing. The owner is the person who has legal rights to the policy on the insured. That legal title gives them right to change some of the moving parts of the policy, including the beneficiary. In many cases, the owner and the insured are the same person. I buy a policy on my own life. I am the owner and the insured, and I name my wife as my beneficiary. I retain the option to change the beneficiary (should she pass first God forbid) and the right to use the cash value within the policy. If I bought a policy for my children, I would own the policy, but my child would be the insured, and my wife and I the beneficiaries. I can transfer that ownership to my child once they are able to make the payments, and manage the policy successfully. Once they own the policy, they are free to change the beneficiary to whomever they choose (their wife or child, say). Hopefully that clears things up for you. If it doesn't please feel free to contact me, and I'll walk you through it some more. Thank you for asking!

Answer on What Does Term Life Insurance Not Cover? by Jim Winkler

Jim Winkler — Wed, 17 Dec 2014 04:35:42 +0000

That is a great question! There seems to be a lot of confusion about what policies cover what. Here is a simple breakdown: Accidental death policies only cover death by accidents, so no sickness, heart attacks, etc. Graded (or modified) policies cover anything, but only pay out the full death benefit after the graded period has elapsed (generally 2-3 years). Term and whole life policies will cover anything, but there can be issues if the death is suicide, or indicative of misrepresentation during the first two years of the policy. Term policies do not cover anything, once the term period has ended. I hope that that helps clear it up for you, please feel free to contact me if you have more questions. Thanks for asking!

Answer on Who Sells The Best Whole Life Insurance? by Jim Winkler

Jim Winkler — Wed, 17 Dec 2014 04:29:07 +0000

That is a really good question! Every insurance company will try to sell you on the fact that they are the "best". The truth is that there is often not a lot that separates one policy from the other, especially when it comes to straight term policies. So what makes one company "better" than the next? There are companies that underwrite differently, and if you have an issue, then the one that writes best for your issue is "best". Or if you like the occasional cigar, but otherwise don't smoke, then a company that doesn't count that cigar as smoking is "best". A good independent agent can help find the company that can best suit you. Thanks for asking!

Answer on Is it common for landlords to be interested parties on tenants’ renter’s insurance? by Jim Winkler

Jim Winkler — Tue, 16 Dec 2014 20:26:09 +0000

That's a great question! Lol, the smarter ones will want to know! They are also protected when you have insurance,and left with increased risk when you don't.Put yourself in the landlords shoes - if a tenant is willing to try to get coverage only long enough to get the apartment and then drop it, are they really a tenant that the landlord wants? Probably not. A landlord that wants to know is conscious of everyone's safety, and that's ultimately a good thing. Thank you for asking!

Answer on What do i do if the person who hit me doesnt have coverage? by Jim Winkler

Jim Winkler — Tue, 16 Dec 2014 20:19:41 +0000

That is a great question! I am sorry to hear about your accident, and your injury, I pray for your speedy recovery. I have to say that it is really probably best for you to file the claim. Unless you have enough money to pay for the repairs and a rental (or buy a new car), it is best to let the insurance company pay, and then figure out how to cover the deductible, and find rides to work until the car's fixed. They will pursue the other person to recoup their loss, and save you the hassle of trying to do that. You've paid for the insurance, you might as well take advantage of it. I was in a similar position, and my rates only went up slightly, as it wasn't my fault either. I hope the same for you. Good luck, and thanks for asking!

Answer on Why Do People Obtain Life Insurance? by Jim Winkler

Jim Winkler — Tue, 16 Dec 2014 20:08:52 +0000

That is a great question! People buy insurance to protect things. Health, their car, and their belongings, we buy policies to protect all of these things. We buy life insurance for the same reason - in this case, to protect those we love and leave behind from being left without the money to care for themselves, or provide for our funerals. We buy it to protect our peace of mind, knowing that our loved ones won't suffer the loss of their financial security, as a result of the loss of us. It's one of the most important things that we can do for them. Thanks for asking!

Answer on Does Renters Insurance Cover The Building? by Jim Winkler

Jim Winkler — Tue, 16 Dec 2014 19:24:30 +0000

That is a great question! Very simply, here's how renters insurance works - your landlord (or their company) owns the building, and the risk of loss if something were to happen to it, so they have the policy covering the building. You own the stuff in your apartment not the landlord, so the risk of loss for your things is yours, per your lease agreement, thus the need for the renters insurance. Between both policies everyone is covered. Thanks for asking!

Answer on Does Renters Insurance Cover Engagement Rings? by Jim Winkler

Jim Winkler — Tue, 16 Dec 2014 18:58:44 +0000

That's a great question! A large part of the answer will depend upon your policy. Most of them will certainly pay for a portion of it, but that portion can be only a little, or a sizable amount, depending upon the policy. As you add expensive items, like the ring, take a moment and have the policy changed to ensure that these items are adequately covered. I hope that you find it! Thanks for asking!

Answer on Why Did My Homeowners Insurance Increase? by Jim Winkler

Jim Winkler — Tue, 16 Dec 2014 18:51:49 +0000

That is a great question! The best thing to do is ask your agent. Pop in, and have him tell you. It may be that you had filed a claim, it may be a change in your policy, or it may be the company's desire for profits. Either way, your agent should be able to tell you. Thanks for asking!

Answer on Why Purchase An Immediate Annuity? by Jim Winkler

Jim Winkler — Sat, 06 Dec 2014 19:09:27 +0000

That is a great question! Generally the purpose of an immediate annuity is to provide an immediate supplement to one's income. They are often funded by money received through a settlement, inheritance, or some other form of large windfall. A way to stretch that windfall and prevent blowing through or outliving it is to put it into the annuity, and receive it in regular payments. It is a good way to protect yourself, and the money. Thank you for asking!

Answer on Do Fixed Annuities Have Surrender Charges? by Jim Winkler

Jim Winkler — Sat, 06 Dec 2014 19:02:35 +0000

That is a great question! In almost every case, yes they will. The deferred annuities are designed to have that period of time for the money to grow, and removing it early removes that possibility. Since the insurance company is banking upon that money to make their money on, they are going to recoup some of that loss by imposing the surrender fee on you. The fee generally is highest in the first year, and lowers as time goes on. There are also policies that will allow the surrender of the funds without fees, if certain conditions are met, so be sure to ask if your annuity has, or will have a "bailout" clause. Please be aware that if there is a reasonable belief that you might have a need for the cash you are investing in an annuity before its maturation date, then it may not be the right investment for you. An investment that costs you money to get your own back is not a suitable one. A good agent will have discussed this thoroughly with you. Thank you for asking!

Answer on Which Annuity Company Is Best? by Jim Winkler

Jim Winkler — Sat, 06 Dec 2014 18:49:40 +0000

That is a great question! There are a ton of companies out there that offer annuity products. Is there one that is "best"? That depends a lot upon what your specific needs are, and what you are wanting to have the annuity do for you. Here's what I'd tell you to look for - a solid financial rating, as indicated by a company like Standard & Poors; One that has a good reputation, and financial reserves; and one with a low record of complaints and issues, which you can find on your States' Department of Insurance site. I have a few companies that I will recommend, depending upon what my clients are looking for, so I don't really have a "best" one to suggest to you. Find a good independent agent, and have them walk you through some options. Inbox me, if you have trouble, okay? Thank you for asking!

Answer on What Is A Deferred Annuity Contract? by Jim Winkler

Jim Winkler — Sat, 06 Dec 2014 18:41:51 +0000

That is a great question! There are two basic types of annuities, immediate and deferred. An immediate annuity is one that is made with a single lump sum deposit, and the annuity begins paying out no later than a year from the contract date. A deferred annuity is a contract that may allow periodic payments, or a single payment to fund it; and the payments do not start for a specified number of years later. It will have a number of fees and penalties attached to the early withdrawal of the funds. A deferred annuity will generally provide a much larger return on your investment because of the time between funding and annuitization, something not provided in the immediate annuity. An immediate annuity would be something to consider if you received a settlement, or large inheritance, and needed to supplement your income, and lower your tax liability. A deferred annuity would be suited for creating an income stream for later in life, understanding that once it was funded, the money would become relatively unavailable to you until then. Please be sure to have your agent walk through a good suitability study with you to ensure you get the annuity that best suits your need. Feel free to inbox me, if you have further questions. Thank you for asking!

Answer on Can I Save Money On My Health Insurance Premiums In The Marketplace? by Jim Winkler

Jim Winkler — Wed, 03 Dec 2014 17:55:10 +0000

That is an excellent question! You may very well, and it certainly doesn't hurt to look. There are a lot of things that will determine the cost of your plan, but the www.healthcare.gov (Affordable Care Act/Obamacare) site allows you to shop without obligation to compare plans and options, and it tells you if there are discounts available to you. As a nation, we have already saved on our insurance costs, as the annual price increases normally associated with health care policies have slowed from annual 10%+ increases to under 5% the last couple of years, in most markets. The increase on average here in Houston this year was about 4%. Happy shopping, and thanks for asking!

Answer on Can The United States Government Force You To Buy Health Insurance? by Jim Winkler

Jim Winkler — Wed, 03 Dec 2014 17:46:47 +0000

That is an interesting question! I don't suppose that anyone can force you to do anything that you don't want to do, but they can make it unpleasant if you choose not do do what they ask. You can choose to speed, but you might get a ticket; you can choose to carry an unlicensed gun in your car, but if found, you may spend some time in jail. We all make choices, and some have negative consequences. Buying health insurance is the same. Does buying it make sense? Yes it does. Your options for treatment are supposed to be the same, should you need them and you have none, but I know (at least where I live) those services aren't always provided at the best possible providers. You still get them, but....You also pay for the services of those who choose not to have insurance, whether you want to or not, through higher prices when you do need medical help. Medical providers are going to get paid one way or another. It also makes sense to have it because if you choose not to buy it, (and help lower costs for everyone) the Government can and certainly will levy a tax fine against you, one that increases over time. Can they force you to buy? Nope, anymore than they can force you to do anything else. I hope that answers your question, and thank you for asking it!

Answer on How To Compare Health Insurance Plans? by Jim Winkler

Jim Winkler — Wed, 03 Dec 2014 17:35:17 +0000

That is an excellent question! With any insurance plan, the idea is to compare the important things - coverage, cost, availability of services, and your deductible and out of pocket expenses. You want to look for a plan that offers the most services (what will they allow for payment as far as treatments, services, etc.) for the least amount of money (your monthly premium cost), with the lowest amount that you have to pay before they do (your co-pays and deductibles), in the widest network of providers (People who can do these treatments or services and accept this insurance). The Affordable Care Act (Obamacare) Government exchange site, www.healthcare.gov provides you with the opportunity to compare plans, as well as determine whether you'd qualify for discounts, without obligating you to any purchase. It's a great way to get an idea of what is being offered in your area. If you choose to look for a local insurer for the coverage, it gives you a good frame of reference to work from. I hope that you find what you are looking for, thank you for asking!

Answer on Can I Withdraw Money From My Term Life Insurance? by Jim Winkler

Jim Winkler — Tue, 02 Dec 2014 17:09:28 +0000

That is a great question! Unfortunately, term policies are typically very cheap because they have very few perks, One of the perks that they do not have is the ability to withdraw cash from them. There is no cash accumulation in term policies, therefore there is nothing to withdraw from. The premium you pay is typically only enough to pay for the cost of the insurance. Unless you have some form of rider on your policy (and you'd be paying extra for it to be there) you will not be able to get cash from your policy. Thank you for asking!

Answer on What Are The Advantages And Disadvantages Of Universal Life Insurance? by Jim Winkler

Jim Winkler — Tue, 02 Dec 2014 17:05:10 +0000

That is a great question! I will start off my answer with the full disclosure that I am not a fan of, nor do I recommend, UL policies. Here's why: While they do provide an opportunity to earn a substantial death benefit, and offer flexible premiums, those "advantages" are often not really advantages. These policies transfer much of the risk from the insurance company to you (unlike term or whole life policies that have solid guarantees), and require that you are aware, and managing the policies performance. These policies are a mix of whole life and term policies, and are typically only guaranteed for a certain number of years (20, usually) though they can end sooner, or later than that, depending upon the policies investment performance and what you've paid in premiums. When it comes to protecting my clients' money and future, I prefer to suggest policies that are guaranteed, and therefore safer. A UL policy may be right for you, or it may be a bit riskier than you would prefer. There are many policies out there, and some have started offering limited guarantees, so please talk with your agent about whatever concerns you may have. And a last bit of advice? Ask them to show you real numbers on the policies returns, and not the projected estimates in the illustration. I hope that helps, thanks for asking!

Answer on How Much Does It Cost For A Million Dollar Life Insurance Policy? by Jim Winkler

Jim Winkler — Tue, 02 Dec 2014 16:55:26 +0000

That is a great question, and one that I'd love to give you an answer to, but there is a lot more information that an agent would need to know to give you a realistic quote. Term or whole life? How is your health? Your age and gender make a big difference in the price, as does your smoking preference. Do you have existing insurance coverage? If so, what percentage of your annual income does it cover? All of these things play a part in what (if any) coverage you might be able to get, and the cost of the policy. If you'd like to inbox me your specifics, I can give you a better idea. Thanks for asking!

Answer on What Is The Disadvantage Of A Fixed Annuity? by Jim Winkler

Jim Winkler — Mon, 01 Dec 2014 02:08:29 +0000

That is a great question! While a fixed annuity has a lot of great things going for it, there are a couple of things that you do need to look out for. The first is your liquidity. With any deferred annuity there is a period of time where the money you've set aside to fund it cannot be touched without incurring hefty fees, or damaging your earnings potential. If you suspect that you might need to access that cash at any point, then maybe an annuity might not be the right vehicle for you. The second involves the rate of return that you are promised off the annuity. Will the rate be enough after fees to outpace inflation and provide a return that is comparable to another investment vehicle? If not, then again this might not be the best investment vehicle. As far as safe investments go, fixed annuities are among the best, but please be sure to really think it over, and work with a trusted adviser before purchasing one. Please make sure that it ia a suitable vehicle for you. I hope that helps, thanks for asking!

Answer on What Is Health Insurance Exchanges In The Affordable Care Act? by Jim Winkler

Jim Winkler — Mon, 17 Nov 2014 03:52:56 +0000

That is a great question! The exchanges offered in the Affordable Care Act (Obamacare) are essentially marketplaces where you can compare several companies, and the plans that they offer. One of the best things about the exchanges are that the Federal one, www.healthcare.gov and the States that offered them allow for the folks who purchase from them to have the opportunity to have the prices rebated if they fall under certain income levels. Cheap, affordable coverage is a great thing. But look fast, as our new Congress is already talking about removing the benefits of the act, and the Supreme Court in it's wisdom will probably help. This may well be the last year that many Americans can afford coverage for a while. Thanks for asking!

Answer on Can Health Insurance Companies See Your Medical Records? by Jim Winkler

Jim Winkler — Mon, 17 Nov 2014 03:44:56 +0000

That is a great question! Almost all insurance companies use a company called the Medical Information Bureau. From that company they can receive information on any insurance claim that has been filed on you. It will not have details on your health, but it will list all of the tests, meds, etc. that the provider turned in on the claim. They also will have access to your prescription history. Between those two, they have a pretty decent idea of what is going on with you. Add to that their ability to have you furnish a Doctor's statement if needed, and you are pretty much transparent. I strongly advise my clients to be completely open about their medical situation, in any case. Thanks for asking!

Answer on Do Whole Life Insurance Policies Work? by Jim Winkler

Jim Winkler — Sat, 15 Nov 2014 21:00:20 +0000

That is a great question! Life insurance policies have worked for many people for a very long time. They work in part because of one simple fact - everyone dies eventually. Whole life policies work best in that respect because they are guaranteed to pay out, if you've kept them in force. The payment amount is assured, and the likelihood of you receiving that payment is also assured. Unlike term or Universal life policies ( which are basically term products disguised as whole life policies) you cannot outlive them, or lose them because they go belly up over their costs. Please speak with someone that you trust, and have them go through the particulars of each, or look at my Facebook page, Winkler Financial Group, and look for my explanations of each. If you need help, please inbox me, okay? Thank you for asking!

Answer on How Do You Become The Best Life Insurance Agent? by Jim Winkler

Jim Winkler — Sat, 15 Nov 2014 19:47:44 +0000

That is a great question! When you find the answer, copy me on it, will you? "Best" means different things to different people. Best to some may mean "makes the most money"- if that's you, good luck, and just learn which products pay the highest commission, and have at it. Polish your sales skills. If by "best" you mean most able to help your clients fit their needs, then be tuned into what they are asking you. Be sensitive to their fears and needs without preying upon them. Build a relationship with them that extends beyond business. They will know that they are not just dollar signs to you. That is incredibly important, because the six guys they saw before you all saw them that way, and what they want most is to not be seen that way. They are afraid, and don't want to make mistakes, or be taken advantage of. If you can make them understand that they are safe with you, and that you value them over your paycheck, you'll be very successful, especially if that is who you really are. Thanks for asking!

Answer on What Happens When You Cancel Universal Life Insurance? by Jim Winkler

Jim Winkler — Sat, 15 Nov 2014 19:13:53 +0000

That is a great question! There are a couple of ways this could go. By surrendering it, you will have no more insurance coverage, so you first want to consider having another policy in force before doing away with this one. Secondly, if it has any kind of cash value over what you've paid into it, that growth amount is taxable. If you are considering the surrender to take the cash out of it, then you want to consider the tax implications.If it's sizable, you may end up in a higher tax bracket for the year, as well as giving away a sizable portion back to Uncle Sam. Perhaps a loan from it, and keeping the coverage would make more sense. If you're surrendering because it is tanking, and will soon cost you more than you're willing to spend on it, then your main issue will then be the loss of coverage. Check with your adviser to see how the surrender of the policy will affect you, before acting, okay? Thanks for asking!

Answer on Why Should I Contribute To My 401K? by Jim Winkler

Jim Winkler — Sat, 15 Nov 2014 18:42:47 +0000

This is an excellent question! I'm glad that you asked. Look at it like this - the more that you put away today, the greater you'll have later. The thing that really grows your 401k is interest, and that interest grows over time. If you contribute enough to get your employer to match what you invest, you essentially double your money for free. That money, if invested wisely, will continue to earn interest, and continue to grow. Even if you leave the job, and never make another contribution, that account is yours, and continues to grow. Having a source of income when you reach retirement age is crucial to keeping yourself out of the ranks of those dependent upon Social Security. It doesn't work well - 55% of American Elder Citizens currently live at or below the poverty line. Please don't let yourself be one, okay? Thanks for asking!

Answer on Which Health Insurance Accepts Pre-Existing Conditions? by Jim Winkler

Jim Winkler — Sat, 15 Nov 2014 18:22:53 +0000

That is a great question! As the law currently stands, no major medical health plan can limit you because of a pre-existing condition. I'd strongly advise you to get a policy under the Affordable Care Act (Obamacare) exchange site, ( www.healthcare.gov )and see what policies there might work for you, and take advantage of whatever discounts might be available for you. There's pretty strong talk about the new Congress wanting to reverse most of the advantages that the 99% might enjoy. Thanks for asking!

Answer on Does Trader Joes Offer Health Insurance? by Jim Winkler

Jim Winkler — Sat, 15 Nov 2014 18:17:24 +0000

That is a great question! According to their website, they do. I know that they limited their health benefits last year to those working over 30 hours a week, but gave those working less than that a check to cover the cost of insurance under the www.healthcare.gov exchange. They were able to show that the coverage obtained there was cheaper than what they could provide, and were kind enough to help pay for it. I'd suggest that you check with the individual store that you are thinking about though, as I couldn't say whether a franchise group would offer benefits similar to those offered by a corporate store. All in all, they had a pretty solid benefits plan, it looked like. Thanks for asking!

Answer on Does Dave Ramsey Like Term Life Insurance? by Jim Winkler

Jim Winkler — Mon, 10 Nov 2014 06:37:18 +0000

That is a great question! Yes, Dave Ramsey does like term insurance. In Dave's world, people actually save money, and keep enough on hand to be able to cover their burial expenses. They also are able to find tax-advantaged ways to transfer wealth to their loved ones. With 55% of American Elder Citizens living in poverty, 66% of our children living in poverty, and the majority of Americans living without any savings at all, I'm not sure how well his world translates into the real one. Dave has a great program, and some solid financial advice, but if you cannot save money, term will be the best choice for you only if you are too poor to afford any real coverage. I hope that helps, thanks for asking!

Answer on Is Whole Life Insurance Expensive? by Jim Winkler

Jim Winkler — Mon, 10 Nov 2014 06:28:43 +0000

That is a great question! I guess you need to define expensive. Depending upon your health , amount of coverage wanted, and your age, it certainly can be, or it can be very affordable. It will generally be more affordable than a term policy will be , but much less expensive should you want that term policy extended. I'd ask you to talk it over with an agent, and get a good idea of what your budget will allow. Thanks for asking!

Answer on How To Make Car Insurance Quotes Cheaper? by Jim Winkler

Jim Winkler — Mon, 10 Nov 2014 06:20:11 +0000

That is a great question! Please remember that quotes are just that - an effort to get you to purchase their product, and not an actual price. The best way to get lower quotes is to seek more of them, and don't be afraid to tell one company that another beats their price. A good way to lower your auto insurance cost is to look at the company that your life or homeowners insurance is with. Bundling your policies with one company will often lower the prices them. A good driving record never hurts also...Thanks for asking!

Answer on Why Do Car Insurance Rates Go Up? by Jim Winkler

Jim Winkler — Mon, 10 Nov 2014 06:15:20 +0000

That is a great question! There are a couple of reasons why your insurance would go up. The first is that your driving record took a hit, maybe through an accident or traffic ticket. Your increased risk as a driver would translate into a higher premium. The other would be the company's desire to maintain its profitability. If they have higher costs, they aren't likely to work at cutting those costs, most often they pass them on to us. I hope that helps, thanks for asking!

Answer on Could Roth IRA Be Taxed In The Future? by Jim Winkler

Jim Winkler — Mon, 10 Nov 2014 06:07:47 +0000

That is a great question! While anything can change, the current feeling in Government is that people need to be able to save for retirement, so as to relieve the burden on the social welfare programs. In that regard, it is unlikely that they would change the tax advantages of your Roth, but then again, with the track record of decision making shown over the last few years, who knows? Thanks for asking!

Answer on What Are The Cons Of Universal Life Insurance? by Jim Winkler

Jim Winkler — Mon, 10 Nov 2014 05:21:48 +0000

This is a great question! I like it especially because it shows that you are carefully considering before buying. That is wisdom. This type of policy is often hyped with big numbers about what it will generate for you. The reality is far too often something different. I do not recommend these policies for my clients, and here's why. There is very little risk on the part of the insurance company. You will bear the majority of it. Are you a skilled investor? You are expected to be, by the insurer. Are you able to spend time watching the performance of your policy investments? Because if you are expecting a policy that you can buy and throw in a drawer and forget about, this isn't one of them. Your premium payments need to be enough to cover the cost of the insurance, which rises steadily as the policy ages. If your investments don't do well, you are expected to increase your payments to compensate for the losses your policy is taking. If you aren't doing that, your policy draws from the cash value it may or may not have generated. It cannibalizes itself until there is no money to cover costs, and it lapses. There are very few guarantees in this type of policy. Most will only guarantee you will have coverage for twenty years. This makes them little more than very expensive term policies. Can they generate large cash values? Yes. Can they lose money, and go belly up, costing you years of payments? Yes. Are you someone that is okay with trying to make this work? If so, then this may be a policy for you. In my opinion, they are a great way for agents and insurers to make a lot of money at your expense, and that is not my way of doing business. I do not sell them, nor do I recommend them, as I do not believe in their viability as a life insurance vehicle for most people. I hope that helps, and I'd be happy to discuss it further with you, if you'd like to contact me. Thanks for asking!

Answer on Can My Car Insurance Sue Me? by Jim Winkler

Jim Winkler — Mon, 10 Nov 2014 00:52:32 +0000

That is a great question! While it isn't common for insurers to file suit against you, it is possible that they would. There would have to be a reason on their part to do so, and usually that implies that there was something on your part that they felt wasn't done, or was misrepresented. If your company is making noises about suing you, get a lawyer that will help you sort it out. Good luck, and thanks for asking!

Answer on What Is The Best Life Insurance To Buy? by Jim Winkler

Jim Winkler — Mon, 10 Nov 2014 00:48:06 +0000

That is a great question, and one we are commonly asked. The answer really kind of depends upon what you want it to do, and your budget. If you want to have a policy to cover a short term loan (mortgage, college loans, etc.) then a term policy makes sense. If you just don't have much money to work with right now, but expect to in the near future, maybe a term policy makes sense. If you want the security of knowing that your rates are set, and won't go up, and knowing exactly what the policy will pay when the time comes, then a whole life policy makes more sense. There are times when a combination of the two work best. The best thing I can suggest is that you contact an agent, and have them walk through your needs with you, and help you find what is best for you. Thank you for asking!

Answer on Can I Cash Out My Whole Life Insurance Policy? by Jim Winkler

Jim Winkler — Mon, 10 Nov 2014 00:41:41 +0000

That is a great question! A better one might be why do you want to? If you do, your policy ends, and you have no more coverage. If you have a policy through work, and are thinking of dropping this one, remember that if you leave work, most likely your coverage again ends. Life insurance costs are based upon your health and age when purchasing. So if you have had this policy for a long while, you can expect that replacing it will cost you considerably more. That said, if you are looking for some quick cash, perhaps keeping the policy and borrowing from it instead would make more sense. Your policy would still cover you, and would pay out the face value minus loan and interest amounts were something bad to happen to you in the mean time. If your heart is set on cashing it out, contact your agent, and tell them that you want to "surrender" the policy. They'll get a check to you shortly. Thanks for asking!

Answer on Is A Life Insurance Policy Void If The Application Was Completed Incorrectly? by Jim Winkler

Jim Winkler — Mon, 03 Nov 2014 02:44:35 +0000

That is an interesting question! If you were asking about something simple, like spelling errors or unchecked boxes, in most cases, probably not. But when it comes to matters of incorrectly completing them with the intent to defraud or mislead ( on either your, or the agent's part) then yes, not only will it lead to the policy being voided, but often to civil and criminal charges. Insurance fraud is a bad deal. Now, since you explained that the policy was correctly filled out at its' time of issuance, this becomes more a question of your integrity. You've started doing something that would have changed the terms of the policy , so do you stop doing that, or have your policy amended to reflect your decision to smoke? The risk to yourself, and now the insurance company has just increased dramatically. What you do to yourself is one thing, but to make someone else bear that risk unknowingly is another. Do you think they will be quick to pay if they learn that you pass from a smoking related disease developed over time, and that your policy said "non-smoking"? You have a decision to make, and I hope that it is the right one. Thanks for asking!

Answer on Who Sells Whole Life Insurance? by Jim Winkler

Jim Winkler — Mon, 03 Nov 2014 02:35:08 +0000

That is a great question! There are several companies out there that would be very happy to sell you a whole life policy. I work with seven myself. The best thing to do is look for an independent insurance agent. We don't work for any one specific insurer, and can offer several alternatives to best fit your needs, and budget. Go online and find a couple in your area, and then make appointments to go and see what they will offer you. I hope that helps, thanks for asking!

Answer on Can You Get Auto Insurance With No License? by Jim Winkler

Jim Winkler — Mon, 03 Nov 2014 02:22:31 +0000

That is a great question! Unfortunately, you will find it extremely difficult to get auto insurance without being a licensed driver. Insurance companies are all about risk, and the risk of you getting insurance and then driving around on a suspended or no license at all isn't one they are going to be quick to take.It's like trying to get served at a bar without ID. Even if you are old enough, they're going to not serve you, and the auto insurance company will be the same way. Without a license, you won't get insured. Thanks for asking!

Answer on Is A Term Life Insurance Policy Considered An Asset? by Jim Winkler

Jim Winkler — Mon, 03 Nov 2014 02:16:55 +0000

That is a great question! Your term policy can be considered an asset in the regard that you have some peace of mind having some limited insurance coverage, as opposed to having none. In any financial regard, no, you can't say that it is. First of all there is no value to it, unless you pass away during the term, and you have no tangible asset once the term expires.Unless you were looking for a cheap insurance policy to cover a short term debt, or as additional coverage, I'm not a fan of term policies at all. Sorry, but I appreciate you asking!

Answer on Which Company Is Best For Renters Insurance? by Jim Winkler

Jim Winkler — Mon, 03 Nov 2014 01:56:43 +0000

That is a great question! There are a whole bunch of companies out there that sell renters insurance, and it can be tough to pick one. Here are some things you want to look for. First that they are reputable, and fiscally sound. They will need to have a good rating with a company like Standard & Poors, and few if any complaints with the State Department of Insurance. Then you will want to compare what is covered for what price, and at what deductible level. The best policy offers highest coverage at lowest deductible, with the cheapest price. I hope that helps you, thanks for asking!

Answer on How Good Is Geico Auto Insurance? by Jim Winkler

Jim Winkler — Mon, 03 Nov 2014 01:51:18 +0000

That is a great question! Geico is a reputable company, and offers many fine insurance policies. That said, you will want to compare rates, check on the agents that are selling it, and read carefully the fine print to understand what happens with claims, deductibles and payment procedures. And remember that any policy is good if you are a safe driver! Thanks for asking!

Answer on Why Should Individuals Purchase Medigap Insurance Policies? by Jim Winkler

Jim Winkler — Mon, 03 Nov 2014 01:44:20 +0000

That is a great question! The reason they are needed is because there is a big gap between what Medicare pays for, and what you get billed for. The difference is almost a fifth of the total cost, and we all know that can add up quickly. The medigap plans help cover some of that gap, and often for services that medicare wont. I hope that helps, thanks for asking!

Answer on What Rate Of Return Does A Variable Annuity Pay? by Jim Winkler

Jim Winkler — Mon, 03 Nov 2014 01:31:58 +0000

That is a great question! There are just about as many different variable annuity products out there as there are varieties of ice cream. And even more potential rates of return. You would really need to first understand that any variable annuity will offer several crediting options that will play a part in your return. Then understand that the performance of the underlying investments plays a part, and that the policy's floors, caps, participation rates and guarantees all factor in. Variable annuities can be a great investment, or a very bad one, if you don't understand how and why they work the way they do. Please consult a trusted agent or adviser before purchasing one of these products. If you are less risk tolerant, perhaps an indexed annuity might be a better product. They are tied to market performance, without the risk, and safer guarantees. Ask your agent or adviser to show you a couple of each to compare, okay? Thanks for asking!

Answer on Will Renters Insurance Pay For Hotel? by Jim Winkler

Jim Winkler — Mon, 03 Nov 2014 01:23:33 +0000

That is a great question! Depending upon the reason for needing a hotel, and the terms of your policy, it should, at least for a specified amount of time, or up to a certain dollar amount. You will want to contact your agent, and find out for certain the terms of your policy. Most policies will include a section called "additional living expenses", or "loss of use coverage". It is under this part that you will find out what your policy covers. If there is a reason that your apartment is uninhabitable, this section applies. Good luck, and thanks for asking!

Answer on Why Should I Open A Roth IRA? by Jim Winkler

Jim Winkler — Mon, 03 Nov 2014 01:13:57 +0000

That is a great question! There are several reasons why opening a Roth makes sense. The first is that the minimum distribution and withdrawal requirements are much less strict than in traditional IRA's, and can have beneficiaries to receive the balances when you pass. This type of IRA will allow you to take money out without penalties under the right circumstances where a traditional IRA won't. They are also great to have because they are not taxable income when you do start taking cash from them. The funding for your Roth is done after-tax, and the earnings are also tax favored, making this a great investment vehicle. I hope that helps, thanks for asking!

Answer on Is It Smart To Take A Loan From Your 401K? by Jim Winkler

Jim Winkler — Mon, 03 Nov 2014 01:01:24 +0000

That is a great question! There are some good reasons for borrowing from your 401k, and some bad ones. The good reasons are that they are typically fairly easy to get, and often at much lower interest rates than a commercial lender would give. And depending upon the structure of your 401k, in some cases, the interest that you pay is to yourself, so there is less loss on the loan itself. The bad reasons are worth considering. The worst is what happens if you are let go, or leave the job before the loan is paid off. In many cases the loan has to be repaid within a short period of time, may have serious tax consequences, and that's not even considering what the withdrawal of the funds may do to the earnings power of your 401k if it's not structured correctly. The best thing to do is speak with your plan administrator, or HR person, and find out the details of taking out a loan and what the terms are. Good luck, and thanks for asking!

Answer on Should I Purchase Long Term Care Combined With Life Insurance? by Jim Winkler

Jim Winkler — Mon, 03 Nov 2014 00:52:23 +0000

That is a great question! The latest statistics I saw showed that roughly 70% of us will need long term care at some point, so it definitely makes sense to prepare for it. How to do that will depend a lot upon how your retirement planning has been, or is being, done. There are some insurance policies that will combine the two policies, and there are several annuity products that will double or triple your payout, should you need the care. There are some companies that will write stand alone LTC policies. Which is the best choice for you? That will depend upon a lot of things. Can you afford another policy? LTC policies are being restructured, and have gotten much more expensive, as time has passed and insurance companies have found them to be much less profitable than originally thought. Congress passed a law that went into effect in 2010 that allows any funds pulled from a retirement vehicle that are earmarked for long term care to be free from income tax requirements, so if you have annuities or retirement funds that can be set aside for this purpose, and still have funds to live on, then maybe not. I'd advise you to speak with someone that you can trust to look at where you are now financially, and where your retirement plan is, before recommending purchasing a policy of any kind. And be sure that you read the fine print, okay? Many policies allow the early payment of benefits for LTC, but there are often fees, penalties, and tax consequences that can really make it a questionable if not down right bad, thing to do. Thanks for asking!

Answer on Should You Have Long Term Care Insurance? by Jim Winkler

Jim Winkler — Mon, 20 Oct 2014 01:49:35 +0000

That is a great question! While it is true that at some point the majority of us will need some form of long term care, buying a policy might not be necessary. Many insurers have learned that these policies ate far more profits than they'd planned, and so they either dropped the policy line altogether, or they scaled back benefits, and raised the prices. In many cases, to the point where they may not really be an affordable option for Elder Citizens. There are insurance policies and annuities that make promises to pay extra for a certain amount of time to cover your LTC needs, but they really need to be looked at carefully, as they often aren't as generous as they first appear. The best solution comes from (believe it or not) our Government, that enacted a law in 2006 that went into effect in 2010 that allows for any structured payments (annuities, 401k payments, etc.) that are used solely for LTC expenses to be tax free. So it may be that your best option is to fund some retirement accounts, or purchase an annuity or two, and earmark them specifically for that purpose. Depending upon your age, and the amount that you are able to fund, this may be a more affordable option over the long haul, and one that protects your retirement income. It may be beneficial for you to talk this over with a trusted adviser to weigh out which option is best for you. I hope that helps, thanks for asking!

Answer on How Does Roth 401K Affect Take Home Pay? by Jim Winkler

Jim Winkler — Mon, 20 Oct 2014 01:32:40 +0000

That is a great question! One of the best things about a Roth IRA is that you fund it with after-tax dollars. That means unlike your health insurance or 401k deductions that come out of your paycheck before taxes are figured, what you put into your Roth is already taxed. The benefit there is that when you start taking money out of it in retirement, you don't have to pay taxes on it then. This can be a terriffic blessing! I hope that helps, thanks for asking!

Answer on What Is An Immediate Income Annuity? by Jim Winkler

Jim Winkler — Mon, 20 Oct 2014 01:27:00 +0000

That is a great question! Unlike most annuities, which ask you to take a large sum of money, invest it, and sit back for a number of years before receiving the payouts, an immediate annuity is just that - one that starts paying out very quickly. In this type of annuity, you take a large sum of money (a settlement, inheritance, or just a big wad of cash) and invest it in the annuity, which then starts structured payments anywhere from 1-11 months later (Payments must start within the year from the point you purchased it). I hope that helps, thanks for asking!

Answer on What Is The Commission On A Variable Annuity? by Jim Winkler

Jim Winkler — Mon, 20 Oct 2014 01:13:14 +0000

That is a great question! The answer is really dependent though, on the company that issues the annuity's commission schedule and your percentage rating, the amount the client has invested, and the product itself, among other things. There is a general range that they pay in commission, but yours could fall anywhere within that range. To be completely honest with you, I am not a fan of these annuities, and do not recommend them, or sell them, so I can't begin to tell you what the current monthly range would even be. These products are generally very risky, and have hefty fees, and I can think of safer ways to invest my clients' money. I hope that helps at least a little, thanks for asking!

Answer on How Are Annuity Gains Taxed? by Jim Winkler

Jim Winkler — Mon, 20 Oct 2014 01:06:04 +0000

That is a great question! The answer depends upon how your annuity is structured, but the short answer is that a good portion of it is taxable. If your annuity is rolled into a retirement plan that was a pre-tax deduction, then whatever you draw from it is taxable. If it is one that you purchased for yourself and paid for post-tax, then the amount that the annuity earned in interest is taxable. Your annuity may pay out all the interest first, (which is taxed at whatever tax rate you are in at the time) until you hit the non-taxable amount you'd invested into it, or it may pay a portion of both, and tax you upon the interest portion of that payout. I hope that helps, thanks for asking!

Answer on Does Health Insurance Have To Cover Mental Health? by Jim Winkler

Jim Winkler — Mon, 20 Oct 2014 00:59:36 +0000

That is a great question! The Affordable Care Act (Obamacare) has as one of its provisions the mandatory inclusion of mental health coverage. It makes things like depression screenings, and substance abuse treatments available, along with many other services. It also keeps insurers from using mental health issues as pre-existing conditions and denying you coverage. Regardless of how you feel politically about the Affordable Care Act, to those with mental health issues, it has been a blessing. The policies offered under the Government exchange (www.healthcare.gov) are required to cover at least some mental health care treatments. I hope that helps, thanks for asking!

Answer on Is It Worth It To Get Disability Insurance? by Jim Winkler

Jim Winkler — Mon, 20 Oct 2014 00:52:04 +0000

That is a really good question. With money tight, and tons of choices to make as to what to spend it on, insurance is often one of those choices that gets put off making. Too often, we think, I'm healthy, or it'll never happen to me, or I have time to think about it later, and then life happens, and it's too late. The purpose of disability insurance is to help protect your income if something were to keep you out of work for a significant period of time. If you can find a policy that you can afford, that will cover you at least for a short period of time, you might be able to avoid being one of the 60% who go bankrupt because of medical emergencies, and the loss of work. If you have a solid financial plan, with your three month savings, and some liquid assets, maybe this isn't something you buy; but if missing a month of work would sink you and your family, then perhaps it's worth it to look into. I hope that helps, thanks for asking!

Answer on Why Is An Equity Indexed Annuity Considered To Be A Fixed Annuity? by Jim Winkler

Jim Winkler — Sun, 19 Oct 2014 23:59:48 +0000

That is an excellent question! This type of annuity confuses a lot of people because of its' link to the markets. It is easy to think that your annuity is based on the purchase of stocks, and thus subject to the gains and losses of that stock. In reality, with this annuity, you purchase nothing in the market. Your gains and losses are based upon the upward or downward movements of the market itself. The annuity has guarantees that help keep you from losing money when the market goes south, and pays a fixed interest amount based upon your contract specifics and the amount of upward growth the market has made. So like a traditional fixed annuity, you are guaranteed to not have less than you started with, and generally earn a guaranteed interest rate (that may change over time, but is defined in the contract through floors, caps and participation rates). I hope that helps, thanks for asking!

Answer on Who Bears All Of The Investment Risk In A Fixed Annuity? by Jim Winkler

Jim Winkler — Sun, 19 Oct 2014 23:51:20 +0000

That is a great question! One of the main reasons fixed annuities have been an investment favorite is that between the guarantees and the known rate of return there is very little risk for investors. Because the rate is guaranteed, the whole risk is borne by the insurance company, and not you. The sum total of your risk is in whether the rate paid is better than what you may have made in another form of investment. This is a very safe investment, and I'm glad you asked! Thanks!

Answer on How Do You Get Out Of Variable Life Insurance? by Jim Winkler

Jim Winkler — Sun, 19 Oct 2014 23:46:19 +0000

That is a great question. Those are really difficult policies, and as a rule, I don't recommend them, so I can understand why you would want out of it. There can be a whole lot of fees and opportunities to lose money on these policies. Here's what I'd advise you to do. Get with your agent, (or a different one in the company, or another trusted adviser) and determine whether there is any salvageable cash value. If there is, find out if it is better for you to reallocate your funds into safer sub-accounts and run the policy dry, keeping coverage as long as possible; to withdraw the cash and let the policy lapse; or roll it into something safer in a 1035 move. If there's no real cash value, then dropping it will be easier. Good luck, and thanks for asking!

Answer on Is Northwestern Mutual Whole Life Insurance A Good Investment? by Jim Winkler

Jim Winkler — Sun, 19 Oct 2014 23:35:26 +0000

That is an excellent question! First though, I want to make sure that you are clear on life insurance as "investments", since they technically aren't. An investment is something that makes you money (hopefully) over time. Life insurance won't make you money - it will pay a specified amount, and you won't be the one who receives it. An investment allows you to use the earnings during your lifetime, and that won't be an option with life insurance. Can a policy pay out more than you pay into it? You bet, but again, it will be your loved ones that receive that benefit, not you. That said, Northwestern Mutual is a great company, and has been in business for years. I personally like and use them, and have no problem endorsing them. Thanks for asking!

Answer on What Is A Variable Annuity Life Insurance Policy? by Jim Winkler

Jim Winkler — Mon, 13 Oct 2014 01:13:27 +0000

That is a great question! Unless you are referring to the company by that name that is here in Houston, I think you might be confusing two separate things. There are variable whole life policies, and there are variable annuities, and both are insurance products, but they are vastly different things. Both have few guarantees on performance, and can make or lose money based upon the performance of the underlying investments. Variable products are generally considered securities, and are regulated by the SEC, while normal life insurance and annuities are not. Annuities require a period of time, at which point they pay out a stream of income; Life insurance pays when you pass away. The only other thing that I could imagine is a variable policy that is offering an income stream for the payout, as opposed to the lump sum benefit that is normally paid. I'd have to know more about what you were looking at to be sure. I hope that helps, thank you for asking!

Answer on Why Are Insurance Companies Dropping Long Term Care Insurance? by Jim Winkler

Jim Winkler — Mon, 13 Oct 2014 01:01:27 +0000

That is an excellent question! What happened was that when these policies were first rolled out, the costs of long term care and the average lifespan were still reasonable for insurers to issue coverage for. As time passed, however, the skyrocketing costs of long term care, coupled with longer lifespans created a situation where the insurers were more and more often taking losses on the policies. So they either retooled them, pushing the enrollment age up, lowering benefits, and raising the premiums, or they dropped the policies altogether. There are still some companies out there that offer them, but with the change in the law in 2010, more people are using their annuity payouts or 401k payouts to cover those long term care costs tax free. I hope that helps, thanks for asking!

Answer on Why Did Employers Start Offering Health Insurance? by Jim Winkler

Jim Winkler — Mon, 13 Oct 2014 00:46:52 +0000

That is a great question! Employers reached a point where just offering a decent wage was often not enough to attract and keep a good workforce. Employees would leave for whatever job paid more. So employers added benefits to go along with the wages, in an effort to sweeten the pot. Paid vacations, and health insurance were no- brainers - if you are rested, happy and healthy, you will work better, and hopefully stay working longer. Good health insurance is still a major draw for many employees, especially those with kids. Thanks for asking!

Answer on Can I Withdraw Money From My Variable Annuity? by Jim Winkler

Jim Winkler — Wed, 08 Oct 2014 01:18:19 +0000

That is a great question! The short answer is yes, but....Most annuities will allow you to take out a percentage for free, generally up to 10%, but it really won't be free. The money that you withdraw will reduce the earnings power of your annuity over time, and can actually end up costing you money. If the amount you want to withdraw exceeds the free amount, you will be assessed fees, and may have a tax liability on any interest earnings portion of that withdrawal. If this is early into your annuity, expect to also have a surrender charge assessed if the amount exceeds the free amount. Call your agent, and get the specifics for your annuity before doing anything, ok? If you have a whole life policy, maybe taking a loan out of the cash value might be a better option. Good luck, and thanks for asking!

Answer on Should I Sign Up For Short Term Disability Insurance? by Jim Winkler

Jim Winkler — Tue, 07 Oct 2014 02:58:19 +0000

That is a great question! I believe that if it's in your budget to afford a disability policy, that everyone should have one. These types of policies are great "paycheck protection", as they can be lifesavers when something happens, and you are unable to work. Relying on workman's comp or SSI Disability isn't wise. I hope that helps, thanks for asking!

Answer on Why Is It Good To Save For Retirement? by Jim Winkler

Jim Winkler — Tue, 07 Oct 2014 02:52:26 +0000

That is an interesting question! The best reason is because Social Security and Medicare may not be there for you like it was for your parents. With the workforce dwindling because the baby boomers are entering retirement at the rate of nearly 10k a day, there are less workers to pay taxes into the trust funds that support it. Each of those 10k/day Elder Citizens now stop (or greatly reduce) the amount of taxes they pay in, and each becomes available for the benefits. Add onto that the increasing life spans, which means longer payouts, and a smaller pool now has to go a longer way. Then add into that the massive boom in disability payments, for those who would otherwise work, but are physically unable to, (up 73% since 2000, according to the Federal Reserve of San Francisco) and now that smaller pool is stretched even thinner. The average American on SSI draws approximately $1100/month, and nearly 55% of them are living in poverty as a result of their belief that Social Security would be there to protect them. The Disability trust is expected to go belly up as soon as 2016; Social Security by 2024, and Medicare by 2029 (Obamacare created extra payments to that trust that extended it by nearly 10 years.) Even the politicians in office now are not stupid enough to let them disappear altogether, but they've shown no guilt about letting them shrink to the point that an Elder Citizen lives in poverty. What do you suppose those payments to you will look like when your time comes? Me? I'm not counting on any, and I'm planning and working the plan like crazy. I suggest you do too, unless you are one of the 1% who won't need to...Thanks for asking!

Answer on What Is Group Term Life Insurance? by Jim Winkler

Jim Winkler — Tue, 07 Oct 2014 02:32:56 +0000

That is a great question! Your life insurance policy through your work place is a group life term policy. It is a group policy because the same conditions and terms generally apply to all members of your workforce, and it is a term policy because it ends one year after enrolling - which is why there is an enrollment period each fall that you re-up the coverage or change it. I hope that helps, thanks for asking!

Answer on Is Life Insurance Cheaper To Buy When You Are Younger? by Jim Winkler

Jim Winkler — Tue, 07 Oct 2014 02:27:19 +0000

That is an excellent question! Absolutely it is cheaper to buy young! I purchased policies for my kids when they were in preschool. Their monthly payments will never be more than the approximately $7 a month that they were when I purchased them. An added bonus in buying for your minor child? Many companies offer the opportunity to add additional amounts of insurance without having any health questions. This can be a huge blessing, especially if your child has developed some illness that would otherwise deny them, or make the coverage prohibitively expensive. The other benefit of buying young is for the growth of the cash value. A policy purchased and left to grow for a couple of decades can have a sizable cash value, when you hit retirement age, and may need access to some extra money. By all means, buy young! Thanks for asking!

Answer on Is An Indexed Annuity A Fixed Annuity? by Jim Winkler

Jim Winkler — Tue, 07 Oct 2014 01:14:07 +0000

That is a great question. And the answer is no sir, they are very different. With a fixed annuity, you are guaranteed a rate of interest that will be paid on your annuity. On the indexed one, the interest rate will vary, based upon the performance of the index that the rate is tied to. That interest rate will also be influenced by whatever cap rates, participation rates, and crediting strategy is chosen. With the fixed annuity, you have the certainty of knowing the end result, with the indexed product, it's anybody's guess. I hope that helps, thanks for asking!

Answer on When To Cash In A Whole Life Insurance Policy? by Jim Winkler

Jim Winkler — Tue, 07 Oct 2014 01:05:24 +0000

That is a great question! I'm not really sure what your motives are for cashing it in ("surrendering"), but there are definitely some things you want to think about first. What protection will you have if you do surrender it? Will you be left uninsured, or put into a position where finding a policy that is as affordable as the one your dropping is unreasonable? If so, maybe keeping the policy is a better idea. Is it just that you need a smaller premium, or some quick cash? If so, maybe reducing the face value is a better idea - the premium would be less, and you would still have coverage. If quick cash is the need, perhaps a policy loan would be better, all you have to do is find out from your agent how much is safely available to borrow from the policy, and keep the policy active. I hope this helps, contact me if you need help, okay? Thanks for asking!

Answer on What Are Disadvantages Of Annuities? by Jim Winkler

Jim Winkler — Tue, 07 Oct 2014 00:53:24 +0000

That is a great question! The biggest disadvantage to annuities is the lack of liquidity. For the first few years of the annuity, there are hefty surrender fees if something happens, and you need to pull some cash quickly. Most annuities will allow for a small fee free withdrawal, generally up to 10%, but by taking even that cash, you greatly reduce the earnings potential of the annuity. Another disadvantage would arise if the rate of return on the annuity ended up being lower than what you might have received had the money been invested differently. If you've got sufficient cash reserves and have done your homework before buying, neither of these should be an issue. Thanks for asking!

Answer on What Is The Difference With Term And Whole Life Insurance? by Jim Winkler

Jim Winkler — Mon, 06 Oct 2014 03:48:34 +0000

That is a great question! It is actually probably the most common question I get. Term policies are perfect for people who have very tight or small budgets and need insurance, or that have a debt that they need to have covered for a short period of time.For example, let's say that you just graduated college, and have a lot of school debt to repay, and a starting salary job. A term policy that insures you until the loan debt is paid, or until you get a higher paying job is a great option. Or if you just had a baby, and want to increase your coverage to ensure that the baby's college expenses, and needs would be paid for if something were to happen to you, again is a good option. If your need is for something that is more permanent, that you know you won't outlive, and that will have a reserve of cash that you can draw from if needed, then you will want a whole life policy. They are more expensive then a term policy, but they are also going to pay out, providing you keep the policy in force, while the vast majority of term policies will end without ever paying. Term policies also will not have any cash value, should you need it, or wish to surrender the policy. Once you have a whole life policy, the prices are generally set, and do not change, nor can you be dropped from them. Finding affordable coverage once your term policy ends can sometimes be difficult, or impossible, if you've aged considerably, or your health has had some serious setbacks. I hope that helps, thanks for asking!

Answer on What Is The Difference Between Universal And Term Life Insurance? by Jim Winkler

Jim Winkler — Mon, 06 Oct 2014 03:37:20 +0000

That is a great question! There are a couple of similarities, and a lot of differences between the two. They are alike in that they can provide a death benefit, should you pass while they are in force. They are alike in that the cost of the insurance rises as the policy ages. They are alike in that they both can end abruptly. Term policies have a designated end date, and to receive the death benefit, you must pass during that term period between policy start and end dates. There is no cash value, or perks, and the price may be set, or it may increase after a guaranteed period, at which point the rates increase. Universal life policies are term policies with whole life characteristics The policy is guaranteed to last a certain number of years (generally 20), but can end sooner, or last longer, depending upon your payments, and the performance of the policy investments. Term policies generally come with guarantees, UL policies generally come with few. They can grow large cash values, (and that is the hook that they will use to sell it to you) but there have to be several things that fall into place for that to happen. In a term policy your greatest risk is that you outlive your policy; In a UL, it's that you outlive your policy, and lose what you paid into it. Whole life policies fall right into the middle, and offer the least amount of risk, with the best guarantees, and benefits. Please contact me if you would like to discuss them, okay? Thanks for asking!

Answer on What Is Non-Participating Term Life Insurance? by Jim Winkler

Jim Winkler — Mon, 06 Oct 2014 03:03:18 +0000

That is a great question! Life insurance policies are designated "participating", or "non-participating". The terms refer to the payments of dividends from the insurance company to you, to be applied to your policy. In a non-participating policy, there is no dividend payment arrangement. In a participating policy, you may or may not receive a dividend payment, it is solely up to the discretion of the company as to whether it pays one or not, and if so, how large that payment is. I hope that helps, thank you for asking!

Answer on What Are The Factors That Determine How Much Life Insurance Will Cost? by Jim Winkler

Jim Winkler — Mon, 06 Oct 2014 02:47:54 +0000

That is an excellent question! The main things that determine your rate are your age and gender; your smoking preference; your immediate and past health conditions; The prescriptions that you are taking; The type of policy and the coverage desired; and the companies costs of insurance, fees and profit margins. Things like your job, your family's health histories, and where you live can also play a part. Depending upon the policy that you are looking at, some or all of these can play a part. I hope that helps, thanks for asking!

Answer on Can You Buy Term Life Insurance For Someone Else? by Jim Winkler

Jim Winkler — Mon, 06 Oct 2014 02:40:51 +0000

That's a great question! Back when life insurance became popular, it didn't take long for some people to figure out that they could insure someone without their knowing about it, and then make friendly wagers on the life expectancy of that someone, with the policy benefit as the prize. To prevent that from happening anymore, the insurance industry (goaded by the gambling authorities) set into place a rule requiring that there be an "insurable interest" in the person you want to insure. So to purchase a policy on someone else, you will need to show that their passing will cost you, financially, or emotionally. They will need to either be immediate family, or someone that by passing causes you to suffer a financial loss that is insurable. You will also need their consent, if they are not a minor, as they will have to be in agreement with the policy terms, and provide signatures, and health information. As long as you can satisfy those requirements, you should be good to go! Thanks for asking!

Answer on Why Would I Want Whole Life Insurance? by Jim Winkler

Jim Winkler — Mon, 06 Oct 2014 02:31:59 +0000

That is a great question! There are some of the televised financial guru's that tell you that term life is the way to go, and to forget about whole life as an option. They are right, if you are one of the 1% who can save enough money in tax deferred or tax free shelters to pay for your final expenses, and leave behind enough tax free cash to support your family when you're gone. If that's you, then you don't need it. If that's not you, then to have a policy that you can't outlive, like you might a term policy, (and never have to worry about being denied coverage when that happens) is a great reason. To have a source of no questions asked cash if you need it one day is also a big plus. Having a pretty surefire way to pass wealth down without having to worry about wills or probate is also a great reason. I hope that helps you, thanks for asking!

Answer on At What Age Do Life Insurance Rates Increase? by Jim Winkler

Jim Winkler — Mon, 06 Oct 2014 02:24:39 +0000

That is an excellent question! With most whole life policies, the payments are generally set, and do not rise. When you are looking to purchase a policy, the cost will increase the older you get - so a policy purchased at the age of 15 will almost always be much less expensive than the same policy purchased at the age of 51. Term policies will either increase as you enter new age bands (AARP, AAA, for example, that increase every 5 years), or after the guaranteed rate period ends.It will rise once the policy ends, if you choose to renew it. Once you start the yearly renewal process, be aware that the price will get astronomically more expensive each time. I hope that helps, thanks for asking!

Answer on Does Indexed Universal Life Insurance Work? by Jim Winkler

Jim Winkler — Mon, 06 Oct 2014 02:17:58 +0000

That's a great question! The answer really kind of depends upon how much work you want to put into it to ensure it works. This kind of policy requires that you pay attention to its performance, and that you do your part in looking for a policy that has the best cap rate, highest participation rate, minimal surrender fees, and greatest guarantees. You will also need to be aware of your cash value, and the fees that are coming out of it. Can it work? Yes, but this is not the type of policy that you can make minimum payments on and forget about, unless you'd like to find out in a few years that it's in trouble, and so are you.Especially if the market has been volatile, or taken a down turn. I hope that helps, thanks for asking!

Answer on I’m 50 with a term life policy that expires when I’m 60. Should I convert to whole life, and if so, when? by Jim Winkler

Jim Winkler — Mon, 06 Oct 2014 02:09:42 +0000

That is an excellent question! I think it is great that you are on top of your insurance situation. I'd advise you to call your agent, and ask about the ability to convert your policy. Make sure that your policy will allow it; and if so, how much coverage it would give you. Then look at whether that is enough coverage. If not, then you will want to think about adding some additional coverage, either in another term policy, or some additional whole life, depending upon your budget. I do not recommend by any stretch to renew it, as it will get very expensive very quickly. If you need help, please feel free to contact me, okay - I'm happy to help. Thank you for asking!

Answer on What Happens At The End Of Term Life Insurance? by Jim Winkler

Jim Winkler — Sun, 28 Sep 2014 00:30:31 +0000

That is a great question! Unlike a whole life policy, which ends when you do, term policies almost always end before you do. It's why they are so cheaply offered, statistically, the companies rarely have to pay out, compared to whole life policies. So when they do end, you have really only three choices: walk away as if there never was a policy, (since there is nothing contractually obligating either of you anymore, in the typical policy case), hope that the policy has a conversion clause ( one that allows your paid premiums to be converted to a paid up whole life policy with a greatly reduced face value), or you renew the policy. If you choose the latter, be prepared for the policy to renew in one year terms, and for the price to go up exponentially each time. They get very expensive very quickly. This can be a real problem if it happens when age or health issues prevent you from finding another company that will write you. This is often the case with the term policies that companies like AARP and AAA offer, policies that end when you turn 80. With life expectancy now averaging years longer than 80, and the increasing costs as you age, more and more Elder citizens find themselves out a lot of money, and with no protection. Please be careful when you are looking at these kinds of policies, okay? Thanks for asking!

Answer on Can I Apply For Life Insurance Online? by Jim Winkler

Jim Winkler — Sun, 28 Sep 2014 00:16:59 +0000

That is a great question! You can find anything on the internet these days, and certainly life insurance is on there for the taking. I'm not a big fan of buying it on the internet, but I do think it's good to research and comparison shop on it. Here's why I don't recommend buying online: 1.) If you apply on line, the price you are quoted is almost always the "best price" scenario. It may be quite different from the actual price the policy comes to you with, after the prescription, MIB and underwriting processes are completed. A live agent will have discussed this with you, and in most cases can give you an exact quote. 2.) If there is an issue with your health, and you are declined more than once, this becomes a red flag for any other company that you will apply with. Again, a live agent can prevent this from happening by steering you toward an appropriate policy/company. 3.) Maybe I'm a little old fashioned, but the protection of my family still means a lot to me. I'm not comfortable putting my information out there on the web, especially with the almost daily revelations of who'd been hacked months ago that we're just now being told about. Add to that the horrendous experiences with on-line customer service, and I'm not counting on them to answer in an emergency. I want a live body answering my call. I hope that helps you, thank you for asking!

Answer on Is Universal Life Insurance The Same As Whole Life? by Jim Winkler

Jim Winkler — Sun, 28 Sep 2014 00:01:17 +0000

That is a great question! Yes, universal life insurance is a type of whole life insurance, but at the same time, it's really kind of not. The best way to explain it is that it is a whole life body welded to a term chassis. Just as term policies end after a certain amount of time, the average ul policy will too, if you're not watchful. The average ul policy is only guaranteed for twenty years, and can end sooner, or last longer, depending upon it's investment performance, and the amount of premiums that you pay into it. If properly funded and maintained, it can last your lifetime; if you don't watch for how well it's funded, it can eat its cash value to stay active, and at some point lapse. Confusing? Yup, this isn't a policy for people that aren't wanting to have to pay attention to it, possibly have to increase their premium payments, or who want the safety of not having to worry if they can lose the policy if they make the same payments over a length of time. I hope that helps, thanks for asking!

Answer on Does High Cholesterol Affect Life Insurance Rates? by Jim Winkler

Jim Winkler — Sat, 27 Sep 2014 21:50:53 +0000

That is a great question! Many people think that if they have some kind of health issue that it will create a problem when trying to get life insurance. The truth is, for the majority of things like diabetes, high blood pressure and high cholesterol, if it is controlled and there have been no complications, the companies will generally put little weight behind them. Now, if they are issues, and you aren't taking your meds for them, that's an entirely different story. But even then, there are policies that you can get. The bottom line is that you can get insurance with high cholesterol, but much better insurance if you have it, and it's controlled. I hope that helps, thanks for asking!

Answer on When Should I Get Whole Life Insurance? by Jim Winkler

Jim Winkler — Sat, 27 Sep 2014 17:24:30 +0000

That is an excellent question! Since the majority of companies will have fixed rates for the policy, it makes sense to purchase it as early as possible. Many times I'm asked - "why should I buy insurance for my kids?", and the answer is this - because kids pass also, and God willing they live long, healthy lives, they will never pay more that what the original premium price is. Many policies will also offer the opportunity to increase their coverage without having to do any underwriting! I hope that helps, thank you for asking!

Answer on What Is Indexed Universal Life Insurance Policy? by Jim Winkler

Jim Winkler — Sat, 27 Sep 2014 17:01:03 +0000

That is an excellent question! An indexed UL policy is a type of permanent life insurance. This type of policy carries a higher amount of risk than a traditional whole life policy. In a traditional policy, your death benefit is guaranteed, and your premium payments are usually set, and unchanging. In the indexed policy, the death benefit is created by an interest rate that is tied to an outside index, usually the Dow, or the S&P 500. As the market moves, so does the interest rate that your policy earns. The rates are usually capped on the high side, and may or may not have floors on the bottom end. This means that your policy may or may not increase in cash value, and your premiums may or may not have to increase to keep the policy active and in force. This type of policy has a lot of moving parts, and is , in my opinion, left for those with higher risk tolerances, good liquidity, and the understanding of, and time to follow, the markets. I rarely recommend this product. I hope that helps, thanks for asking!

Answer on What Is Whole Life Insurance For? by Jim Winkler

Jim Winkler — Sat, 27 Sep 2014 16:48:07 +0000

That is an excellent question! Each of the two main types of life insurance has a purpose that it was specifically designed for in the way that it protects. In term policies, it's to provide coverage for a period of time, and to make large amounts relatively cheap. For whole life, it's to provide coverage that can't be outlived, and to provide cash options that are not available in the term policies. The need you have should be matched to the purpose that best fits that need. I hope that helps, thanks for asking!

Answer on Is Term Life Insurance Better Than Permanent? by Jim Winkler

Jim Winkler — Sat, 27 Sep 2014 15:58:53 +0000

That is an excellent question! It is a very commonly asked question, as people often have questions about the two. Term insurance is the better choice if you only want the coverage to last a short time. If you want to insure your life, a permanent policy cannot be outlived, and is the better option. If you want to supplement that amount, then perhaps a term policy/permanent policy mix is the best option. It will depend upon your need, your budget, and your health. If you'd like help, please contact me, okay? Thanks for asking!

Answer on What Is The Best Life Insurance For A 60 Year Old? by Jim Winkler

Jim Winkler — Sat, 27 Sep 2014 15:52:20 +0000

That is a great question! There are some questions that I'd ask you before giving you my answer. The first would be to ask what you wanted the policy to do for you. Wealth transfer, debt coverage, covering final expenses? Then I'd ask you how much coverage it would take to accomplish that for you. Then we'd get into your health, and come up with an answer that fits you. If you'd like to do that, please drop me a line. I hope that helps, thanks for asking!

Answer on Can I Buy Term Life Insurance For Someone Else? by Jim Winkler

Jim Winkler — Sat, 27 Sep 2014 15:46:20 +0000

That is a great question! You can, but there has to be a couple of things that you can do first. The main thing is realize that the person you wish to buy it for has to understand what you are doing, and why. If they won't agree to sign, or cannot understand what is going on, the policy won't be issued. You will also have to meet the companies standard for having the ability to show your "insurable interest." That is the rule that keeps people from insuring random people, and gambling on their lifespans for personal profit. (That was an issue in the early days, when some unsavory folks figured out how life insurance worked!) You will have to show that their passing will cause you a loss. If you can do those two things, and are certain that a term policy is the best option, then you should have no problem getting the policy. Thank you for asking!

Answer on Can Life Insurance Get Medical Records? by Jim Winkler

Jim Winkler — Sat, 27 Sep 2014 15:36:11 +0000

That is a great question! Not only can they, but they absolutely will. There are a couple of reasons why. The first is that people often forget exactly what the doctors have told them, or sometimes that there even was an issue. Some people will pretend that issues never happened when filling out the application, in hopes that it will be cheaper. The company protects itself by looking at those records, and your prescription history.If they are concerned with your reliability, they may also look at your credit history. I hope that helps, thanks for asking!

Answer on Does Whole Life Insurance Have Surrender Charges? by Jim Winkler

Jim Winkler — Sat, 27 Sep 2014 15:21:55 +0000

That is a great question! While there will normally be some form of surrender fee applied to your policy, unless it is a universal life, or indexed UL policy it is not the often large hit that comes when you surrender an annuity product. If you do not have a copy of your policy to look at, then just call your agent, they can tell you the amount of the charge, and the amount that will be surrendered to you. Thanks for asking!

Answer on What Should Life Insurance Cost? by Jim Winkler

Jim Winkler — Sat, 27 Sep 2014 14:59:47 +0000

That is a great question! It is one of the most commonly asked, and most difficult to answer satisfactorily. There isn't a magical number or range that in good conscience I can give you. The reason for that is that the cost of your insurance is based upon a lot of factors for which I have no information. How old are you? Are you male or female? Do you smoke? Whole life or term? Coverage amount? Those are just the beginning. If you'd like a real idea, please contact me through the provided link, and I can give you a better answer. Thank you for asking!

Answer on How High Should My Homeowners Insurance Deductible Be? by Jim Winkler

Jim Winkler — Sat, 27 Sep 2014 14:53:51 +0000

That is a great question! Finding the deductible that is right for you is a very common problem. You want to balance affordability of the policy with the ability to come up with the deductible amount if you need to. My advice is always to set your deductible at the largest amount that you could scrape together if you had to. It doesn't make sense to set your deductible at an amount that you can't pay, if you had to. I hope that helps, thanks for asking!

Answer on Do Annuities Have Beneficiaries? by Jim Winkler

Jim Winkler — Wed, 17 Sep 2014 23:07:29 +0000

That is a great question! As annuities are an insurance product, there is the ability to structure your annuity to allow the remaining balance to pass to a beneficiary. Depending upon how you structure it, you can have your annuity pay for a certain number of years and run out; pay until you pass, then continue to pay your spouse; or pay the remainder to a beneficiary when you and your spouse have passed. That amount can be structured as a lump sum, (taxes!) or a series of payments (lesser chunk of taxes). Ask your agent to walk you through the options, ok? Thanks for asking!

Answer on What should recent college grads do about insurance? by Jim Winkler

Jim Winkler — Wed, 17 Sep 2014 23:02:02 +0000

That is a great question!! I'm really pleased to see you looking already at your future, that's a great thing! My advice: Health insurance, stay on your parents' until you're 26, then go to the www.healthcare.gov site and get a policy for yourself, as you most likely will qualify for a subsidy to help pay for it. Life insurance, find a whole life policy that will allow you to buy a minimum amount, but will allow you the option to increase your coverage as you become more solid financially. I have several companies that I work with that will allow you to do that, and since you are young, and in good health, the premiums are pretty reasonable to start out with. If the parents have you on their auto insurance, beg them to let you stay there. If the parents or someone co-signed loans for you, you may want to consider covering that debt with a term life policy, just in case, either in addition to, or in place of ( in addition to is preferable) your whole life policy.Live at home, and save on renter's insurance. In all seriousness, take the advice about the health and life insurances. Congratulations on your accomplishment, graduating college is something that you should be very proud of doing! Thanks for asking!

Answer on Why does it cost more to insure an employee who’s paid more, for doing the same job with the same risk as an employee who’s paid less? by Jim Winkler

Jim Winkler — Wed, 17 Sep 2014 22:38:57 +0000

That is a great question, with a very simple answer - while the risks for both employees are the same, the cost of covering their losses isn't. To replace the salary of the higher paid employee will obviously cost more than the lesser paid employee. Workman's comp and disability pay a percentage of your pay, so the higher priced guy costs more. I hope that helps, thanks for asking!

Answer on What Does Basic Life Insurance Cover? by Jim Winkler

Jim Winkler — Wed, 17 Sep 2014 22:34:01 +0000

That is a great question! Your basic life insurance policy will cover any reason for what may cause your demise. Something like an accidental death policy isn't so good, as you have to pass from or as a result of, an accident. So you have a heart attack - your life policy would pay, your accidental death policy would not. You get bitten by a spider, have an allergic reaction, and meet your maker, life pays, accident doesn't. You get into a car wreck, both would pay. I hope that helps, thanks for asking!

Answer on Can Whole Life Insurance Be Used For Retirement? by Jim Winkler

Jim Winkler — Wed, 17 Sep 2014 22:29:23 +0000

That is a great question! I believe that life insurance is a must, and while it can be used as part of a retirement plan, I'm not real big on advising so. Here's why - The general purpose for a life insurance policy is so that you can transfer wealth, and pay final expenses. Your beneficiary receives the tax free benefits, and your final expenses are not passed onto them. If your main goal is to gut your policy and live off the cash value in it, that defeats the purpose of the wealth transfer. If the idea is to garnish tax free income in retirement, a Roth IRA would be a far better investment vehicle, and its balance can be left to a beneficiary. A smarter way to use your money, though lesser commission for an agent. I hope that helps, thanks for asking!

Answer on Can Deferred Annuities Be Surrendered? by Jim Winkler

Jim Winkler — Wed, 17 Sep 2014 21:39:51 +0000

That is a great question! Yes, you can surrender your annuity, the question is do you really want to? The type of annuity that you purchased is designed to sit for a while to allow the insurance company to make money too, and you have to know they are going to get theirs, one way or another. This is done by assessing you a surrender fee, and it is a percentage of the premium you deposited to start the annuity. Depending upon your annuity and the length of time you've had it, this can be upwards of 10%. If the money has been there several years, and you are just now needing some cash, I'd recommend looking at every other option first. It's likely that you may be able to take a percentage free from your annuity, but that can greatly affect the payout amounts later, so I'd look for other options first. Can you borrow from your life insurance, for example? Please contact your agent, and really look at your options, ok? drop me a line, I'd be happy to help. Thanks for asking!

Answer on What Is Guaranteed Premium Life Insurance? by Jim Winkler

Jim Winkler — Wed, 17 Sep 2014 20:13:17 +0000

That is a great question! "Guaranteed premium" means that the price stays the same - it's "guaranteed". This is typical in most whole life policies, but can be different in term life policies. For example, you might purchase a straightforward 10 year term policy. In 99.9% of those policies, your premium payment is the same from first payment to the last payment. In a term policy like those offered by AAA or AARP, however, their premiums will increase as you age, and pass through each "age band" (55-59, 60-64,65-69,70-74,75-79) until you reach your 80th birthday, and the policies end. They will "Guarantee" your price through each band, but increase it in the next one, and "guarantee" that rate until the next. If you have questions, please drop me a line, I'm always happy to help. Thanks for asking!

Answer on Do benefits pay triple on murder? by Jim Winkler

Jim Winkler — Wed, 17 Sep 2014 19:56:11 +0000

That is an interesting question! I know of not one single company that pays anything extra for death that results from a crime. In fact, I know far more that won't pay if the death was a result of criminal activity on the deceased's part. Insurance companies are very careful, and guarded against paying for anything that was illegal. If the deceased was a random victim, they would pay up like any other death. I hope that helps, thanks for asking!

Answer on Is Whole Life Insurance For Me? by Jim Winkler

Jim Winkler — Wed, 17 Sep 2014 19:52:01 +0000

That is a great question! It may be, if this is what you are looking for: A policy that you can't outlive; one that will have the same price every month; one that can provide you with money in an emergency; and one that you can buy, set up on automatic drafts and forget about. If you want the security of knowing that it is handled, this is the policy type for you. Thank you for asking!

Answer on What Would Be Considered A Disadvantage Of Owning A Fixed Annuity? by Jim Winkler

Jim Winkler — Wed, 17 Sep 2014 15:40:28 +0000

That is a great question! There are two things that could be seen as disadvantages to having a fixed rate annuity. One is inherent in all annuities, and that is the fact that the money is untouchable for several years, without paying penalties to withdraw it. If you change your mind, or feel that it wasn't a good investment, it can be difficult to change without taking a hit financially. Annuities are a bad investment vehicle if you have liquidity issues. The second is that if your're not receiving a rate that will outpace inflation and cover fees, you can actually lose money. If the guaranteed rate say, is 2%, but the fees are 1% and inflation is 1.5%, you are actually losing money. The same could be said if the money invested in the annuity could have brought a higher return invested elsewhere. It's important to really have a good advisor when looking at annuities, especially fixed ones, to ensure you get the best return possible. Thank you for asking!

Answer on Can I Get Renters Insurance With Bad Credit? by Jim Winkler

Jim Winkler — Wed, 17 Sep 2014 15:32:02 +0000

That is a great question! The answer is dependent upon where you live, and the company that your policy is with. You can certainly get a policy, even with bad credit, no problem. The price that you pay can be more though. If your State insurance laws allow the use of your credit rating as a factor in pricing, you can bet the company will. That said, I'd offer you two pieces of good news. Most times your credit rating isn't as bad as you think it is; and even with bad credit, renter's insurance isn't going to cost you much. Don't worry, go ahead and get it. Thanks for asking!

Answer on Can You Put Money In A 401K And A Roth IRA? by Jim Winkler

Jim Winkler — Wed, 17 Sep 2014 15:03:16 +0000

That is an excellent question! Not only can you, but you should! It is an excellent strategy to maximize as much as you can afford to the amount you can contribute to your retirement funds. Contribute as much as you can to the 401 to earn the employer match, it's free money, in a way, and you should take advantage of it. Your Roth will allow $5500 a year ($6500 if you are 50+) and after your 401, contribute as much of that as possible. The earlier you start, the better, and by maximizing your contributions now, it will help balance out when the time comes that money is a little tighter, and you can't contribute as much. Thank you for asking!

Answer on How Can I Find Out My Neighbors Homeowners Insurance? by Jim Winkler

Jim Winkler — Wed, 17 Sep 2014 14:53:54 +0000

That's a great question! The best answer is also the most obvious - go ask them. If you are wanting to file a claim against their insurance company, there are really only two ways you are going to find out who that is, legally - ask them, or file the claim with your agent, and have them file a claim legally against your neighbor for compensation. Short of that, because of the Patriot Act, their privacy is protected just as yours is, and you will have very little luck finding out on your own.Thanks for asking!

Answer on How Much Of Your Salary Is Covered By Disability Insurance? by Jim Winkler

Jim Winkler — Sat, 13 Sep 2014 23:20:59 +0000

That is a great question! The answer will depend entirely on your policy, and the selections that you chose, when purchasing it. When you purchased the policy, the agent should have walked you through the exclusion period choices, the length of time the payments would be made, and the amount that would be paid to you. Depending upon your choices, that could be a very large percentage of your check, or a much smaller amount. If you are thinking about buying a policy, those are the things that you will need to consider when purchasing it. I hope that helped, thanks for asking!

Answer on Is Universal Life Insurance The Same As Term Life Insurance? by Jim Winkler

Jim Winkler — Sat, 13 Sep 2014 23:14:44 +0000

That is a great question! And oh, no, they are definitely not the same. In fact, they are really at exact opposites of the life insurance spectrum. Term policies are very inexpensive, are very simple, and explain exactly what is paid and when. The cost and length of the policy are defined, and unchangeable. Universal life policies are exactly the opposite. The length of the policy is described as whole life, but can end if conditions of performance aren't met. The price you pay for the policy can also vary, as can the benefit to be paid, again based upon the performance of the policy. This policy requires that you pay attention to it's performance, to ensure that it does what you want it to do, while a term policy runs on auto-pilot. If you want more information, please inbox me, ok? I hope that helps, thanks for asking!

Answer on Can Life Insurance Be Garnished? by Jim Winkler

Jim Winkler — Sat, 13 Sep 2014 23:03:58 +0000

That is a great question! If it is a creditor seeking payment for the deceased's debts, generally your payment as the beneficiary cannot be taken from you to satisfy the insured's debt. If you have a creditor that has learned that you've come into a large sum of money, that may be a different situation. In either case, you would be best served to seek legal advice, because as an agent, and not a lawyer, I cannot answer for you as a lawyer would. I hope that helps, thanks for asking!

Answer on Is Buying Life Insurance Online Safe? by Jim Winkler

Jim Winkler — Sat, 13 Sep 2014 22:53:45 +0000

That is an excellent question! Honestly, I really don't believe so, and I'll tell you why. The first reason is that you don't have any idea who you are speaking with, and whether they will be there if you need them. Maybe I'm old school, but if I'm going to be giving someone my money and expecting them to be a part of protecting my family, I want to know them. I don't trust giving my family to a faceless, impersonal website. The second is the security of my personal information - who sees it, how well is it protected, and how do I know where it went? With the rate that companies seem to be hacked, I think I prefer knowing my stuff is locked in a cabinet somewhere vs. floating around in cyberspace, available to whomever. The third reason is that the internet prices shown to lure you in are "best scenario" prices always - they are the worm on the hook, and far too often aren't what your price is after they've underwritten the policy. With a live agent, that is much less likely to happen. Can it be safe to buy online? Probably. Would I personally do it? No. I hope that helps, thanks for asking!

Answer on How Much Would A Million Dollar Life Insurance Policy Cost? by Jim Winkler

Jim Winkler — Sat, 13 Sep 2014 22:45:10 +0000

That is a great question! Unfortunately, I'd need a lot more information from you. There would need to be the simple things, like your age, gender, smoking preference, and health issues; then we'd have to decide whether you would even be able to purchase that much coverage, based upon your income. Then we'd look at the reason for the insurance, and determine the best type of policy to do that. Then we could talk about price. If you'd like to have that conversation, please feel free to inbox me, ok? Thanks for asking!

Answer on Is Term Life Insurance Expensive? by Jim Winkler

Jim Winkler — Sat, 13 Sep 2014 22:28:48 +0000

That is a great question! Typically, term life insurance is very inexpensive, when compared to a whole life policy for the same benefits. The reason is that term policies will end at the specified term end date, and there is only a payment if the insured dies within that period of time. Since they don't have to pay off very often, these policies can be offered more cheaply. A whole life policy will always pay off, assuming it is kept in force. Term policies also have no extra bells or whistles, it's straight coverage for a period of time, and that's it. No riders, cash value, or surrender values, like a whole life policy would have. This type of policy is great for covering debt, as they are so inexpensive, and when the debt is repaid, the policy can be ended. I hope that helps, thanks for asking!

Answer on What Is Guaranteed Issue Life Insurance? by Jim Winkler

Jim Winkler — Sat, 13 Sep 2014 22:23:01 +0000

That is an excellent question! When you are offered a guaranteed issue policy, what the insurance company is offering you is a policy that you will certainly qualify for. There are typically few if any questions about your health, other than your age and gender. These policies are great options for people who have or have had serious health issues, that otherwise would not qualify for a policy. They aren't cheap though, and will generally have a two or three year period to work through where the death benefit is reduced to premiums paid plus interest. This is one of those cases where an independent agent like myself is worth their weight in gold, because finding the least expensive and best options for your graded period can make a big difference. I hope that helps, thanks for asking!

Answer on What Should Term Life Insurance Cost? by Jim Winkler

Jim Winkler — Sat, 13 Sep 2014 22:09:40 +0000

That is a great question! The best thing about term insurance is that it is cheap. Insurance companies will statistically rarely have to pay out on them, and there are very few moving parts, so they can be offered very cheaply. The price will be based on the amount of insurance desired, the length of the term, and a host of physical details about the person to be insured. Please seek out an agent that can help you find the policy that is the right one for you, okay? Please feel free to inbox me, if you'd like, I'm happy to help. Thanks for asking!

Answer on What Is Fixed In A Fixed Annuity? by Jim Winkler

Jim Winkler — Sat, 13 Sep 2014 22:00:33 +0000

That is an excellent question! Fixed annuities are the simplest of the three main types of annuities. They are generally the safest in terms of risk, because the fixed rate of return is clearly stated. A fixed annuity will have a guaranteed interest rate that is fixed for a period of years. The other annuities, indexed and variable, will have rates and returns that can change based upon the profit or loss in the marketplace. I hope that helps, thanks for asking!

Answer on What To Do When You Are Denied Health Insurance? by Jim Winkler

Jim Winkler — Wed, 10 Sep 2014 23:25:31 +0000

That is a great question! A better one is why were you denied? There are extremely few reasons why you could be legally denied, and I'd sure like to know what their reason was. If they said "pre-existing condition", you don't want to insure through them anyway, as they are breaking the law, and probably aren't very trustworthy in their other dealings either. Count them as doing you a favor, and reapply with a different company, preferably one under the www.heathcare.gov site, where you might even qualify for help paying for the policy you'll get. Good luck, and thanks for asking!

Answer on Can I Buy Health Insurance With A Pre-Existing Condition? by Jim Winkler

Jim Winkler — Wed, 10 Sep 2014 22:54:11 +0000

That is an excellent question! One of the best things about the Affordable Care Act ( Obamacare ) is that it did away with the pre-existing condition exclusion that insurers were so fond of. It also did away with the caps that had been put on lifetime treatments for those conditions. That is one of the biggest reasons why politicians who were being bankrolled by insurance companies were so vocal in their opposition to the law. The insurers knew they were going to have to accept many more people, that otherwise they wouldn't have had to help. And contrary to their loudly bleated predictions, health care costs did not rise dramatically, in fact they have remained steady, and are at their lowest increases in many many years- down to low single digit increases verses 10-12% annual increases before the bill passed. In some places the costs have actually fallen. Thanks for asking!

Answer on Does Health Insurance Cover Funeral Expenses? by Jim Winkler

Jim Winkler — Wed, 10 Sep 2014 22:47:04 +0000

That is a great question! Unfortunately, I do not have a very good answer for you. Insurance types are very specific in what they cover. Life insurance policies will not cover a trip to the dentist, and your vision policy won't cover your maternity costs. Unfortunately, your health insurance isn't going to do what a life insurance policy would have - cover those expenses. I'm sorry, but I do appreciate you asking. If you need help, please inbox me, ok?

Answer on I am scheduled for cataract surgery. Can I get insurance against loss of vision? by Jim Winkler

Jim Winkler — Wed, 10 Sep 2014 22:43:33 +0000

That is a great question! While it is possible to get almost anything insured these days, once you've set the wheels in motion for surgery, it becomes really difficult to get the outcome of that surgery insured. Virtually every policy I've ever seen will ask if you have a planned procedure or surgery scheduled, and if so, will decline you. Their assumption is that if it is so bad that you are finally willing to go under the knife to get it treated, you are a bad risk, and therefore not worth it. Not the most personable attitude, but given their line of work, understandable. That said, I've had several family members who've had cataract surgeries done, and each came out with flying colors, and improved vision. I'm sure that you will too. Good luck, and thanks for asking!

Answer on is it better to split business with another agent by paying them app fees or a split of the commission. What are the good and bad of paying app fees? by Jim Winkler

Jim Winkler — Wed, 10 Sep 2014 22:37:20 +0000

That is a great question! Typically when I split business, I split the commission. The reason is that I wanted the agent who shared in the business to feel that their effort in getting the business written was compensated properly, and appreciated. If the person getting you the apps knows the type of commission that you will receive for writing the business, and then receives from you a thank you and a very small fee by comparison to your commission, what is their incentive to give you more business? In our line of work reputation is everything, and having one as a person who appreciates and rewards beats the pants off one of being greedy and selfish.If you would like info on percentage splits, please inbox me. I hope that helps, thanks for asking!

Answer on What Are Variable Annuities? by Jim Winkler

Jim Winkler — Wed, 10 Sep 2014 22:30:13 +0000

That is a great question! There are basically three types of annuities. Two are simple, and unregulated, as their performances have stated guarantees and payment amounts. They are fixed annuities, and indexed annuities. In the first, the rate of return is a clearly stated percentage. In the second, the rates of return can vary, and are tied to the performance of a market, typically the S&P 500. Even when the market fails to perform, this type of annuity has provisions to protect your investment. The other type of annuity is the variable one. It has no such guarantees, and is considered to be a security, so it is highly regulated, and anyone selling it to you needs to be licensed by the SEC. This annuity can make or lose money for you; it's payments can vary, based upon its performance of the underlying investments. This is an investment that should be carefully considered before purchasing, even more so than usual. I hope that helps, thanks for asking!

Answer on What Does Cash Value Mean On Life Insurance? by Jim Winkler

Jim Winkler — Wed, 10 Sep 2014 22:21:36 +0000

That is a great question! One of the best things about whole life insurance is that as you pay into the policy, the cash begins to pile up in it, and is there in the event that you need to borrow from it. It is different from the surrender value, which is the amount that you would receive were you to surrender the policy. I hope that helps, thanks for asking!

Answer on Where To Purchase Annuities? by Jim Winkler

Jim Winkler — Wed, 10 Sep 2014 22:09:40 +0000

That is a great question! Since annuities are a form of insurance, you can purchase them from any reputable insurance company. You should look to companies that are well rated by Standard & Poors, or A.M.Best, and please be sure that your agent explains everything in detail until you understand it, before you purchase anything, okay? Thanks for asking!

Answer on What Is The Difference Between Term And Non Term Life Insurance? by Jim Winkler

Jim Winkler — Fri, 05 Sep 2014 21:04:39 +0000

That is a great question, and one of the most common ones I get! There are two types of life insurance, term and whole life ( non-term). The term policies are very cheap, because they are bare bones policies with no frills, and are seldom paid out. The only way to collect on this type of policy is to pass away during the specified term period. This period is generally stated in a number of years, 5, 10, or 20 for example; but some companies like AARP, or AAA will market term policies that end when the insured turns 80, so the end date is set, not necessarily the number of years until that point. In any event, the term policy ends at that point, and it is as if it never existed. You may be able to renew it yearly, but the price increases dramatically ( yes, I mean dramatically) each time. A whole life policy will last as long as you do, and generally the price never increases. It will be more expensive, but your payout is guaranteed, as long as the policy remains in force, and it will have a cash value feature that is great if you ever get into a bind, and need some quick no hassle loans. That is a quick explanation, I hope it helped. Thanks for asking!

Answer on What Are The Best Life Insurance Policies? by Jim Winkler

Jim Winkler — Fri, 05 Sep 2014 20:50:22 +0000

That is a great question! The answer though, really depends upon what you want the policy to do for you. If you need it to cover a debt, like a mortgage, or college loans, or to increase your coverage while your kids are small, then maybe a term policy is the way to go. If you want to be certain that you are covered no matter how long you live, or think that one day you might need to access some quick, no questions asked cash, then maybe a whole life policy would be better. I'd really need to talk to you and get more information before I could tell you for certain. I do appreciate you asking though!

Answer on Why Is Car Insurance Important To Have? by Jim Winkler

Jim Winkler — Fri, 05 Sep 2014 20:18:14 +0000

That is a great question, and one I get a lot! The first reason that you should have insurance is that it is required by law to have. If you are going to drive, you'd better have a policy. The penalties for driving uninsured are stiff, and have long lasting negative effects. The second good reason is that generally people don't have the money laying around to purchase a second car when theirs is damaged or destroyed in an accident. The insurer picks up the tab (after deductible) instead of you, when you have insurance.The third reason is to protect against damages from a lawsuit filed as a result of an accident, having the insurer pay instead of seeing your check garnished is a really good thing. I hope that helps, thanks for asking!

Answer on What Is The Cash Surrender Value Of A Term Life Insurance Policy? by Jim Winkler

Jim Winkler — Fri, 05 Sep 2014 20:10:39 +0000

That is a great question, and I really wish that I had as good an answer to give you! Term policies are cheap, because they offer very little besides the cost of the insurance. There is no cash accumulation in a term policy, so unfortunately there is nothing to surrender to you if you end the policy. If you decide to cancel the policy the only thing that you will get from doing so is no more payments to make. It ends as if it never existed. The only way there would be a chance to get anything back was if you had paid to put a return of premium rider on the policy, and even then generally you have to ride the policy to it's term date to see any of that back. I hate to be the bearer of bad news, but I am glad that you asked. Thanks!

Answer on How Does A Whole Life Insurance Loan Work? by Jim Winkler

Jim Winkler — Fri, 05 Sep 2014 20:04:54 +0000

That is a great question! Whole life policies start to accumulate a cash value after the first couple of years the policy is in force. Over time, this cash value can grow to be a fairly substantial amount of money. In the event that you needed some quick cash, you can borrow from this fund, pretty much no questions asked. To do this, you just contact your agent, and ask if your cash value is great enough to cover what you want to borrow. I suggest this, because the amount borrowed can be enough over time with interest to cause your policy to become insolvent, and you are left without insurance. Your agent can help determine how much you can safely borrow (especially if you aren't really planning to repay it). They will write you a check, and you now have tax free cash in your hands to use as it's needed. Bear in mind that your death benefit will be reduced by however much your loan with interest is at the time you pass; and that if the interest on the loan exceeds a certain amount, the company will cancel your policy. But it is still the best way to get quick cash without any credit hassles. I hope that helps, thanks for asking!

Answer on Can Life Insurance Drop You If You Get Cancer? by Jim Winkler

Jim Winkler — Fri, 05 Sep 2014 19:49:35 +0000

That is a great question! One of the best things about life insurance is that once the policy has been approved and issued, the only way that the contract can be broken is if you had misrepresented the facts about your health, decide to stop paying, or to cancel it. If there is reason for the insurer to believe that you had prior knowledge of your cancer when you applied for it, and said nothing about it, they can drop you. There is a two year window at the beginning of the policy that allows them that right. After that two year window, you are covered regardless of what turns your health may take. I pray that your cancer is easily beaten, and that you live a long and rewarding life. Thank you for asking!

Answer on Can Nursing Homes Take Whole Life Insurance? by Jim Winkler

Jim Winkler — Thu, 04 Sep 2014 03:08:07 +0000

That is a great question! I'm thinking that the circumstances for asking it are not. It seems as if you are asking if the nursing home can take or somehow be paid by your life insurance policy. Is that correct? You will get into some legal ground that I am not able to go, but I feel safe saying that I don't believe there is any way legally that they can take that to pay for services rendered. That said, if this was your ONLY way to pay for the services, and I repeat ONLY, way ( no family, other salable assets, etc.) you can probably assign the policy to them. That transfers ownership of the policy to them, and allows them to name themselves as the beneficiary, so they get paid, and not you, when your loved one passes. That leaves you with no assets for the loved one's funeral, so it's not a real good option. If you've had the policy for a while, it may have a decent amount of cash value built into it that you could borrow from. That would help for a little while, and is a better option. If I'm guessing correctly that this was your intent with this question, please contact me so that we can discuss your options in more detail, okay? Good luck, and thanks for asking!

Answer on What Is The Difference Between Whole Life And Variable Life Insurance? by Jim Winkler

Jim Winkler — Wed, 03 Sep 2014 23:00:40 +0000

That is a terrific question! They both are whole life policies, and they both have a death benefit, and that's pretty much where the similarities end. A whole life policy will have a set death benefit, and a set premium payment, that is always the same. This is a policy that you can purchase, set up on autopay, and basically let run on autopilot. A variable policy isn't quite so simple. In this type of policy you are given responsibility for where the premiums are invested, so the risk moves from the insurer to you. The premiums can be stable, if you are good at investing, and the costs of the insurance are covered. If you're not, your premiums can vary quite a bit, and your length of coverage can be shortened considerably, or even ended. This is definitely not an autopilot policy. I hope that shows you what you needed to see. Thank you for asking!

Answer on Why Do Annuities Have A Bad Reputation? by Jim Winkler

Jim Winkler — Wed, 03 Sep 2014 22:41:19 +0000

That is an excellent question! As with most things, you have to look at them carefully, and see how they are best meant to be used. In most cases, the people that will talk the worst about that thing will have either misunderstood it, or not used it correctly. Because it didn't do as they expected, they talk bad about it, and give it a bad reputation. Annuities are a complex investment vehicle, and are not the best investment for everyone. Many people have learned this the wrong way, either because they did not understand what they were purchasing, or because it was not clearly explained to them. Some folks will disparage another form of investment if what they are trying to sell you pays them a salary, or a commission. It's along the lines of the question" Ever wonder why your stock broker/mutual fund manager drives a better car than you do, if he's working with your money"? Annuities can be excellent retirement vehicles if they are the right vehicle for you. They can be very safe, and can provide a secure source of income. So if there is a bad reputation to them, it derives from being misinformed, or misused, and not because of the product itself. I hope that helps, thanks for asking!

Answer on Who Buys Fixed Annuities? by Jim Winkler

Jim Winkler — Wed, 03 Sep 2014 22:11:49 +0000

That is a great question! One of the biggest considerations in selling annuities is the clients aversion to risk. Some people are gamblers by nature, and have a high tolerance for risk. Some are not so tolerant, but are willing to take some chances, if they feel the odds are good, and have a more moderate risk tolerance. Some people are not tolerant at all. They want to know that their investment is ironclad, and know exactly what it will return. Fixed annuities are ideal vehicles for this type of person. There is little risk, and the returns are defined clearly. They are regularly purchased in plans that need to deliver clearly defined returns for that same reason. I hope that helps, thanks for asking!

Answer on What Are Purchased Life Annuities? by Jim Winkler

Jim Winkler — Wed, 03 Sep 2014 22:05:52 +0000

That is a great question! And it has a very simple answer - A purchased annuity is one that you have used your own money to purchase, apart from a retirement plan through an employer or other organization. The annuity you purchase is through an insurance agent or broker in the open market, and was not acquired as part of a pension or retirement plan. I hope that helps, thanks for asking!

Answer on Why Would Anyone Buy Whole Life Insurance? by Jim Winkler

Jim Winkler — Wed, 03 Sep 2014 21:53:56 +0000

That is a great question! I'm assuming that you mean in relation to purchasing a cheaper term life policy? The best reason is that while term life policies statistically pay out very few times compared to whole life policies. Everyone dies,and a whole life policy pays out when you do, no matter the age. To get paid on a term policy, you have to pass during that term. Another reason for whole life is that if you get into a bind, and need some quick money, you can borrow from your policy. You cannot do that from a term policy. There are typically easier underwriting standards on whole life policies also, making them surer bets to get. I hope that helps, thanks for asking!

Answer on Why Does My Landlord Require Renters Insurance? by Jim Winkler

Jim Winkler — Wed, 03 Sep 2014 21:46:51 +0000

That is a great question, with a very simple answer! Your landlord wants to pay lower insurance premiums himself! By ensuring that each tenant that they rent to has a renters policy, the risk that the landlord's insurance company has to shell out after a catastrophe is lessened. The tenant causes the catastrophe, their insurance company is liable for the damages, not the landlords. Hopefully the landlord is passing along his or her savings to you in the form of cheaper rent. Thank you for asking! (p.s. renters insurance is cheap, and a really good idea for you to have anyway, so the landlord is really doing you a favor by requiring that you have it.)

Answer on Why Are Annuities Tax Deferred? by Jim Winkler

Jim Winkler — Wed, 03 Sep 2014 21:39:56 +0000

That is a great question! There are a couple of reasons why the taxes are deferred on your annuity. The first is that by putting the taxes off until you take the payments, you have an incentive to save for your retirement. That helps everybody, as there is theoretically less need for public assistance programs, and so less need for Government funding of them. So the laws were written to give you that incentive. The second reason is that you haven't accessed the money, and therefore shouldn't have to pay tax on what you haven't gotten paid from. Like a capital gain tax, you don't pay it, until you've realized and capitalized on, the gain. I hope that helps, thanks for asking!

Answer on Does Life Insurance Payout At End Of Term? by Jim Winkler

Jim Winkler — Wed, 03 Sep 2014 21:33:38 +0000

That is a great question! If you are referring to term life policies, the answer is no, that's the reason they are so cheap. If you are referring to whole life policies, then the answer is yes, when the insured passes away, in almost every single case the policy pays. The only way a term policy will pay you is if you perish during the term, or have paid extra all along to have a return of premium rider added to your policy, which returns to you what you'd paid into it (not the face value of the policy). If you want cash, don't buy term. I hope that helps, thanks for asking!

Answer on Can You Get Disability Insurance When Pregnant? by Jim Winkler

Jim Winkler — Wed, 03 Sep 2014 21:27:21 +0000

That is a great question! Generally, once you are pregnant, it is too late to purchase a disability policy. It's kind of like trying to get an auto insurance policy after you've wrecked the car, the insurance company knows they will have to pay out, and are reluctant to sell you a policy, knowing they are going to take a loss. Unfortunately, unlike health insurance, with disability insurance the pre-existing condition exclusion will apply. I'm sorry. Thank you though, for asking!

Answer on What Is The Best Value In Life Insurance? by Jim Winkler

Jim Winkler — Wed, 03 Sep 2014 21:22:51 +0000

That is a great question, and one I get a lot! I think there are a lot of people that assume that life insurance is a "one size fits all" kind of product, and thus has a relatively similar price range. The truth is that it really is more like a tailored jacket - sized to fit you specifically. The things that go into setting the price for your policy are based upon your age, sex, smoking preference, health history, occupation, prescription history, and weight, just for starters. That isn't even considering the amount, and type of life insurance that you want. So finding the "best value" comes down to knowing how to select the best company financially capable of paying your claim when the time comes, and offering the best price for your circumstances until then. A good independent agent (one not tied to a specific brand name) can help you find that best value policy . Drop me a line if you need help, okay? Thanks for asking!

Answer on Why Not To Buy An Immediate Annuity? by Jim Winkler

Jim Winkler — Wed, 03 Sep 2014 21:12:49 +0000

That is a great question! The purpose of this type of annuity is to create a stream of payments that start right away. If you were looking for an income stream that would be a higher dollar amount, or one that might allow you to take advantage of a lower tax bracket in retirement, then perhaps you would want to purchase a deferred annuity. I hope that helps, thanks for asking!

Answer on Does Obamacare Apply To Disability Insurance? by Jim Winkler

Jim Winkler — Wed, 03 Sep 2014 21:06:07 +0000

That is a great question! I get that question a lot, I think because there has been so much mis-information thrown out there about the ACA (Obamacare). It makes it really hard to sort out what is true, and what is thrown out there to scare people. The truth is that disability insurance has nothing to do with health insurance, you could compare it to apples and oranges - both are good for you, but aren't the same. I'm not sure why you were asking, if there is a more specific question that you need answered, please contact me, and I'd be happy to help answer it for you. Thanks for asking!

Answer on What Are The Benefits Of Having Renters Insurance? by Jim Winkler

Jim Winkler — Fri, 29 Aug 2014 15:38:57 +0000

That is a great question! The best reason to have renter's insurance is that they pay to replace the things that you have that become stolen or destroyed. Most of us do not have that kind of money. Another is that if your apartment was unlivable due to damage, the policy often covers your stay at a hotel until adequate repairs have been made. The last, and probably best benefit is that it is one less thing to have to worry about. I hope that helps, thanks for asking!

Answer on How To File A Homeowners Insurance Claim? by Jim Winkler

Jim Winkler — Fri, 29 Aug 2014 15:34:02 +0000

That is a great question! When you have a problem that you need to get help from your homeowners policy on, contact your agent, and they will help you get the process started. Something that you may want to do first though, is assess the cost of the damage first. Let's sat a branch falls from a tree, and knocks the gutters off the corner of your home, and breaks a window. Get a quick estimate or two on the repairwork. If it ends up being less than your deductible, just pay it, and maybe think about not filing the claim. The insurance company would have made you pay anyway, and there's a pretty solid chance that your rate would increase as a result of the filed claim. If that were the case, you had a pretty expensive window repair, when you cost it out over the increased cost for the rest of the time you have the policy. I hope that helps, thanks for asking!

Answer on What Is The Purpose Of Surrender Charges In A Deferred Annuity? by Jim Winkler

Jim Winkler — Fri, 29 Aug 2014 15:25:55 +0000

That is a great question! Whenever you deposit money into an account, be it at your bank, credit union, or annuity fund, that money doesn't just sit there in a box labelled "you". The financial institution immediately takes the money from the "you" box, and uses it to cover their expenses, pay out someone else, or invest it to make their profits. When you take that money out early, it costs them, as they were planning on it being there until the annuitization phase of your annuity was scheduled to begin. Now they have to scramble to get the money back into the "you" box. That often costs them money from the interest they were earning by using the money you'd put in your "box". To recapture some of their loss, and to act as an incentive to deter you from pulling out your "box" early, they assess the surrender charges. You will notice that they are highest at the beginning of your annuity, and decrease as time goes on. That is because the longer your money stays with them, the more likely it is that they've earned what they needed to to repay your money with it's promised interest. Does that help? I hope so, feel free to contact me if it doesn't, okay? Thanks for asking!

Answer on Can Whole Life Insurance Be Cashed Out? by Jim Winkler

Jim Winkler — Fri, 29 Aug 2014 15:11:45 +0000

That is a great question! Your whole life policy will indeed have a cash value that you can receive if you decide to get rid of the policy. But here are some things to think about before you do. How will you be protected if you do? (Hopefully you have purchased another whole life policy from somewhere else first) Does it make more sense to just borrow from the policy as opposed to cancelling it? If it's a matter of affordability, have you spoken with your agent about maybe taking the policy as "paid up insurance", or reducing the coverage to make the payments cheaper, or even end? It is important to not act without thinking about protecting your family first, okay? In the event that you want to go ahead and cash it out, contact your agent, and tell them you want to "surrender" the policy, and ask what the surrender value to you will be. The company will subtract fees, loans, etc from the cash value, so you will want to know the surrender value, as that's what the check will be written for. Once your request is submitted, the process is fairly quick. I hope that helps, thanks for asking!

Answer on What Is Dwelling In Home Insurance? by Jim Winkler

Jim Winkler — Fri, 29 Aug 2014 15:03:02 +0000

That is a great question! It sure would be a lot easier if all those policies just spoke in simple words, wouldn't it? In home owner's insurance world, "dwelling" means the place where you live, or "your house". It is used to differentiate between it, and any other buildings that might be on the property and covered, like barns, sheds, detached garages, etc. I hope that helps, thanks for asking!

Answer on How Much Can You Make Selling Annuities? by Jim Winkler

Jim Winkler — Fri, 29 Aug 2014 14:55:24 +0000

That is a great question! The answer applies to anyone wanting to find out if being an agent is right for them. If you are looking for easy, fat cash, this job isn't for you. Can you make a very comfortable living? You bet. But be prepared to work long hours, handle a lot of rejection, and live a life consisting of good weeks, and very lean weeks. Be prepared to have a life without steady paychecks, competing agents willing to steal your business, and clients that will mysteriously decide to cancel their policies (which costs you money you have to pay back). With annuities, be prepared to have a lot of eyes looking over your shoulder for each one you write, and if you decide to work as a captive agent, be prepared for the stress that comes with imposed sales goals. This job can pay very well if you have a heart for the people that you serve, and not the god of money; and if you have a strong skin and good work ethic. A good lead on some wealthier clientele always helps too...I hope that helps, I believe in real talk, and you just got some. Thanks for asking!

Answer on How Do You Choose The Best Life Insurance Company? by Jim Winkler

Jim Winkler — Fri, 29 Aug 2014 14:43:57 +0000

That is a great question, and one that I am asked often! It's tough to know which company is best, because insurance is a misunderstood and often scary deal. There are 810 bazillion companies to choose from, and rates are all over the board. Here's what I always advise. Find an independent agent (one not tied to a specific brand name) that you trust. They will help you look at financially stable, well rated companies with good reputations. They will walk you though the different types of policies, and help you find the company that will offer you the best policy for you. I hope that helps, contact me if you'd like to discuss it further, and thank you for asking!

Answer on How Does A 401K Work If You Quit? by Jim Winkler

Jim Winkler — Fri, 29 Aug 2014 14:38:58 +0000

That is a great question! Once you have started a retirement plan, it remains yours, whether you are with the company or not. They will no longer make contributions to it, and now you won't either, so it will sit there in limbo, and grow slowly. Contact your HR person, or plan administrator if you do not know which financial institution is managing the fund, so you can figure out what you want to do. You may be able to roll it into your new employer's 401k plan, if they offer one. You may be able to roll it into a Roth IRA plan that you establish. If you consider taking the cash from it, be aware that it will be heavily taxed, and you will pay a penalty for removing the cash - plan on giving away at least a third of it, okay? I hope that helps, contact me with questions if you have them, and thanks for asking!

Answer on What Determines Life Insurance Rates? by Jim Winkler

Jim Winkler — Fri, 29 Aug 2014 14:32:14 +0000

That is an excellent question! There are a lot of things that determine your cost for the policy. The biggest are your gender, age, smoking preference, and health status. Add to that the size of the policy desired, your medical history and prescription history; where you live and what you do for a living; your family medical history; and the company's costs, overhead, and profit taking. Then picture your policy like a fitted jacket. It will fit you, but not anyone else. Your rate is like that - there are very few "one size fits all" rate plans out there ( and I'd personally probably stay away from any one of them that I found...). A good independent agent ( one not tied to a specific brand name) can help you with several quotes to find the policy that fits you best. Thank you for asking!

Answer on Is Whole Life Insurance A Bad Investment? by Jim Winkler

Jim Winkler — Fri, 29 Aug 2014 14:25:28 +0000

That is a great question! Like all investments, for some the investment is the greatest thing since sliced bread, and for others that same investment is like a tack in your shoe. Life insurance is really not an investment per se, as it isn't going to make you any money; it will pay to your beneficiary, and you will receive none of it, as you won't be here. Many people are led to think of life insurance as an investment in that sense, but it truly isn't. It is an investment in peace of mind, you are assured that your family will be provided for when you pass and your whole life policy pays them. But other than leaving a chunk of tax free money behind, you aren't going to see any returns from your policy. If you have large amounts of money laying around that you can pass on to your loved ones tax free and probate safe, you don't need life insurance at all. If you don't, then a whole life policy is a good "investment" in the protection of your family, and in your peace of mind. I hope that helps, please feel free to contact me with any questions that you may have, okay? Thanks for asking!

Answer on Does Term Life Insurance Fund A Savings Plan? by Jim Winkler

Jim Winkler — Fri, 29 Aug 2014 14:06:38 +0000

That is a great question! Unfortunately, term life policies don't fund anything, unless you pass away during the specified term period. That is the reason why I try to steer people away from those popular TV advertised senior life policies like AARP and AAA; they end when you turn 80, and leave you without coverage, after years of paying for it. I'd highly advise that you consider another form of funding, one that will work for whatever it is that you are trying to save for. Term policies have no cash value of any kind unless you pass, so they are definitely not a good choice. Please feel free to contact me, if you'd like to discuss this further, okay? Thanks for asking!

Answer on Which Life Insurance Is Best? by Jim Winkler

Jim Winkler — Fri, 29 Aug 2014 14:00:46 +0000

That is an excellent question, and one I get a lot! Here's the best way I can answer you. It depends upon what you want it to do, your budget, and your age. If you are looking to provide for your funeral expenses, and leave some money behind, knowing for sure that the policy will do that for you, then a whole life policy is best, especially if you are young, and can purchase relatively large amounts cheaply. If you are looking for temporary coverage, to cover a debt, or because at this time your budget is really tight, then maybe a term policy is right for you. A combination of both may be right for you. It really depends upon your specifics. If you'd like to discuss them, drop me an email, and I'd happily give you some better information, okay? Thanks for asking!

Answer on Who Are The Best Term Life Insurance Companies? by Jim Winkler

Jim Winkler — Wed, 27 Aug 2014 02:44:53 +0000

That is a great question! Honestly, when you are talking term policies, there's not a whole lot of difference. The biggest difference will be found in the price, and even that won't be too much of a difference. Term policies are pretty simple, so there aren't many differences. Find a local independent agent who can give you a few quotes to compare. They will ensure that the company is reputable, and well financed. Thanks for asking!

Answer on Is Variable Annuity A Security? by Jim Winkler

Jim Winkler — Wed, 27 Aug 2014 02:33:53 +0000

That is an excellent question! Unlike fixed annuities or indexed annuities, yes, variable annuities are considered a security. The agent needs to have a securities license to sell you one, and you will have all kinds of authorities looking over the process to ensure that it is right for you. These can be very risky investments, so please be sure that you understand what you are buying. Thanks for asking!

Answer on What Is The Average Cost For Life Insurance Per Month? by Jim Winkler

Jim Winkler — Wed, 27 Aug 2014 02:25:39 +0000

That is a great question! But a real tough one to answer. Life insurance costs vary so widely that there really isn't a "monthly average" that I could give you that would be applicable to you. Look at it like this - a coat tailored to fit you wouldn't fit anyone else like it does you. Life insurance policies are fitted the same way. so a $10k policy would cost you differently than it would for me. Same policy, just tailored to your age, health, medical history, weight, smoking preference, and so on. Best advice I can give you is to find an independent agent who can give you a range of quotes that would be tailored to you. Thanks for asking!

Answer on Can I Cancel My Current Auto Insurance? by Jim Winkler

Jim Winkler — Wed, 27 Aug 2014 02:09:11 +0000

That is a great question! Of course you can, provided you've either decided to no longer drive, or you've found and purchased an alternative policy. The penalties for being an uninsured motorist are bad, and the consequences of getting caught (or worse) are long lasting. If you've found a better policy, tell your agent that you want to cancel the policy, as of the day the other one goes into effect. Thanks for asking!

Answer on Do I Need A Will For Life Insurance? by Jim Winkler

Jim Winkler — Wed, 27 Aug 2014 01:40:47 +0000

That is a great question! There is no need to have a will when you purchase life insurance, nor does including your life insurance in your will generally matter. Your named beneficiaries will typically collect regardless of the will, and bypass most probate tries. Life insurance was designed to protect the insured's wishes, and it does a pretty good job, as long as you did your part, and named beneficiaries. Thanks for asking!

Answer on Can Home Insurance Companies Drop You? by Jim Winkler

Jim Winkler — Wed, 27 Aug 2014 01:35:46 +0000

That is a great question! Yes, they can. Generally though, it is because of something that you did, and being dropped was a result of that action. For example, you missed a couple of payments, or you misrepresented something substantial on the application. You generally have to work kind of hard to get dropped, but it will happen, especially if you are a liability or high risk. Thanks for asking!

Answer on How Do I Know My Auto Insurance Agent Isn’t Ripping Me Off by Jim Winkler

Jim Winkler — Wed, 27 Aug 2014 01:29:56 +0000

That is a great question! I guess I'd wonder why you think they would, but there are a couple of things that you can do to get an idea if they are. The first would be to get some quotes from other companies, and compare what you're being charged. If there is a big difference, then you'd want to find out why. The second would be to go to your State's department of Insurance website, and check out their record. Are there complaints? Any history of misdeeds? If you really feel like the agent is taking advantage of you, then talk to someone, preferably the agent, and if that doesn't work, get another policy from somewhere else, and drop that one. I hope that helps, thanks for asking!

Answer on Is Whole Life Insurance Necessary? by Jim Winkler

Jim Winkler — Fri, 22 Aug 2014 01:00:46 +0000

That is an excellent question! I guess it really comes down to what you want it for, to determine if you really need it. If you are only looking to cover a short term debt, like college, or a mortgage, then no, you really don't need a whole life policy. If you want to ensure that you have coverage for as long as you live, with no chance of leaving your family stranded, then yes, you do. I hope that helps, thanks for asking!

Answer on Can A Spouse With No Income Contribute To A Roth IRA? by Jim Winkler

Jim Winkler — Fri, 22 Aug 2014 00:50:47 +0000

That is a great question! But I have to admit that I'm a bit confused. If the spouse has no income, what is there that they can contribute? There are also limits set upon the amount that can be contributed, based upon your income. You cannot contribute more than your declared income, and if your spouse doesn't have one? You can contribute to theirs, however. Talk to your banker, or Roth administrator, and have them walk you through what you want to do, ok? Thanks for asking!

Answer on Can You Cash Out Your 401K? by Jim Winkler

Jim Winkler — Fri, 22 Aug 2014 00:46:11 +0000

That is a great question! You can, but the question is do you really want to? In many cases, you will lose a substantial amount of the funds' value by doing so, either through loss of unvested contributions, penalties, or from the income tax that is assessed. Those losses can be really steep, up to a third of the value of your fund. If you need to get your hands on some fast cash, try borrowing from your life insurance, or selling something before gutting your future, ok? Please drop me a line if you need help, ok? Thanks for asking!

Answer on Can Both Husband And Wife Have Roth IRA? by Jim Winkler

Jim Winkler — Fri, 22 Aug 2014 00:41:26 +0000

That is a great question! And the great answer is yes, you both can have your own Roth, and contribute to each. There are limits, so if your individual incomes are in the low $100k area, you can cap out, and if together your combined income puts you at $180k or above, you can max out also. As long as you fall in between that range, go for it! Good luck, and thanks for asking!

Answer on How Can I Get A Retirement Plan? by Jim Winkler

Jim Winkler — Fri, 22 Aug 2014 00:31:07 +0000

That is a great question! There are a million people that will line up to help you put together a plan. Some will honestly want to help you, and some will look at you like a wolf looks at a fat, three-legged sheep. Please be careful, and go with someone that comes with high recommendations. Here's what you can do to get started. Take a few minutes, and decide what retirement looks like to you. Are you fishing, travelling, working, not working, debt free? Now take a look at your current financial status. What do you need to do between here, and retirement to make that happen? I tell people that if you want to live at your current standard of living in retirement, then you will want to have squirreled away between 8-10 times what your current salary is. If you want to live better than you are now, then you've really got to get started. Once you've got an idea of what you need to save, then you can talk to your HR person at work about company match 401k, or other programs they might offer; You can talk to your insurance agent or banker and get some ideas, or you can find an advisor that can help you take a look at how to make your vision of retirement a comfortable reality. I hope that gives you an idea, feel free to drop me a line if you need help, ok? Thanks for asking!

Answer on What Kind Of Annuities Are There? by Jim Winkler

Jim Winkler — Fri, 22 Aug 2014 00:20:59 +0000

That is a great question! There are a lot! Simply put, there are two categories of annuities. One you plunk down your cash, and it immediately begins paying out your monthly payments, These are called "immediate annuities". The other type takes your cash, and holds it, or "defers" the payments for a number of years before paying those monthly payouts. These are called "deferred annuities". There are several different types of these, but again very simply, there are "fixed annuities", that pay a set interest rate, there are "indexed annuities", that pay interest rates that are based on the movements of a market, like the S&P 500, or the Dow Jones. There are also "variable annuities", that pay according to how well the investments within the annuity did (or didn't) do. That is a basic look at the types of annuities, I hope that helped. Please feel free to drop me a line if you'd like more details, ok? Thanks for asking!

Answer on How Much Can Car Insurance Cost? by Jim Winkler

Jim Winkler — Fri, 22 Aug 2014 00:08:43 +0000

That is a great question, with unfortunately, a horrible answer. There really isn't a number that I can give you, because of all of the things your company will look at to determine your rate. Your age, the car, the number of miles you drive it to work each day, where you live, your driving and credit histories, these are just some of the things that make a difference in your rate. Best thing to do is find a couple of local agents, and have them give you quotes, ok? Good luck, and thanks for asking!

Answer on Can Annuities Lose Money? by Jim Winkler

Jim Winkler — Fri, 22 Aug 2014 00:03:55 +0000

That is an excellent question! While your agent may be quick to assure you otherwise, it is possible to lose money on an annuity, but it's awfully tough to do. If you've done your homework, and had a good agent, you will almost always come out ahead. You can lose money if: Your guaranteed interest rate is lower than the cost of inflation, and the cost of the fees on the annuity are unreasonably high; if you have a variable annuity without guarantees, and the market tanks like it did in 2008; and if the money that you invested in the annuity could have brought you a higher rate of return had it been invested elsewhere. If you've done your homework and made sure that your annuity covered these bases, you should find yourself sitting on a healthy income stream for many years to come. I hope that helps, thanks for asking!

Answer on What Are Disability Insurance Programs? by Jim Winkler

Jim Winkler — Thu, 21 Aug 2014 23:47:27 +0000

That is an excellent question! You have auto insurance to protect your car; life insurance to protect your family; health insurance to protect your health. Disability insurance is a way to protect your income, or paycheck. If you get sick or injured, and miss time at work, the loss of that time can be devastating, especially if you are one of the 77% of Americans who live paycheck to paycheck, and say that even missing one check would be financially disastrous. These policies are designed to pay out if a designated amount if you are out of work for a designated amount of time. They pay for an agreed upon amount of time. It can be a great way to replace some or all of the income that you lost from not working. Find a local agent, and have them walk you through some plans, so you get an idea of how they work, and what they'd cost you, ok? Thanks for asking!

Answer on Does Homeowners Insurance Cover Dog Bites Off Property? by Jim Winkler

Jim Winkler — Thu, 21 Aug 2014 23:38:10 +0000

That is a great question! I sincerely hope that you are just asking to know, and not because you need to know...Contact your insurance company immediately. They may or may not cover the claim, based upon whether you had the dog when the policy was issued or not, the breed of the dog itself, and the wording of your liability portion of the policy. Dog bites and insurance companies are really case by case things, so contact your agent and ask. Good luck, and thanks for asking!

Answer on Who Should Purchase A Variable Annuity? by Jim Winkler

Jim Winkler — Thu, 21 Aug 2014 23:23:00 +0000

That is a great question! Annuities can be a great part of a retirement plan, but they aren't suited for everyone, because of the type of investment that they are. Before an agent can legally sell you an annuity, they have to do a "suitability analysis". In this analysis, we sit down and discuss your current financial status, your cash flow issues, and your tolerance for risk, among other things. If you are financially suited for the purchase of an annuity, it is often the risk tolerance that determines which type of annuity is best for you. If you have a very low tolerance, then a variable annuity would not be a suitable annuity for you, while a fixed annuity probably would be. If you had a moderate risk tolerance, but an aversion to losing money, the variable annuity again might not be suitable for you, but an indexed one might be. If you have a high risk tolerance, and like to play the market, and keep involved in the transactions, then this may be the annuity for you. I hope that answers your question, please feel free to drop me a line if you'd like more details, ok? Thanks for asking!

Answer on What Is Non-Term Life Insurance? by Jim Winkler

Jim Winkler — Thu, 21 Aug 2014 23:10:59 +0000

That is a good question! I'm going to guess it's one of two things, since there really isn't a policy directly named "non-term". The first is Whole life, which differs quite a bit from a term policy, mainly in cost and duration. A term policy ends at a specified point in time, and a whole life policy ends when the insured does. The other answer would be a policy that does not require a medical examination, but relies on your answers on the application, and some checks on your medical history, and pharmacy records. I hope that was what you were looking for, if it's not, inbox me, and I'll try to help you further. Thanks for asking!

Answer on Where Is The Best Place To Buy Life Insurance? by Jim Winkler

Jim Winkler — Thu, 21 Aug 2014 23:00:25 +0000

That is a great question! Honestly, the best place to buy a policy is from an independent agent, one that feels trustworthy to you. You don't want to buy one through the internet, because the quote engines are designed to give you the "best case scenario" price, and often a not realistic one, and often don't have any way to answer your questions. A live agent working at a name brand office is better, as they can talk you through the pricing, and answer questions, but they are limited to offering only what their company sells. An independent agent like myself has several different companies that we work with, and can often find a better policy for you because of the increased options to look at. So always look for a live person to work with, one who can answer your questions, and get you the best policy for you. Thanks for asking!

Answer on When Do Term Life Insurance Policies Expire? by Jim Winkler

Jim Winkler — Thu, 21 Aug 2014 22:53:43 +0000

That is a great question! Your term policy will state very clearly in the paperwork the end date of your policy. Most term policies fall in the typical 5 to 20 year policy category, but some, like AARP or AAA policies end the day you turn 80. Most people find it really, really tough to get insured at that point, so please be careful. Thanks for asking!

Answer on Will Life Insurance Know If I Smoke? by Jim Winkler

Jim Winkler — Wed, 13 Aug 2014 15:47:58 +0000

That's an interesting question! Are you contemplating not being truthful? While you can probably get away with answering falsely on your application, you will certainly run into trouble if there are tests, or previous doctor visits on your record that list you as a smoker. ( They will do a check of every previous medical issue that you've had, along with your prescription history). You will also have problems if the cause of your death is listed as a smoking related issue. Wouldn't it just be better and own your smoking and be honest? If you want to really save money, drop the $6/pack habit ($2190/year at a pack a day)and the $12,345 per year associated health costs of smoking, and not the extra $120 or so you'd pay for insurance. I hope that helps, thanks for asking!

Answer on How Can Annuities Be Used For Retirement? by Jim Winkler

Jim Winkler — Wed, 13 Aug 2014 15:40:14 +0000

That is an excellent question! One of the biggest fears of retirement is running out of money. What happens if I live longer than my retirement fund will last? This is a very real problem, as Americans are living longer, (On average, 15 years after retiring) on small retirement funds ( average 3 years worth). Social Security benefits are not enough, and long term health care costs evaporate what little funds there were very quickly. Annuities are a great way to provide a steady monthly income, or to help with long term care costs. Your annuity will pay out a steady payment to you, and many now have provisions for doubling or even tripling that payment for a period of time to help pay for those LTC costs. Annuities are not the best investment for everyone because of the way they are structured, so it is important that you discuss this with an advisor that you trust, okay? Thanks for asking!

Answer on What Is Renewable And Convertible Term Life Insurance? by Jim Winkler

Jim Winkler — Wed, 13 Aug 2014 15:05:19 +0000

That is a great question! The term policy that you are looking at will allow you to renew it, or extend it yearly after its term period has ended. That is both a good and a bad thing, as it's good to be able to renew it, but bad in that the price will jump hugely each year that you choose to renew it. Generally you can find a cheaper policy, so renewing isn't that great a perk. Now converting it is a better option. Your policy will allow you to change your term policy into a much smaller whole life policy, usually without having to have any medical exams. That is a good thing! I hope that helps, thanks for asking!

Answer on Why To Buy Whole Life Insurance? by Jim Winkler

Jim Winkler — Mon, 11 Aug 2014 02:40:48 +0000

That is a great question! There are a couple of really good reasons why whole life may be a better fit than a term policy would be. The first is that it lasts as long as you do, and your payments do not change. What you pay the day you buy it is the same you pay years later. Your policy cannot be changed if you have health issues, or taken away from you. The second is that if you need to borrow from it, there are no hoops or hurdles to jump through, it's your money, and they write the check and send it without credit checks, etc. The third is that as long as you keep it paid up, (and don't die doing anything illegal) you are guaranteed to receive the death benefit. It doesn't matter what is happening with interest rates or the market, you are getting the contracted amount (minus whatever unpaid loans you may have taken out). I hope that helps, thanks for asking!

Answer on Which Is Better Whole Life Or Universal Life Insurance? by Jim Winkler

Jim Winkler — Mon, 11 Aug 2014 02:29:45 +0000

That is a great question! The answer depends upon a couple of things, your tolerance for risk, and whether you are a "buy and forget about it" or a "keep tabs on everything" person. If you want to buy a policy that draws automatically from your account, and you never have to think about it again, (other than to change beneficiaries, or borrow from it) buy whole life. If you have a high risk tolerance, and like to check often on how things are doing, then you might be fine with a UL policy. There is a much greater risk of this policy lapsing than with the whole life, and this is a great possibility if you aren't paying attention to how well it remains funded. Your premium payments can increase with this type of policy, to keep it afloat, so this is definitely not a "buy and forget" type of policy. I hope that helps, thanks for asking!

Answer on Is Group Term Life Insurance Portable? by Jim Winkler

Jim Winkler — Mon, 11 Aug 2014 02:21:30 +0000

That is a great question! In most cases, the group policy (and the rest of your benefits) end when your employment does. There are some cases where the company insurer allows the portability of your policy, so it never hurts to check with your HR person, or plan administrator. Be aware that the premiums on your policy may increase once you are no longer under the company umbrella. Thanks for asking!

Answer on What Is Non-Participating Whole Life Insurance? by Jim Winkler

Jim Winkler — Mon, 11 Aug 2014 02:15:50 +0000

That is a great question! Many insurers are regular corporations, and some are mutual or fraternal organizations. As they make money, as in any corporation, there are dividends that may be paid. Mutual insurers are a lot like mutual funds, ( I am simplifying this tremendously) in that they will generally pay those dividends, as each policy holder is a shareholder in the company. The ones that pay are "participating"; the ones that don't are "non-participating." Unfortunately, there are far less participating companies than non-participating. I hope that helps, thanks for asking!

Answer on How Do You Qualify For Term Life Insurance? by Jim Winkler

Jim Winkler — Mon, 11 Aug 2014 02:08:49 +0000

That is a great question! In most cases, there is a simple application, and possibly a short telephone interview. The standard prescription and medical history inquiries will be made also. For larger face amounts a para-med exam may be ordered, in which case you can expect drug screens, blood and/or urine and/or hair samples, along with heart and blood tests. There may be more or less of these done, according to your answers and the companies standards. I hope that helps, thanks for asking!

Answer on What To Do With Universal Life Insurance? by Jim Winkler

Jim Winkler — Mon, 11 Aug 2014 02:02:21 +0000

That is a great question! And an interesting one. I guess the answer depends upon how long you've had the policy, and how well you've kept track of it; or whether it is a good policy to get at all, if I'm reading into your question rightly. Here's what I advise people. A UL policy can be a good thing if you are somebody that keeps an eye on everything, and has extra money lying around. You also have to have a healthy risk tolerance. Agents will rightly tell you that this type of policy can bring great returns, but press them hard, and make them tell you exactly what stars and moons need to align for that to happen. What is the actual performance of the policy over time, not the best case scenario printed in the sales brochure? How much over the minimum payment is required to achieve that performance? That's what you need to know if you are thinking of purchasing one. If you already have one, are you paying attention to how well it is still funded? You could be in for a surprise if you haven't. Call your agent, and get an idea of how it's doing for you, and how long you can expect it to be in force. Functionally, you can use the proceeds for everything that you would any other whole life insurance policy. I hope that helps, thanks for asking!

Answer on Does Long Term Disability Cover Health Insurance? by Jim Winkler

Jim Winkler — Mon, 11 Aug 2014 01:50:59 +0000

That is a great question! You really want to be careful though, as long term disability and health insurance are two completely different animals. Health insurance can only be applied to your medical expenses, and insures your health. Disability insurance insures your paycheck. As such, the money it provides can be used for whatever need you have, rent, electric bill, medical bills, etc. Could you use your LTD money to help pay for medical bills? Absolutely. Would it replace your health insurance? No, and I really wouldn't advise that you try, as your LTD payments will not be close to what your health insurance would pay, in most cases. I hope that helps, thanks for asking!

Answer on Can Annuities Lose Money? by Jim Winkler

Jim Winkler — Mon, 11 Aug 2014 00:12:21 +0000

That is an excellent question! In most cases the answer will be no, if you've been careful and chosen well with your annuity. If the interest rates and income riders will guarantee growth above inflation, it's tough to lose money, especially if you end up in a lower tax bracket when you collect, and the tax burden isn't bad. You can lose money if the interest rate is too low, or you do not have guaranteed floors, or you pull money out during the surrender period. You can lose money if the return is not approximate to what you could have gotten if the money had been invested in a different vehicle that returned higher. It is really vital with any investment that you sit down and discuss it thoroughly with a knowledgeable advisor before making the investment, whatever it may be. But many annuity products out there are great options, and very safe investments. I hope that helps, thanks for asking!

Answer on How Much Does A Whole Life Insurance Policy Cost? by Jim Winkler

Jim Winkler — Mon, 11 Aug 2014 00:02:20 +0000

That is a great question! Whole life insurance policies are like tailored clothes. Ever have a tux or a bridesmaid gown for a wedding? Remember how you were measured for it so that it fit you specifically for your shape? That's how whole life insurance policies are. What fits you would most likely not fit me, and neither would our costs be the same. There are a whole lot of factors that determine the price, though they will generally fall into ranges. Without knowing more about you, I can't really give you an average that would fit you. If you'd like to inbox me with specifics, I could give you a better answer. Or you can contact a local independent agent and have them help you. Thank you for asking!

Answer on Can I Extend My Term Life Insurance? by Jim Winkler

Jim Winkler — Sun, 10 Aug 2014 23:54:58 +0000

That is a great question! The better question though, is do you really want to? Term policies become very expensive very quickly when you renew (or "extend" as you asked) them. I'm talking in multiples more expensive per month. Unless there is a really good reason why you couldn't get another term or a whole life policy to replace the one you have, I wouldn't advise renewing/extending the one you have. These policies are just not designed well for consumers who need more time. I hope that helps, thanks for asking!

Answer on Can I get the damaged parts back after the repair is complete? by Jim Winkler

Jim Winkler — Sun, 10 Aug 2014 23:49:38 +0000

That is a great question! That really depends upon the garage where the repairs were performed. Some won't have a problem returning parts, (except usually the ones they return for rebates), others won't at all, for fear you will decide they didn't need replacing and beef about the bill and repairs. It's been my experience with damaged parts (and I've seen plenty, unfortunately) that they usually aren't having back, as they ultimately don't work the way they should. Buy new or refurbished, when the time comes. Thanks for asking!

Answer on When Do You Need Renters Insurance? by Jim Winkler

Jim Winkler — Sun, 10 Aug 2014 23:38:06 +0000

That is a great question! I think renters insurance is an absolute must anytime you are living in someone else's property, that isn't named Mom or Dad. ( and even then sometimes you may want it) A good rule of thumb is to have a policy anytime it could be possible that you would have to pay to replace all of your stuff if it were destroyed. So, an apartment, have it. A dorm room, where the college may have liability for it, maybe not. Either way, it's a cheap policy, and great protection. Be safe, buy it. Thanks for asking!

Answer on Is An Investment Advisor Representative A Fiduciary? by Jim Winkler

Jim Winkler — Sun, 10 Aug 2014 23:29:04 +0000

That's a great question! The answer depends upon what powers you have legally granted them. If you have granted them the right to handle your money, and do business on your behalf, then they are. If all they are allowed to do for you is give advice, but not touch your assets, then they are not. I hope that helps, thanks for asking!

Answer on How Much To Save Per Month For Retirement? by Jim Winkler

Jim Winkler — Sun, 10 Aug 2014 23:25:55 +0000

That is a great question! I really wish that I had more information about you and your situation to be able to give you a better answer, but here's what I can tell you. What does your retirement look like to you? Travel, relocation, stay at home and watch tv? What does your current financial situation look like? Have you started saving for retirement? How much can you safely sock away each month? If you want to live at the standard that you are now, you should have 8-10x your current salary put away. I'd also advise you to look for a long term care plan, or investments that help protect against an illness or injury that would require skilled care. Please inbox me with more detail, and I'll give you some better advice, ok? I hope this helped, thanks for asking!

Answer on Is Renters Insurance More Expensive Than Homeowners? by Jim Winkler

Jim Winkler — Fri, 08 Aug 2014 01:03:01 +0000

That is a great question! A good way to look at it is like this: With homeowners insurance you need to cover for the structures, the grounds, and the contents. That is going to cost you a fair amount of money a year. With a Condo insurance policy, you are responsible for your part of the building, and your contents. Not so much money a year. With renters insurance, you are responsible only for your apartment, and your stuff. Not much money a year. I hope that helps, thanks for asking!

Answer on Who Is A Good Homeowners Insurance Company? by Jim Winkler

Jim Winkler — Fri, 08 Aug 2014 00:58:40 +0000

That is a great question! There are several really good companies out there that might qualify as "best" for you. My definition of best is lowest price for the highest, most comprehensive coverage with the lowest deductible and the best customer service and claims history. The financial stability and reputation of the company and its agents counts in a big way also. Go online, and check your State's Department of Insurance records and see if the BBB has any complaints on file for the companies that you consider. Find a good independent agent to help you compare coverage and costs. Do your homework, you are about to enter into a long term relationship with your insurer, you want to be sure you're compatible! Thanks for asking!

Answer on How Much Renters Insurance Should I Carry? by Jim Winkler

Jim Winkler — Fri, 08 Aug 2014 00:52:47 +0000

That is a great question! To answer it really simply, you need enough to cover the cost of your stuff if it were to be destroyed, and enough liability to cover if someone were to get hurt in your apartment ( or you were the one who caused the destruction) and decide to sue you. Hopefully that wouldn't ever be an issue, so generally the balance of your decision lies with the value of your stuff. To come up with that number, ask your agent if they have a value calculator, and then adjust that figure as needed, or go old school and list everything ( brooms and garbage cans included - everything that you would have to replace) and its approximate value. That total is what you want as a starting point for your coverage. I hope that helps, thanks for asking!

Answer on When Is A Roth IRA Tax Free? by Jim Winkler

Jim Winkler — Fri, 08 Aug 2014 00:46:26 +0000

That is a great question! Since you are putting the money into your Roth after taxes when contributing, the returns are not taxed. There are times when you can be taxed, but they all involve taking the money out before it's been in there for a minimum five years, or for a non-approved reason. I hope that helps, thanks for asking!

Answer on Why Convert A 401K To A Roth IRA? by Jim Winkler

Jim Winkler — Fri, 08 Aug 2014 00:42:16 +0000

That is an excellent question!!! I like these questions, because it shows that you are seriously looking at your retirement. A Roth Ira is desirable as a piece of your retirement plan because the returns are tax free. If all of your other investments are going to lose a good part of the payments to income tax, it helps to have something to offset that loss. You would want to convert your 401k when the tax implications were in your favor, and you did not have a tax sheltered piece in your retirement portfolio. I hope that helped, thanks for asking!

Answer on What Is The Best Life Insurance Policy To Buy? by Jim Winkler

Jim Winkler — Fri, 08 Aug 2014 00:27:49 +0000

That is a great question, but a really hard one to answer. Without knowing what your specific goals for the policy are, ( income replacement, cash value growth, debt coverage, a legacy to leave behind, or simply covering funeral expenses) it's really difficult to give you a specific answer. I'd tell you this - if you are looking for a policy that will cover your funeral expenses, leave something behind, or to draw money from, look for a whole life policy. If you are looking for short term coverage, say to cover college debt, buy a term life policy. If money is tight, and you are looking to cover expenses and hopefully leave some behind, get a mix of whole and term life policies, to fit your needs and budget. A good agent will walk you through this. If you need help, drop me a line, ok? Thanks for asking!

Answer on How Does A Deferred Annuity Work? by Jim Winkler

Jim Winkler — Fri, 08 Aug 2014 00:21:56 +0000

That is a great question! There are two basic types of annuities, immediate and deferred. With an immediate annuity, you plunk down a large sum of money, and in a very short period of time, the sum is "annuitized", or broken into a series of continual payments. With a deferred annuity, the annuitization phase of your contract is put off (or deferred) for a number of years, to increase its value before it begins to make its series of payments. There are penalties for taking the money out before the agreed upon number of years in the accumulation phase (the deferred period) has passed, so it is wise fort you to have discussed this with your agent before you purchased the annuity. These are very popular, as there are some really good growth strategies out there. Thanks for asking!

Answer on How Much Does Renters Insurance Cost On Average? by Jim Winkler

Jim Winkler — Fri, 08 Aug 2014 00:15:25 +0000

That is a great question! Renters insurance policies can cost more on one side of your town vs. the other, depending upon crime and age of the community, so it's tough to give you a solid number. Things like how much coverage you want, your deductible, even how close your apartment is to a fire hydrant can make a difference. Your best bet is to ask your complex managers for recommendations, or find an independent agent who will help you find the right policy. Don't worry, either way they are really fairly inexpensive. Thanks for asking!

Answer on Who Has Good Renters Insurance? by Jim Winkler

Jim Winkler — Fri, 08 Aug 2014 00:11:27 +0000

That is a great question! There are a whole lot of companies out there that have good renters policies available. Depending upon what your definition of best is, cheapest, best coverage for the buck, easiest to qualify for, etc. , it's pretty hard to name one in particular for you. I'd recommend that you ask your complex managers, they can give you a good start based on who they've had good experiences, or look for an independent agent that can help you find the right policy for you. Thanks for asking!

Answer on How Does Driving Record Affect Life Insurance? by Jim Winkler

Jim Winkler — Fri, 08 Aug 2014 00:07:11 +0000

That is a great question! You are aware that insurance companies are all about risk, right? The lesser the risk, the cheaper the policy, as a rule. The more risk, the harder it is to be insured. Reckless driving is definitely a good way to put yourself and everyone else on the road at risk. Just about every insurer will ask if you've had issues with your driving record, to help assess your riskiness. If you've had some issues, expect a higher priced, rated, or denied policy. I hope that helps, thanks for asking!

Answer on Is There A Cash Value On Term Life Insurance? by Jim Winkler

Jim Winkler — Wed, 06 Aug 2014 02:11:52 +0000

That is a great question, and one I am asked often! The answer is nope, it does not. The rule of thumb "you get what you pay for" applies to term life policies also. They are low cost because of two reasons. The first is that they don't pay out very often. The term almost always expires before the insured does, and so no payout is made. The second is that your premium payment is usually just enough for the company to cover its costs, with a little profit. Therefore, there are no whistles and bells like cash values. I hope that helps, thanks for asking!

Answer on Can I Rent A Car Without Insurance? by Jim Winkler

Jim Winkler — Wed, 06 Aug 2014 01:52:33 +0000

That is a great question! By law, you have to be insured to drive a car. Now when it comes to rental cars, do you have to already have a policy? Not necessarily - you may purchase a temporary policy from the rental agency; check with your credit card company, many offer rental cars and insurance to drive them at a discount; and sometimes your frequent flier cards are tied to rental car companies and deals also. I hope that helps, thanks for asking!

Answer on Why Does Suze Orman Like Term Life Insurance? by Jim Winkler

Jim Winkler — Wed, 06 Aug 2014 01:30:32 +0000

That is a great question! I didn't think she liked much of anything, except big piles of cash! ( I'm joking, of course) My guess is that she likes it for the same reason that Dave Ramsey does - it's cheaper than whole life, if you need to purchase life insurance at all. In their worlds, (think middle to upper middle class and higher), you should purchase term life insurance, save or invest the difference of what your whole life would have cost, and hope that you die within the term period. Some people are able to do that, and so the financial guru's smell like roses with their good advice. I hope that helps, ( and no offense meant, Mr. Ramsey or Ms. Orman), thanks for asking!

Answer on Why Is Whole Life Insurance So Expensive? by Jim Winkler

Jim Winkler — Wed, 06 Aug 2014 01:18:18 +0000

That is a great question! There are a couple of reasons why whole life insurance is expensive, especially compared to term life. The first is that it is almost certainly going to pay out. As long as you've kept up with the payments, and didn't die doing something illegal, the insurance company is sending someone a fat check. Term policies are cheap, because statistically, they pay out far, far fewer times. ( They also have much stricter health requirements to get, while whole life is more lenient). Whole life is also more expensive because of the costs of storing and investing your premium money. Unlike term, the money that you put into your whole life policy can be borrowed from the policy if you need it. Term policies only collect enough to cover the cost of your insurance, and have no cash value. I hope that helps, thanks for asking!

Answer on Does AAA Have Term Life Insurance? by Jim Winkler

Jim Winkler — Wed, 06 Aug 2014 01:11:36 +0000

That is a great question! Along with their better known towing and travel services, they do indeed offer a term life policy. They do an excellent job with many of their services, and it's up to you to decide if their term policy is one. It ends when you turn 8o; has rates that increase every 5 years, and is not renewable after 80. If that works for you, then be my guest, but I'd like to talk to you first. I hope that helps, thanks for asking!

Answer on Why Should I Buy A Fixed Annuity? by Jim Winkler

Jim Winkler — Wed, 06 Aug 2014 01:07:12 +0000

That is a great question! A fixed annuity is a way to give yourself an easily defined amount of money to provide a steady income stream from in retirement. People who like security like this type of annuity, because the interest rate is clearly stated and computed. This is a great investment as long as the rate is enough to outpace inflation, and the fees, and be comparable to what you might have received in other investments. I hope that helps, thanks for asking!

Answer on Is Term Or Whole Life Insurance Better? by Jim Winkler

Jim Winkler — Wed, 06 Aug 2014 01:03:08 +0000

That is a great question! Both products have their pro's and con's that make each of them good and bad fits. My advice is always this: If you are looking to cover a short term debt, like a mortgage or college loans, get term, to cover that length of expected debt. If you want to cover your final expenses, get whole life. If money is an issue, and you need higher coverage than you can afford with whole life, do a mix of both. I hope that helps, thanks for asking!

Answer on Why Is Home Insurance Required? by Jim Winkler

Jim Winkler — Wed, 06 Aug 2014 00:54:28 +0000

That is a great question! Chances are, when you bought your home you had to get one or more mortgages. You borrowed what was most likely a very healthy sum of money from a financial institution that would like to get that money back, especially if something bad were to happen to the home before the loans were repaid. They are the reason why you have to have homeowners; that and so you don't have to go into bankruptcy replacing all of your belongings in the same bad situation. I hope that helps, thanks for asking!

Answer on Does Renters Insurance Move With You? by Jim Winkler

Jim Winkler — Wed, 06 Aug 2014 00:38:06 +0000

That is a great question! The answer depends upon your individual policy. Some companies will allow for a short extension of your coverage to your new place, typically about a month. Others will not, as the new place has new risk variables, and they will not want to pay for a claim filed in the new apartment. Check with your agent, and find out if your policy will cover you. Good luck, happy moving, and thanks for asking!

Answer on What Can I Do If My Car Insurance Is Cancelled? by Jim Winkler

Jim Winkler — Wed, 06 Aug 2014 00:25:31 +0000

That is a great question! The answer really depends upon why it was cancelled. If it was a couple of missed payments, you can usually be reinstated if you pay what you owe. If it was because of a suspension, you may be able to get it reinstated if you complete the terms of the suspension. If it was because of something worse, you may be out of luck, or forced to look for a "last resort" insurer, and be prepared to pay a ton for a little coverage. I hope that helps, thanks for asking!

Answer on When Did Universal Life Insurance Start? by Jim Winkler

Jim Winkler — Wed, 06 Aug 2014 00:15:10 +0000

That is a great question! Universal life policies were thought up in the 1960's, and became popular in the late 60's, and early 1970's. They were designed to capitalize on the rising stock market values, as normal life insurance could not match the returns investors could get from the market. The policies were created so the buyer could put in their premium, and invest it in the market. The next step was the variable UL, which very closely mimicked a mutual fund in the way it was managed. What many people learned to their dismay was that when the market dropped, their insurance went belly up, and they no longer had coverage. While these policies have been retooled to be a little safer since then, they can still be a very risky way to go. I hope that helps, thanks for asking!

Answer on What Should A Good Home Insurance Policy Cover? by Jim Winkler

Jim Winkler — Wed, 06 Aug 2014 00:06:40 +0000

That is a great question! The average policy will cover the structures on the property, home, garage, etc. It will protect against the 'normal' dangers of fire, wind, hail and lightning. If you live in an area that is prone to flooding, earthquakes, or hurricanes the coverage for these may be included in a rider, or may need to be purchased separately. The policy will also include some coverage against being sued; It is usually pretty specific in what it will cover, and for how much. I hope that helps, thanks for asking!

Answer on Does My Renters Insurance Cover Moving? by Jim Winkler

Jim Winkler — Tue, 05 Aug 2014 23:49:44 +0000

That is a great question! You will want to look at your specific policy. Some companies will cover your stuff in transit, ( up to a limit, and it's usually fairly low ) and long enough for you to re-up at the new address. Some will not cover beyond your specified address. Take a look at your policy, and give your agent a heads up so they can take care of you. Happy moving, and thanks for asking!

Answer on How Do Annuities Work? by Jim Winkler

Jim Winkler — Tue, 05 Aug 2014 02:46:58 +0000

That is a great question! To put it very simply : you put a sum of money into an account that cannot be touched for a number of years. While it is stashed away, it is generating interest at an agreed upon rate. After a set number of years, the annuity begins to pay out an agreed upon sum, for an agreed upon period of time. That is a very simple explanation, and there are annuities that differ from how I described it, but that is your basic annuity in a nutshell. They are a way to structure steady payments to supplement an income in your retirement. If you have problems with cash flow, or don't have a good sum to invest, this may not be a good way to go for you. But if you can set aside a chunk for awhile, there are some really good annuities out there that can be a very good part of a retirement plan. I hope that helps, thanks for asking!

Answer on What Happens To My Variable Annuity If I Die? by Jim Winkler

Jim Winkler — Tue, 05 Aug 2014 02:40:18 +0000

That is a great question! Depending upon how you set your annuity up at the beginning, your annuity will either continue paying your spouse, go to whomever you named as a beneficiary( or to your estate), or to the company. If you chose lifetime payments, they stop when you do, and anything left in the account goes to the insurance company. If you chose income for a guaranteed period, it pays for that period, or until you pass, and the balance goes to your beneficiary. If you chose lifetime period certain, then the payments are guaranteed to last a certain number of years, even if you pass ( the payments continue to your beneficiary), and then stop at the end of the specified period. If you chose joint and survivor, the payments continue until you both have passed, and whatever is left goes to your beneficiaries. Complicated? A little bit, that's why a good agent or advisor is needed. I hope that helps, thanks for asking!

Answer on What’s A Fixed Annuity? by Jim Winkler

Jim Winkler — Tue, 05 Aug 2014 02:26:42 +0000

That is a great question! Simply put, a fixed annuity is one that pays a fixed interest rate during the accumulation phase of the contract. When looking for one of these, the trick is to find an interest rate that will cover the fees charged, and outpace inflation. ( Otherwise, you are just slowly losing money) There are several out there, and a good agent will help you find the one that is right for you. Many people like this kind of annuity, because there is no guesswork on what it will return. I hope that helps, thank you for asking!

Answer on How Do You Get The Best Life Insurance Quotes? by Jim Winkler

Jim Winkler — Tue, 05 Aug 2014 02:22:28 +0000

That is a great question! The first thing that you do is find a live agent. Not one on the end of a phone, or an internet chat box. Life insurance is one of those things that you need to see the person and how they react when you are speaking with them ( like a car salesman). Look for a couple of independent agents, (one that is not tied to a specific brand name) and have them give you several companies and quotes to compare. If one or both of them try to "hard sell" you, leave, and never return. That's usually a good sign that they like commissions more than they like you. When you find an agent and a policy that fits you, then buy it. I hope that helps, if you want more info, drop me a line. Thanks for asking!

Answer on How Do You Renew Term Life Insurance? by Jim Winkler

Jim Winkler — Tue, 05 Aug 2014 02:17:00 +0000

That is a great question! First you sit down, because when your agent tells you how much higher your premium payment is going to be each month, you will be happy that you did. All you need to do is tell your agent that you want to renew. They will be happy to make that happen for you, because they are going to make a fat commission off of you. Expect your premium to rise roughly 110% each year that you renew it. Unless there is a health reason that precludes you from being able to get insurance, you are probably better off just getting a new policy altogether. I hope that helps, thanks for asking!

Answer on How Important Is Renters Insurance? by Jim Winkler

Jim Winkler — Tue, 05 Aug 2014 01:01:08 +0000

That is a great question! I guess it's importance is relative to how easy it would be for you to replace all of your belongings, should something bad happen. If it's not expensive for you to do, then you don't need renters insurance ( I'm assuming that you could handle any damages awarded, if there were any suits involved in whatever happened). If covering the cost of replacing your things could be a problem, then maybe a policy isn't such a bad idea. they are really pretty cheap, and can be a real lifesaver, when needed. I hope that helps, thanks for asking!

Answer on Can I Drive My New Car Home Without Insurance? by Jim Winkler

Jim Winkler — Tue, 05 Aug 2014 00:50:01 +0000

That is a great question! It is never a good idea to drive anything anywhere without it being covered by insurance. The liability of having to pay for everything out of pocket if God forbid something bad were to happen alone should be enough to persuade you not to. The best thing to do is to contact your agent with the car's VIN, and the dealer info, and have them issue you a temporary policy so that you can get it off the lot, and then get a real policy established ( if they can't just do that for you on the spot) I hope that helps, thanks for asking!

Answer on Is Home Insurance Included In Mortgage? by Jim Winkler

Jim Winkler — Tue, 05 Aug 2014 00:45:37 +0000

That is a great question! It can be, as well as your taxes that you will owe, if there is an escrow account tied to your mortgage payment. Many people find that it is easier to have the mortgage payment be a little bit more each month so that those payments are accounted for, and in the case of taxes, not a big chunk to have to swallow all at once. I have mine set up that way, because my tax bill gives me a headache just looking at it, and it's much more palatable when it's a "paid" line on my mortgage statement. Thanks for asking!

Answer on Which Life Insurance Is Best In California? by Jim Winkler

Jim Winkler — Tue, 05 Aug 2014 00:40:49 +0000

That is a great question! The best life insurance company is the one that gives you the best coverage for the lowest price, and suits your needs. What you really want to do is find an independent agent ( one not tied to a specific brand name) who can walk you through several options and quotes. Thanks for asking!

Answer on Does 401K Expire? by Jim Winkler

Jim Winkler — Tue, 05 Aug 2014 00:36:45 +0000

That is a great question! If what you are asking is something along the lines of "I had this job once, with a 401k, and I left the job, does the 401k still exist?", the answer is yes, it does! It may be hard to find if the company isn't around anymore, but it does still exist in some financial institution that is overseeing it. Start with the company HR department if they still exist, or hunt up the bank that used to do your paychecks, you might get lucky. If that doesn't work, try your Secretary of state, it should be on file who they used. Thanks for asking, and happy hunting!

Answer on Does Comprehensive Insurance Mean I Can Drive Any Car? by Jim Winkler

Jim Winkler — Tue, 05 Aug 2014 00:27:12 +0000

That is a great question! As long as you have a valid drivers license, and permission, you are able to drive any car that is insured by its owner. The word "comprehensive" only means that the insurance company will pay non-collision caused damage also. Things like rocks through the windshield, or someone keying your car, for example. I hope that clears it up for you, thanks for asking!

Answer on How Long Can Children stay On Parents Auto Insurance? by Jim Winkler

Jim Winkler — Tue, 05 Aug 2014 00:23:19 +0000

That is a great question! Unless your State, or your insurance company has a rule stating otherwise, you can pretty much keep them on your policy until you are ready to boot them off. Most times they will need to get their own once they begin driving their own car, or have moved out or gotten married, and drive the spouses car. I hope that helps, thanks for asking!

Answer on How To Set Up A 401K? by Jim Winkler

Jim Winkler — Tue, 05 Aug 2014 00:18:42 +0000

That is a great question! If you want to set up a 401k plan as an employer, the brokerage company should easily walk you through the process. If you were talking about setting something up for yourself, you mean an IRA, or "individual retirement account". There are several options here, and you would really want to speak with an advisor before jumping into one. Drop me a line, if you'd like. Thanks for asking!

Answer on How Much Is A Life Insurance Policy Worth? by Jim Winkler

Jim Winkler — Tue, 05 Aug 2014 00:13:08 +0000

That is a great question! I am going to assume that your question is a straight up value question, and not the metaphysical emotional value one. The face value, or death benefit is the amount that the policy will pay to the beneficiary when the insured passes away. That benefit is payable when the insured passes on a whole life policy, and only if the insured passes during the specified term on a term life policy. I hope that was what you were looking for, thanks for asking!

Answer on Does Home Insurance Cover Forest Fires? by Jim Winkler

Jim Winkler — Tue, 05 Aug 2014 00:08:43 +0000

That is a great question! Fires were the number one reason that homeowners policies came about way back when, and still are one of the top reasons to have one. Unless you just took out your policy as the fire raged closer, you should be fine. Good luck, and thanks for asking!

Answer on Where Is The Best Place To Set Up A Roth IRA? by Jim Winkler

Jim Winkler — Mon, 04 Aug 2014 03:47:33 +0000

That is a great question! I think that it is great that you are looking into a Roth IRA for your retirement planning. They are really good vehicles for saving, and leveraging your tax burden when you are retired and needing income. You can find one offered at pretty much any bank or credit union, but look at several, and where your choices for allocations can go. Have somebody knowledgeable help you, ok? Thanks for asking!

Answer on Does Prudential Sell Whole Life Insurance? by Jim Winkler

Jim Winkler — Mon, 04 Aug 2014 03:44:03 +0000

That is a great question! You better believe they sell whole life insurance policies! They sell a ton of them. They've been around a long time, and have built a good reputation, and so are still very popular. There are a lot of places that you could but a policy from, and a good agent can help you find one. Prudential is a good place to start. Thanks for asking!

Answer on Why Do We Need Health Insurance Companies? by Jim Winkler

Jim Winkler — Mon, 04 Aug 2014 03:07:03 +0000

That is a great question! I'm sure that you aren't the only one who wonders! The sad truth is though, that between costs of research and development, advertising and marketing, and protection from litigation, most health products are considerably more expensive than they need to be. Services, salaries and overhead contribute to costs also. Could you afford to have a medical emergency without health insurance? Guess what - 60% of all bankruptcies are a result of medical emergencies. There's a great reason. Thanks for asking!

Answer on What Is Disability Insurance? by Jim Winkler

Jim Winkler — Mon, 04 Aug 2014 02:59:36 +0000

That is a great question! Think of disability insurance as a type of "paycheck protection". If you were to get sick or injured, and were out of work for a couple of months, your company probably isn't going to pay you while you're out. Workman's comp might chip in, but either way you are going to be in financial trouble. Disability insurance helps there by paying you a certain agreed upon amount of money for an agreed upon amount of time. It helps replace the missing paychecks. I hope that helps, thanks for asking!

Answer on How Do You Calculate Term Life Insurance Needs? by Jim Winkler

Jim Winkler — Mon, 04 Aug 2014 02:55:27 +0000

That is a great question! If you are going to use the term policy to cover a debt, like college expense, or your mortgage, then use that amount. If you are gambling on it covering your life, plan for 8-10 times your current salary, and cross your fingers that you and your demise time it well with your policy. Otherwise, all the money you put into the policy vanishes when it ends. Good luck, and thanks for asking!

Answer on What Is A Disability Insurance Plan? by Jim Winkler

Jim Winkler — Mon, 04 Aug 2014 02:44:45 +0000

That is a great question! Disability insurance is a great way to "protect your paycheck". The way that it works is if you are sick or injured, and are disabled to where it prevents you from working, then after a specified amount of time, the policy begins to pay you a specified amount. The specifics can vary quite a bit, so look around, and have a good agent guide you, but this is a great thing to have, especially if you work in a hazardous job, area, or are prone to illness. Thanks for asking!

Answer on Can You Borrow From Your Whole Life Insurance Policy? by Jim Winkler

Jim Winkler — Mon, 04 Aug 2014 02:38:36 +0000

That is a great question! Being able to borrow from your policy is one of the best reasons to have a whole life policy. It is a great way to get money no questions asked when you need it...That said, there are a couple of things that you need to know. First is that if your policy is under 5 years old, there probably isn't much to borrow. It usually takes between 2-3 years for your policy's expenses to be paid, and for the cash t begin piling up. The second is that whatever you borrow is subtracted from the benefit at the end, if you don't pay it back. You also need to be careful that the amount of the loan plus interest doesn't grow big enough to capsize your policy and cause it to cancel. Pay back what you can, as often as you can, to keep that from happening, ok? Thanks for asking!

Answer on Can I Have Two Annuities? by Jim Winkler

Jim Winkler — Wed, 30 Jul 2014 22:41:31 +0000

That is a great question! Yes, you can have more than one annuity. With insurance, you can be limited in the amount of insurance coverage that you want, based upon your income. With annuities, you can have as many as you wish, as long as it is "suitable" for you to continue purchasing them. The suitability is based upon your cash flow, asset liquidity, and your age, among other things. In most cases, your money will be tied up for quite a while, and as long as that's not an issue for you, you can continue buying them. I hope that helps, thanks for asking!

Answer on How To Annuitize A Variable Annuity? by Jim Winkler

Jim Winkler — Wed, 30 Jul 2014 22:26:48 +0000

That is a great question! Deferred Annuities have two stages to them - an accumulation phase, where the contract accumulates growth, and an annuitization stage, where it begins to pay out, or "annuitize". Your contract should specify how long your accumulation phase lasts, and for how long your payments will last. Each annuity can vary in what your options are to start your payment streams, so contact your agent and have them review what your contract allows. Generally if you do nothing, they begin to pay out automatically when you hit a specified age. Contact your agent, to be certain that you can begin your payments without any issues, okay? Thanks for asking!

Answer on What Are Annuity Surrender Charges? by Jim Winkler

Jim Winkler — Wed, 30 Jul 2014 22:12:14 +0000

That is a great question! The idea behind a deferred annuity is that it sits for a period of time so that the money can grow. While your money is in that account growing, the insurance company is counting on it to make investments with, and if you pull that money early it defeats the purpose, so the company charges you for doing it. These charges are the surrender charges. They are usually highest in the first year that you have the annuity, and lessen as time goes on, until you have reached the contracted limit. These fees often start at 10%, so they can be very costly. Hopefully your agent explained this to you very clearly, and did a suitability study with you before you bought the annuity. I hope this helps, if you have questions, please drop me a line, okay? Thanks for asking!

Answer on What Is An Immediate Annuity? by Jim Winkler

Jim Winkler — Wed, 30 Jul 2014 17:04:47 +0000

That is an excellent question! Most annuities are designed to wait a period of time before they "annuitize", or begin to pay out ( "deferred" annuities). An immediate annuity has no wait, but begins to pay out very quickly. It is a way to take a large sum of money and create a steady income stream from it. I hope that helps, thanks for asking!

Answer on Can You Get Life Insurance After A Heart Attack? by Jim Winkler

Jim Winkler — Wed, 30 Jul 2014 16:58:50 +0000

That is a great question! Absolutely you can. But please have a good independent agent help you. There are some things that can really make a big difference in your rate and benefits, like the meds you're on, how long ago you had it, and any post heart attack issues that you may have had. But I promise you there is life insurance out there for you. If you need help, please inbox me, ok? thank you for asking!

Answer on How Much Does The Average American Need To Save For Retirement? by Jim Winkler

Jim Winkler — Tue, 29 Jul 2014 04:36:17 +0000

That is a great question! The easy answer is as much as you can. The more realistic answer is based upon your idea of retirement. If you want to travel, and live a life of leisure, that will cost more than if retirement means holing up somewhere and fishing the day away. Once you've got an idea of what retirement means to you, then assess where you are now, in that journey. The difference between here and there is what you need to save. The rule of thumb is that to live at todays standard of living, you will need to have at least 8 times your current salary put away. If you want to live better than you are now, then you will need to save considerably more. If you'd like specific numbers, contact me, and we can look at them. Thanks for asking!

Answer on Why Limit Roth IRA Contributions? by Jim Winkler

Jim Winkler — Tue, 29 Jul 2014 04:29:58 +0000

That is a great question! The caps on contribution limits on your Roth IRA were put there to prevent the wealthy form using them as tax shelters. The purpose of the Roth IRA's are to allow people of more modest means to be able to save for retirement, and special tax advantages were installed in the IRA to encourage that saving. The caps were put in place to help prevent the abuse of those advantages by those who don't truly need them. Thanks for asking, I hope that helped!

Answer on Does Car Insurance Go Up? by Jim Winkler

Jim Winkler — Tue, 29 Jul 2014 04:24:15 +0000

That is a great question! Yes, it certainly does. Especially if you've had some issues with your driving, and had accidents, or received some tickets. Want to see it really shoot up ( or stop completely)? Let there be alcohol involved, or excessive speed. It may also go up if you've had some issues with your credit, the auto theft rates in your area rise, or your company has paid out large claims, and has some profit to recapture. I hope that helps, thanks for asking!

Answer on How To Lower Your Auto Insurance? by Jim Winkler

Jim Winkler — Tue, 29 Jul 2014 04:19:52 +0000

That is a great question! There are a couple of good ways to lower your cost. The first, and best way to lower it is through an extended period of claim free and ticket free driving. A good driving record is a great way to save. The second is to bundle your policies - insure your other car, a life insurance or homeowners policy, with your auto insurer. They will generally give discounts on all of the policies under their umbrella. Another way is to ask. Sometimes, rather than lose your business, the company will "find" a way to provide you with a cheaper rate. Lastly, if you can afford to do so, raise the amount of your deductible to the highest amount that you could scratch up if you had too. Generally the higher your deductible, the lower your rate. I hope that helps, thanks for asking!

Answer on Will An MIP Affect My Car Insurance? by Jim Winkler

Jim Winkler — Tue, 29 Jul 2014 04:14:09 +0000

That is a great question! If you are the minor in question with the possession charge, you better bet it will. If the minor was someone in your car with you, and not you, you might get lucky and the insurance company won't find out. Now the fact that you were allowing the breaking of the law, suggests that your decision making skills need some work, and that as a result, at some point yes, that will affect your policy, as you will most likely be filing some claims. Please consider this a serious wake up call. Too many teenagers die as a result of drunk driving, and you don't ( and neither does anyone else on the road with you) need to be another sad statistic. Seriously, stop. Thanks for asking.

Answer on Can I Get Car Insurance If I’m Bankrupt? by Jim Winkler

Jim Winkler — Tue, 29 Jul 2014 04:06:10 +0000

That is a great question! You will be able to get a policy if you've filed for bankruptcy, but if you are broke and unable to make the payments, you will not have the coverage long enough for it to matter. There are companies that don't consider credit when they issue policies, but they typically are very bare bones. Have an agent help you, and as long as you can keep up on the payments, you should be fine. Thanks for asking!

Answer on Can I make a car insurance claim for my deceased grandfather? by Jim Winkler

Jim Winkler — Tue, 29 Jul 2014 04:02:09 +0000

That is a great question! The answer depends upon this - are you the executor of the estate? If the car was left to you specifically, or you are the executor of the estate, you might be able to file the claim. If you are not, then whomever that person is will need to do it. Is the policy still in force? Unfortunately it is far too common that someone passes away, and their insurance lapses because payments weren't made to continue it. If that is the case, then no claim can be filed. Your Grandfather's insurance company may also get difficult if they weren't properly notified of his passing. You may want to have some legal help with this one. Good luck, and thanks for asking!

Answer on If I backed into a car illegally parked behind a obviously refrigderated who is at fault? by Jim Winkler

Jim Winkler — Tue, 29 Jul 2014 03:50:39 +0000

That's a great question! I hate to be the bearer of bad news, but my bet is parked illegally or not, since you were the one that caused the damage, it is going to most likely be your fault. You may get lucky and your lawyer may be able to argue out of it, but generally the one who causes the damage is liable, regardless of the circumstances. Good luck! Thanks for asking.

Answer on I want to get 12 million policy per person can I do that and how much would it be monthly? by Jim Winkler

Jim Winkler — Tue, 29 Jul 2014 03:47:21 +0000

That is a great question! There are companies that will write you, certainly, and you will have willing agents lining up on your gated mansion doorstep looking for that business. For that size policy, you need to expect for some things to happen, that wouldn't for smaller policies. You will have a med workup like no other; They will want a financial statement verifying that the amount of coverage is warranted, and some iron clad ID. It will take longer than the ordinary policy to underwrite and process also, so if you are looking for it to be done quickly, I'd advise you to not expect that to happen. Call me, I'll help you get those puppies written! Thanks for asking!

Answer on When Should I Start Retirement Plan? by Jim Winkler

Jim Winkler — Tue, 29 Jul 2014 03:40:10 +0000

That is a great question! The best answer I can give you is as soon as it is possible. You shouldn't count on Social Security or Medicare to be solvent after the next 10-15 years. Economists are predicting a monstrous rise in the poverty rate when that happens. I'm not a doomsayer, but unless something radically different starts happening with the people we elect to govern us, it's most likely that those programs go belly up. If that happens, you have about that long a head start to put away as much as you can. The rule of thumb is 8-10 times your current salary, to live as you do now. Please start a savings plan today. If you need help, please feel free to contact me. Thanks for asking!

Answer on How Do You Compare Term Life Insurance Policies? by Jim Winkler

Jim Winkler — Mon, 28 Jul 2014 02:51:01 +0000

That is a great question! Really the only thing that will differentiate on 5 year term policy from another is the price, the company issuing it, and whatever perks come with the policy. Since there really aren't many perks, it really comes down to the price, both now, and if you needed to renew, and the financial stability and trustworthiness of the company you purchase it from. I hope that helps, thanks for asking!

Answer on Does Depression Affect Life Insurance Rates? by Jim Winkler

Jim Winkler — Mon, 28 Jul 2014 02:47:29 +0000

That is a great question! Depending upon the circumstances surrounding your depression, then yes, it may. If you had a spouse pass away early in your marriage, and that brought on a period of depression that was treated, and years later has not returned, then it probably wouldn't. If it is a persistent problem, and you are taking the meds for it, it can either cause your policy to be declined, or rated ( come with stipulations on the payout, and increased cost) depending upon the company. A good agent can help you find a company that can help you with an affordable policy. If you'd like some help privately, please contact me, I can help. Thanks for asking!

Answer on What Happens At The End Of A Term Life Insurance Policy? by Jim Winkler

Jim Winkler — Mon, 28 Jul 2014 02:39:14 +0000

That is a great question! When your term life insurance policy ends, there are really two things that happen. The first is that your coverage and payments end, and you and the company part ways, both having received what they were promised. The other is that you decide that you need coverage for a longer time than your policy covers, in which case the policy can be renewed. The problem with renewing this type of policy is that the premiums increase dramatically, very quickly. Expect your first year premium to be roughly 110% of what you had been paying, and for them to continue to raise at that pace. I hope that helps, thanks for asking!

Answer on What Is Universal Life Insurance Vs. Whole Life? by Jim Winkler

Jim Winkler — Mon, 28 Jul 2014 02:34:43 +0000

That is a great question! Both whole life and universal life insurance policies are cash value building life long policies. Whole life is simple, you pay a set premium every month, and the policy lasts as long as you do, as long as you keep making payments. The death benefit is specifically stated. A universal life policy is not quite so simple. These policies are often marketed with promises of great value growth, and perhaps not so clearly explaining the risks or the things that have to happen to get that great gain. These policies are typically only guaranteed to last 20 years. The payments are given to you in a range, and can vary even from that range. The amounts paid in, the performance of the invested funds, and the cost of the insurance will dictate how long the policy stays in effect, and whether there is growth. I guess a good way to describe it to you is that if you were looking for a policy that you could buy, make payments on and forget about, buy a whole life policy. If you want a policy that could have great gains, that you can watch the performance of, and change the payments of, then buy a UL policy. I hope that helps, thanks for asking!

Answer on What Is The Best Insurance For Funeral Expenses? by Jim Winkler

Jim Winkler — Mon, 28 Jul 2014 02:22:39 +0000

That is a great question! There are a ton of modestly priced whole life policies that are lower face values designed to cover your funeral expenses. Often marketed as "burial insurance", they are typically anywhere from $5-35,000 face values, and are very simply issued. There are usually some questions on the application, or a phone interview with prescription and medical history checks. They are perfect for folks who want to care for their family, but may not have a ton of money to do it. If you would like to know my preferred companies for this, please contact me. Thank you for asking!

Answer on Does Term Life Insurance Expire? by Jim Winkler

Jim Winkler — Mon, 28 Jul 2014 01:41:21 +0000

That is a great question! Term life insurance is defined exactly by the name. The policy is active for the defined length of the term, at which point it expires, and your coverage ends. Most policies will state specifically the end date - 5,10, 15, or 20 years most commonly. The policies advertised so heavily by companies like AAA, AARP, and others will end the day you turn 80. Sometimes that point is obscured by marketing or fine print, and many elders find out too late what they'd purchased. The only other way your term policy will end is if you miss payments. Please check with a trustworthy agent before you purchase anything. I hope that helps, thanks for asking!

Answer on How Do You Cash In Your Whole Life Insurance Policy? by Jim Winkler

Jim Winkler — Mon, 28 Jul 2014 01:35:00 +0000

That is a great question! Cashing in, or "surrendering" your policy is actually a very simple process, but I'd really ask you to think about it before doing it. The first thing is that you have another policy in force before you cancel this one. The second is that if it is a cash flow issue, that you consider a couple of alternatives - maybe you reduce the coverage amount, and lower the monthly payment; maybe you settle the policy for the amount it will pay out now, and keep the coverage with no more payments due; or perhaps you just borrow out of the policy, and keep the policy active while getting the cash that you need. If you have your heart set on surrendering the policy, contact your agent, have them instruct you on the company's requirements, and tell you the amount to expect. I hope that helps, thanks for asking!

Answer on Can Term Life Insurance Be Cashed In? by Jim Winkler

Jim Winkler — Mon, 28 Jul 2014 01:15:01 +0000

That is a great question! I would love to tell you that your term policy can be cashed in, but because of the way your policy is structured, there is no cash in it to receive. Term policies are as cheap as they are because the premium that you pay is designed to only cover the cost of the insurance, and nothing else. Whole life policies include a cash value aspect, and that is part of the reason they are more expensive. I hope that helps, thanks for asking!

Answer on Does Term Life Insurance Have A Surrender Value? by Jim Winkler

Jim Winkler — Mon, 28 Jul 2014 01:11:54 +0000

That is a great question! Term life insurance policies are cheap because they have no extra's and a definite point on the calendar where they end. Whole life policies have more moving parts, and an indefinite end point, so are more expensive. One of those moving parts is the cash value aspect. Since term policies do not have this aspect, they have no surrenderable value. The premium that you pay for your term policy pays only for the cost of your insurance. I hope that helps, thanks for asking!

Answer on What Are Life Insurance Quotes? by Jim Winkler

Jim Winkler — Mon, 28 Jul 2014 01:07:05 +0000

That is a great question! A life insurance quote is like the estimate that you would get before having repairs done on your home or on your car. The estimate gives you an idea of what the expected cost of the repairs will be, and the insurance quote does the same thing. It is the expected cost of your insurance. Both estimates can be on the mark, or different depending upon what the company finds when they start looking closely at the work. In the case of life insurance, that would be your medical history, the underwriting decisions, and the prescription history that you have. I hope that helps, thanks for asking!

Answer on Why Should I Get Term Life Insurance? by Jim Winkler

Jim Winkler — Mon, 28 Jul 2014 01:01:54 +0000

That is a great question! Why should you get term insurance? There are three good reasons. The first would be that it is the most affordable coverage that you can get. Notice that I said "affordable", and not "best". If you need $100,000 worth of insurance, and cannot afford a whole life policy for that amount, then a term policy is certainly better than no policy at all. The second is if you are only looking to cover a short term debt, like an expected 5 year college debt. It doesn't make sense to purchase a whole life policy to cover a debt that you will pay off in a short amount of time. I hope that helps, thanks for asking!

Answer on What Is The Cash Surrender Value Of My Life Insurance? by Jim Winkler

Jim Winkler — Mon, 28 Jul 2014 00:55:25 +0000

That is a great question! The surrender value is the money that the insurance company returns to you if you were to cancel or "surrender" the policy before it reaches it's expected end. Term life policies will have no surrender value, as they have no value unless they pay out. Whole life policies build a cash value, and it is from this that your returns come. The surrender value is nearly always less than the cash value, as the company will collect fees and charges from that value before releasing it to you. Your policy paperwork will usually list the surrender value. I hope that helps, thanks for asking!

Answer on Does Life Insurance Require A Credit Check? by Jim Winkler

Jim Winkler — Mon, 28 Jul 2014 00:45:11 +0000

That is a great question! In the vast majority of cases, life insurance companies will not check your credit rating. In many cases your agreements section of your policy may give them the right to check, and if the value of the policy is high enough they might, but that's pretty much the only times that I know of. Most often, it's your medical history, your prescription history, and occasionally your driving record that they will check. Thanks for asking!

Answer on Can I Buy A Life Insurance Policy On Anyone? by Jim Winkler

Jim Winkler — Mon, 28 Jul 2014 00:39:47 +0000

That is a great question! And the answer is no, you may not. The reason is based way back when life insurance policies first became popular. People would take out policies on other people and gamble on when that person would pass away. Often, these people had no idea that policies were taken out on them, or that their lives were about to be shortened. So policies were put in place to eliminate that practice. To insure someone now, you have to be able to show that you would suffer a loss, if the insured were to pass away. You can't demonstrate that loss on a stranger. Thanks for asking!

Answer on Can I Sue My Life Insurance Company? by Jim Winkler

Jim Winkler — Mon, 28 Jul 2014 00:34:57 +0000

That is a great question! The simple fact is that you can sue anybody, or any company. All you will need is a competent lawyer, a good reason to sue, and a solid winnable case. If you have all of those things, then you can bring suit against your insurance company. Good luck. Thanks for asking!

Answer on How To Figure Out How Much To Save For Retirement? by Jim Winkler

Jim Winkler — Thu, 24 Jul 2014 22:39:10 +0000

That is a great question! The first step is to decide exactly what your retirement looks like to you. Do you want to travel? Hole up somewhere and fish all day? Live basically as you do now? Once you've done that, take a look at where you are financially right now. What are your assets? What debts do you have? How much longer do you anticipate working? Then you can figure out how to get from where you are, to where you need to be to ensure your retirement looks like you want it to. The rule of thumb is to live at the standard that you are now, you will need to save between 8-10 times your current salary. If you aren't comfortable now, then you will need to save even more. A good advisor can help you find a way to get started, or to adjust the plans that you have. I hope that helps, thank you for asking!

Answer on What Stocks Are In A Mutual Fund? by Jim Winkler

Jim Winkler — Thu, 24 Jul 2014 22:32:54 +0000

That is a great question! In fact, it's really the multimillion dollar question! That is the hard part about choosing the right mutual fund, knowing what they are invested in, and how the investments are performing. A mutual fund that was heavily invested in technology stocks this year would have taken a beating ( some lost very large amounts) , while mutual funds invested in a mix of bonds and energy stocks would have had a good return. The best thing to do is really look into the fund, its investments and its returns, before you invest in it. Be certain to have your broker clearly explain all fees to you! Many funds charge fees that can significantly reduce your earnings, and leave you with little more than you started with. Be careful, ok? Thanks for asking!

Answer on Why Set Up A Roth IRA? by Jim Winkler

Jim Winkler — Thu, 24 Jul 2014 22:26:45 +0000

That is a great question! One of the best reasons for a Roth is the ability in later years to receive a tax free income stream. Since the contributions are made after-tax, when you start your withdrawals, the income is tax free assuming that you are over 59 1/2, and have had the IRA for more than 5 years. Having a tax free income stream helps balance out the other taxable income that you may have. Another nice perk is that you can still contribute to your Roth after you turn 70, and you do not have to empty the account. In some cases, all or most of what you withdraw before 59 1/2 may be tax free, depending upon the use and contributions. If you would like more specific information, please drop me a line, I'd be happy to help. Thanks for asking!

Answer on What Does Disability Insurance Protect? by Jim Winkler

Jim Winkler — Thu, 24 Jul 2014 22:08:57 +0000

That is a great question! I'm glad that you asked. Disability insurance basically protects your income from disappearing if you become disabled, and unable to work for a period of time. While it won't completely cover your lost paycheck, it can cover a good portion of it, and if there is a workman's comp payment also, you can probably get by without too much hardship. A disability plan makes great sense if you work in a career where it is a good likelihood that you could sustain an injury that would keep you out of work for several months, or if you live paycheck to paycheck and would be in serious financial hardship if an injury or illness were to strike. I hope that helps, thanks for asking!

Answer on Where Do I Buy Disability Insurance? by Jim Winkler

Jim Winkler — Thu, 24 Jul 2014 21:59:37 +0000

That is a great question! Many insurance companies will have a line of disability products in their portfolio of products that you could choose from. Other companies, like AFLAC will also offer disability plans that can be added to your employers benefit package, and purchased. Contact a local independent agent, and have them look at some policies for you to choose from. I hope that helps, thanks for asking!

Answer on I have a 65 Extra Ordinary Life policy with NWML. I assume that sometime before or after I would convert this to an annuity to receive quarterly premiums. Is this correct? by Jim Winkler

Jim Winkler — Thu, 24 Jul 2014 21:56:12 +0000

That is a great question! It's really one that you should ask your agent, because I'm a little hazy on what you are wanting to do. You aren't going to be able to convert your life insurance policy into an annuity, so that part of your question is no, you won't convert it at all. As for the receiving of premiums, Companies pay premiums ( or don't) at their choosing. They determine the amount to be paid, if any, and usually at a set time during their fiscal year they make that payment. I believe NWML pays once a year, but I may be wrong, I've never asked them ( I have policies from them that my Dad bought way back when) I just appreciate seeing them on my yearly statement. Please contact your agent, and have them explain your policy a little better to you. I hope that helps, thanks for asking!

Answer on Is Medicare Prescription Drug Coverage Mandatory? by Jim Winkler

Jim Winkler — Thu, 24 Jul 2014 21:48:03 +0000

That is a great question! The answer is one of those , "no, but you should" answers. Like health insurance isn't mandatory, having it is very wise, and not having it has penalties. It is kind of like that with your prescription coverage. While it isn't mandatory to have, the cost of your prescriptions without it is often prohibitive. A prescription that Medicare covers may only cost you a couple of dollars, that without the coverage would cost $45-50 dollars or more. On a fixed income, and looking at stretching a retirement fund, I'd wholeheartedly recommend that you enroll in the plan. Thanks for asking!

Answer on Can You Annuitize A Fixed Annuity? by Jim Winkler

Jim Winkler — Thu, 24 Jul 2014 21:41:34 +0000

That is a great question! Every annuity, whether it be a fixed, variable, or indexed annuity will have an annuitizing phase. That simply means that after it has sat for the allotted time accruing earnings, that it reaches the point where it begins to pay out to you. When you purchased your annuity, you would have set the time period that the payments would continue for. Ask your agent to review those details with you, so that you will have an idea of what you can expect to receive for income. I hope it's a bundle! Thanks for asking!

Answer on Will Medicare Pay For Tooth Extraction? by Jim Winkler

Jim Winkler — Thu, 24 Jul 2014 21:36:24 +0000

That is a great question! Unfortunately, dental services are not covered by Medicare. Just about the only way that it would pay for the removal of your tooth was if it was part of a larger surgery performed in a hospital. Because dental care is typically the most used and most costly, many companies no longer add it as part of their benefit packages either. There are some inexpensive dental plans out there, though. Thanks for asking!

Answer on How Important Is Health Insurance? by Jim Winkler

Jim Winkler — Thu, 24 Jul 2014 21:31:45 +0000

That is a great question! Health insurance is the best defense against a medical emergency that destroys your financial stability. 60% of all bankruptcies are caused by health emergencies, and the costs that arise from them. If you are one of the 60% of Americans that have less than $3000 to your name, or part of the 77% that are living paycheck to paycheck, your health insurance is worth whatever you pay for it. I sincerely hope that you have some. Thanks for asking!

Answer on What Is Dividend In Mutual Fund? by Jim Winkler

Jim Winkler — Wed, 23 Jul 2014 20:42:45 +0000

That is a great question! A dividend is a share of a companies profits that they choose to pay back to their stockholders. The company decides on the amount of the profit to divide, the amount of the dividend, and whether or not to pay one at all. Hopefully your mutual fund is loaded with some companies paying out some fat, steady dividends to you! Thanks for asking!

Answer on Why Is My Roth IRA Not Growing? by Jim Winkler

Jim Winkler — Wed, 23 Jul 2014 20:35:33 +0000

That is a great question! However, without knowing any of the particulars about your Roth, I cannot give you a specific answer, only some possible reasons. The first is are you still contributing to it? If you are only making small, sporadic contributions, your growth will be very slow. The other would be how you have it allocated, and how those choices are performing. If your investments were in funds heavy in Tech stocks, you've taken a beating, if they were in bonds, that market has been sluggish also. If you'd like to contact me, I might be able to give you a better answer, but otherwise, this is the best I can do. I hope it helps, thanks for asking!

Answer on How Can A Self Employed Person Save For Retirement? by Jim Winkler

Jim Winkler — Wed, 23 Jul 2014 20:27:01 +0000

That is an excellent question, and one we could spend all day discussing. To make it really simple, let's start with three things that you can do. First, decide what retirement looks like to you. What age would you like to retire, at what level of living, and where. Then, once you have that picture, look at where you are now in relation to being able to accomplish that retirement. Once you've got that snapshot, then you find an advisor that can help you get to that goal. There are a great number of investment options out there to choose from, they can help you find the ones that are right for you, and your goals. I appreciate you for asking! Thanks!

Answer on Can A Self Employed Person Have A Roth 401K? by Jim Winkler

Jim Winkler — Wed, 23 Jul 2014 20:21:42 +0000

That is an excellent question! The answer is yes, you certainly can. You will be subject to the same rules as any other Roth, with the exception of not being able to contribute more than your compensation. So if you pay yourself a dollar as your salary, then you would not be able to contribute more than that dollar. Another thought would be a Roth 401k, which has higher contribution levels, as well as 3% of your companies profits. I hope that helps, thanks for asking!

Answer on Does A 401K Contribution Reduce AGI? by Jim Winkler

Jim Winkler — Wed, 23 Jul 2014 20:12:10 +0000

That is a great question! I am pleased to hear you ask about your 401k, planning for your retirement is a good thing, and I wish more people were doing it. If your contributions are being made pre-tax, then yes, your Gross Income will be adjusted downward for the amount of those contributions. If they are made after-tax, then they obviously will not. I hope that helps, thanks for asking!

Answer on Do Universal Life Insurance Premiums Increase? by Jim Winkler

Jim Winkler — Wed, 23 Jul 2014 20:06:45 +0000

That is a great question! Universal life policies are not like other life insurance policies. A term policy has clearly defined time periods of coverage and payment amounts and frequency. A whole life policy has a set payment, and a certain end date (yours). A universal, or variable, policy is not so clearly defined, and therefore is not the best policy for some people. In this type of policy, your payments, and length of coverage are dependent upon investment performance, and if the investments do poorly, the policy alters to adjust. That means your payments may increase dramatically, your coverage shorten, or your policy collapses and goes belly up. Your policy may make guarantees about these things, you will need to check with your agent and see. Good luck. Thanks for asking!

Answer on When Should You Cancel Term Life Insurance? by Jim Winkler

Jim Winkler — Wed, 23 Jul 2014 19:59:10 +0000

That is a great question! There are a couple of good reasons why you may wish to cancel your term policy. The best would be that you've paid off early the debt you took the policy out to cover against. It would make no sense to continue paying, at that point. The second would be that it was due to auto-renew, and your premium is about to skyrocket. (which it does) cancelling the policy before it becomes unaffordable is wise also. The last would be if you reached a point where you had a whole life policy, or had made other arrangements to provide for your final expenses and your surviving loved ones financially. Again, at that point it makes little sense to pay for a policy. I hope that helps, thank you for asking!

Answer on Does Disability Insurance Cover Death? by Jim Winkler

Jim Winkler — Wed, 23 Jul 2014 19:48:11 +0000

That is a great question! You will have to look at the specifics of your policy, it might, but typically a disability policy will not. These policies are designed to help pay expenses while you are injured or sick, and have no need to pay if you have passed. An accidental death and dismemberment policy will pay upon your death, but only under a strictly defined cause of death. If you have a stroke and pass, for example, it would not pay. A life insurance policy is designed for that. I hope that helps, thanks for asking!

Answer on Who Should Have Short Term Disability Insurance? by Jim Winkler

Jim Winkler — Wed, 23 Jul 2014 19:37:46 +0000

That is a great question! There are a couple of really good reasons for having a short term disability policy. If you work a job where it is likely to be injured, and workman's comp hard to get, a disability plan is a must. Your bills will need to be paid, and most often draining your savings or taking out a loan are bad options. The policy will help pay for those things. The other reason is if you are like most Americans, and don't have the savings or assets to cover if you were injured. 60% of all bankruptcies are a result of medical emergencies, and more than half of Americans have less than $3000 in their savings. Every one of them is a potential bankruptcy waiting to happen. Please don't be one of them. Thanks for asking!

Answer on What Is A 5 Year Term Life Insurance? by Jim Winkler

Jim Winkler — Wed, 23 Jul 2014 19:28:20 +0000

That is a great question! A 5 year term policy is exactly what it sounds like. It is a life insurance policy that has a 5 year lifespan. At the end of the 5 year term, the policy and coverage end. This type of policy is typically purchased to cover a debt, that is usually repaid within that time period. Term life policies have no value unless you were to pass away during the term, and can be renewed, but the renewal premiums start at 110% of what you paid before, and increase dramatically. I hope that helps, thanks for asking!

Answer on Can I Cash Out My Universal Life Insurance? by Jim Winkler

Jim Winkler — Wed, 23 Jul 2014 19:23:49 +0000

That is a great question! Yes, you absolutely can. Before you do though, be certain that that is what you want to do. Ending any life insurance policy without one to replace it is risky, be sure that you have another policy to replace this one. You also may want to check with your advisor or tax attorney, if you've got a significant cash value in the policy, there may be tax implications that you will need to be aware of first, so that you don't get surprised at tax time. I hope that helps, thanks for asking!

Answer on Is Whole Life Insurance A Smart Investment? by Jim Winkler

Jim Winkler — Wed, 23 Jul 2014 17:02:40 +0000

That is a great question! We need to be clear though - life insurance is not technically an investment. An investment grows income, while life insurance is protection against loss - in this case, the loss of you. As such, you cannot receive any benefit from the policy, it goes to your survivors. That said, it is a terrific part of a financial plan, and has many benefits that a term life policy cannot provide, the best of which is that you cannot outlive it. That alone makes it a great investment in your peace of mind! Please feel free to contact me for more specific information, okay? Thank you for asking!

Answer on How Much Is The Average Cost Of Life Insurance? by Jim Winkler

Jim Winkler — Wed, 23 Jul 2014 16:55:25 +0000

That is a great question! Unfortunately, there is no "average cost" that I can honestly give you. Life insurance is like a tailored suit. Each person is built differently, so my suit most likely won't fit the average person, any more than yours probably would. Since life insurance costs are based upon your personal health situation, age and gender, the rate is tailored to you. There are companies that issue policies that charge a flat rate by age, but they also tend to increase those costs every few years, and end your coverage the day you turn 80. Please speak with an agent who can give you some specific numbers for you to look at. Thank you for asking!

Answer on Why Buy Variable Life Insurance? by Jim Winkler

Jim Winkler — Wed, 23 Jul 2014 16:50:14 +0000

That is a great question! Of the three types of life insurance, term, whole life, and universal (or variable) variable is the most complicated. The things that make it different also make it riskier. This is not the policy for you, if you do not like risk, or do not want to have to keep track of its performance. This policy is called "variable" because your payments can vary. This can be a problem, if you send in a steady payment amount, and the policy expenses are more than the payment you are sending. Your policy will eventually eat itself alive, and collapse. If you are someone who likes risk, and will pay close attention to your policy's performance, the policy can be a valuable part of your financial plan. This type of policy can ( I repeat Can) generate large cash values, if the needed variables all fall into place. Talk to your agent or advisor, and see if this policy is what works best for you. Thanks for asking!

Answer on Where Can I Purchase Annuities? by Jim Winkler

Jim Winkler — Wed, 23 Jul 2014 16:39:17 +0000

That is a great question! There are just about as many places to buy an annuity as there are annuities. Almost every insurance company will have several options for you to choose from, and so will many financial institutions. You want to look at a company that is highly rated ( A or better) by a company like Standard & Poors, or A.M.Best; one that is well funded and stable financially, and one that is well respected, with few consumer complaints. A good advisor can steer you to a company that you can trust. I hope that helps, thanks for asking!

Answer on What Do I Need To Plan For Retirement? by Jim Winkler

Jim Winkler — Wed, 23 Jul 2014 16:33:30 +0000

That is an excellent question!!!! We could spend a whole lot of time on this, but I'll break it down to three things. The first: Decide how you want your retirement to look. Travel, quiet home living, move somewhere, what do you want to do to spend your days? Second, determine what that future will cost you. How well prepared for that future are you today? How long do you have to make funding it a reality? What kind of ground do you have to cover to ensure that it can happen the way that you envision it? The third: Put together a plan that gets you there, or as close to there, as possible. That plan has to account for your risk tolerance, safe financial living in the meantime, and the ability to create the income that you will need. Spend a little time and put together for yourselves a snapshot of where you are, and where you want to be. Once you have that, find an advisor that you can trust, and get started making your dream a reality. If you want to spend a little more time on the details, please feel free to drop me a line, I'd be happy to help you. Thank you for asking!

Answer on Can Term Life Insurance Have Cash Value? by Jim Winkler

Jim Winkler — Wed, 23 Jul 2014 16:23:16 +0000

That is a great question! There is a reason why things are cheap. You buy a cheap car, you spend a lot on repairs. You buy cheap clothes, they rip or shrink. Term insurance is cheap because it has very few perks, like a whole life policy would. Your term policy will have no cash value, and will end at a specific time. Because there is no management of your cash involved, and the odds are great that the company will collect from you for years and not have to pay you anything, those policies can be sold very cheaply. About the only way that you can stack the odds back in your favor and get money out of your policy would be to get a "return of premium" policy or rider. For a larger premium payment, this allows you to receive back most of what you had paid into the policy. If you have questions, feel free to drop me a line, okay? Thanks for asking!

Answer on How Does Weight Affect Life Insurance Rates? by Jim Winkler

Jim Winkler — Wed, 23 Jul 2014 16:16:36 +0000

That is a great question! Insurance companies are all about risk. If you have a lot of tickets, or accidents, your auto insurance rates will be high. If your home is in an area where hurricanes are common, your homeowners will be high. Likewise, if you are obese, you are much more likely to develop weight related diseases that can affect your life expectancy. Diabetes, high blood pressure, strokes and heart disease are found more often with people that have issues with their weight. Being too thin carries similar risks. Many insurers will have a set standard for your weight and height that they will use to help determine that risk. They will use that to help determine your rate. The less risk there is that you will pass away sooner than later, the lower your rate will be. I hope that helps, thanks for asking!

Answer on What Annuities Are Safe? by Jim Winkler

Jim Winkler — Wed, 23 Jul 2014 16:09:06 +0000

That is a great question! As with all investments, the answer lies in the small print, and the details of your annuity's contract. Generally, the safest annuity is the fixed one, with the interest rate guaranteed, and the payout clearly defined. However, if the interest rate isn't enough to cover fees and inflation, then even that investment isn't the safest place for your money. Indexed annuities can be good if the guarantees are favorable, and the fixed ones are ideal if the guarantees are solid. The trick then, is to understand exactly what it is that the annuity will do for you, and how much it will cost to do it. I hope that helps, thanks for asking!

Answer on Is A Variable Annuity A Liquid Asset? by Jim Winkler

Jim Winkler — Wed, 23 Jul 2014 15:49:59 +0000

That is a great question! An annuity by its very nature is not a liquid asset. To be liquid, it must be readily accessible, and easily converted. Cash, bonds, or stocks are liquid assets. Your annuity contract will state a specific number of years that you cannot touch the funds without incurring fees and charges. While you may be able to withdraw some funds without fees from the annuity, to do so affects the long term returns, and can have a big impact on the profitability of your investment in the annuity. If you would like help, please contact your agent, or drop me a line. Thanks for asking!

Answer on How Do You Determine How Much Term Life Insurance You Need? by Jim Winkler

Jim Winkler — Mon, 21 Jul 2014 13:15:18 +0000

That is a great question! The answer depends upon what you want the policy to do for you. If you are using it to cover a specific debt, like your mortgage, or a college loan, then it needs to be for roughly the amount of the debt. If it is for your life insurance, that amount is really up to you, and what you can afford. The rule of thumb is 8-10 times your current salary. Please be aware of exactly what you get, and don't get, with a term policy before signing the contract. I hope that helps, thanks for asking!

Answer on Can I Keep My Ex Wife On My Car Insurance? by Jim Winkler

Jim Winkler — Mon, 21 Jul 2014 05:18:43 +0000

That is a great question! The better question though, is why would you want to? I could maybe, possibly, barely, almost see why if she were still driving the car; if she had policies that bundled with yours and kept your rates low, or if she were making the payments. But she isn't going to be legally obligated to you anymore, and if she's not going to be driving the car, probably is going to stop paying, drop you from her policies, and not care too much if your car gets a new dent or scratch. I'm not suggesting in any way that your Ex is in any kind of way a bad person, or doing anything wrong. That is just the way it is. It may be better to just let that one go, and let her find a policy that will work best for her. If you'd like to discuss this privately, please contact me, okay? Good luck, and thanks for asking!

Answer on Can Car Insurance Be Backdated? by Jim Winkler

Jim Winkler — Mon, 21 Jul 2014 05:10:11 +0000

That is a great question! If you can find a company that will, I'd be very surprised. Insurance companies work off of risk. A life insurance company has no risk backdating a policy for you, as it is a certainty that you are still alive when you are asking them to do it. An auto insurer though, has little proof that your auto wasn't damaged prior to the date that you are asking for coverage, and as such, are going to be very hesitant to backdate for you, for fear of an immediate claim. I hope that helps, thanks for asking!

Answer on Is Universal Life Insurance A Good Investment? by Jim Winkler

Jim Winkler — Mon, 21 Jul 2014 05:06:15 +0000

That is a great question! Let's start out by making sure we are using the same terminology though - an investment is something that is designed to increase your money, in a way that allows you to access it. Investments are stocks, mutual funds, bonds, things like that. Insurances are not investments per se - they are protections - like your emergency fund that you should have, they are designed to protect against a loss that you may incur. In the case of life insurance, that loss is you. As such, you cannot reap the benefits of the policy, it goes to those you leave behind. Universal life policies are often pitched like investments because they CAN have significant cash growth. They are just like the stock market though - they can go belly up without proper management and attention to the payments needed. These are not your "buy it and toss it in the safe" policies, and generally work out very poorly for those who do that. Any life insurance policy is an investment in your peace of mind. If you are someone who has a higher risk tolerance, and closely watches the financial statuses very closely, then you might want to speak to your advisor about a UL policy, but please make sure they explain it very thoroughly to you, including all of the things that have to fall perfectly into place to provide those big dollars that they promise you, okay? If you want the straight deal, contact me, I'm happy to help. Thanks for asking!

Answer on Does Whole Life Insurance Have Cash Value? by Jim Winkler

Jim Winkler — Mon, 21 Jul 2014 04:50:57 +0000

That is a great question! Whole life policies do indeed have a cash value feature. It is one of the really good reasons to consider purchasing one. After a few years, the policies can start accumulating funds fairly quickly. They are easily accessible, and are tax free and generally at very low interest rates. It is an excellent way to get money quickly, especially if the banks won't give it to you. I hope that helps, thanks for asking!

Answer on Is There Any Cash Value To A Term Life Insurance Policy? by Jim Winkler

Jim Winkler — Mon, 21 Jul 2014 04:46:02 +0000

That is a great question! There is a reason why cheaper things are cheaper. In the case of life insurance, term policies are much cheaper than whole life policies are. The reason? Term policies have zero frills. They rarely have to pay out, as the terms usually expire before you do; and they have nothing extra in the payment but insurance costs, so there is no accumulating cash value either. Term policies can be a good option in some cases, please be sure that you speak with an agent to make sure that it is right for your needs. Thanks for asking!

Answer on Does Chewing Tobacco Increase Life Insurance Rates? by Jim Winkler

Jim Winkler — Mon, 21 Jul 2014 04:32:59 +0000

That is a great question! And a really good reason why an independent agent is worth a ton of money to you. Most companies will ask a question along the lines of "do you use nicotine in any form", but there are some that ask more specific questions, that don't mention chewing tobacco. That said, the incidences of throat and mouth cancers are through the roof for chewing tobacco users, so if it isn't life insurance costs, it will be health insurance costs. Please consider stopping before you become another statistic. Thanks for asking!

Answer on Can A Deferred Annuity Be Surrendered? by Jim Winkler

Jim Winkler — Sun, 20 Jul 2014 23:44:26 +0000

That is a great question! They can, but it may not be your best option, depending upon how long you've had the annuity. Anytime you surrender an annuity, you will pay some form of fee or charge. ( The insurance company does this to recapture some of the lost income they would have generated, and cover costs.) Your annuity in the first years will have a "surrender period" where these charges are very steep. They do this, as an incentive for you to actually derive a benefit from your annuity. The charges can vary widely, but generally start at 10% plus fees, and gradually reduce as time goes on. If there was a bonus added to your annuity, this amount typically is removed or reduced also. You could stand to lose a big chunk of what you'd invested. If you need quick cash, there are some better ways. If you would like to contact me, I'd be happy to go over this in more detail with you. Thank you for asking!

Answer on Does A Fixed Annuity Have A Death Benefit? by Jim Winkler

Jim Winkler — Sun, 20 Jul 2014 23:36:36 +0000

That is a great question! The answer depends upon the annuity itself, and how you structured it. ( Or will structure it, if you are thinking of buying one) Some annuities will be structured to pay out up to your death, and then cease payments. Whatever was left in that fund reverts back to the insurance company. Others will then make payments to your surviving spouse, and cease when they pass. You can also have one where the funds pass to a beneficiary, either in a lump sum, or in payments. There are a lot of options, and some will cost you extra. Please check with your advisor, or agent, and determine what is best for you. Thanks for asking!

Answer on Does Term Life Insurance End At A Certain Age? by Jim Winkler

Jim Winkler — Sat, 12 Jul 2014 22:15:10 +0000

That is a great question! I'm personally glad that you asked, as I think this is an area where a lot of people get misled, and too often with tragic results. A normal term policy will have a very defined time period that covers you. It is typically between 5-20 years. Where the trouble lies is in some of the ones that are direct mailed to you, or are marketed on TV. Often those term life policies are marketed to Senior Citizens, and can be misleading. They will tell you in small print, or in passing ( my 'favorite' is the tv one where they flash a big red $19.95 a month on the screen as the announcer says "term to age 80" - in most cases, you focus on the money, and miss the age limit) that these policies end when you turn 80. The average life expectancy is 82. What happens when you live to be 80 and a day? Coverage is now impossible to afford, let alone get, and there is no cash or coverage from the expired term policy. Please contact an agent or advisor who is knowledgeable about insurance before buying anything, ok? Thanks for asking!

Answer on Can Life Insurance Have More Than One Beneficiary? by Jim Winkler

Jim Winkler — Sat, 12 Jul 2014 22:06:02 +0000

That is a great question! There is no limit upon who or how many beneficiaries that you would like to have on your policy. The only stipulation in many cases is that they not be minors. If that is the case for you, then be sure that there is a legal guardian named, or a trust set up for them, until such time as they are legally able to access the funds. I hope that helps, thanks for asking!

Answer on Who Has The Best Rates For Term Life Insurance? by Jim Winkler

Jim Winkler — Sat, 12 Jul 2014 22:02:32 +0000

That is a great question! While most companies will have fairly similar rates, the "best" rate will be determined by what coverage you want, and for how long. You will find that your health issues can make a big difference in rates between companies, so it is always a good idea to have an independent agent ( one not tied to a specific company) do the footwork for you. I hope that helps, thanks for asking!

Answer on Is Whole Term Life Insurance Worth It? by Jim Winkler

Jim Winkler — Sat, 12 Jul 2014 21:58:24 +0000

That is an interesting question! You have included two different types of life insurance in one title. The literal name of your policy means "complete length" of the policy. In a term policy, keeping it for the entire term may or may not be worth it, depending upon why you purchased the policy. If it was to cover a debt for an expected 5 years, and you paid the debt in 3, it's not worth paying the extra two years for nothing. A whole life policy is definitely worth paying out to the end, as the end is your passing, and that is what triggers the payment to your beneficiary. I hope that helps, thanks for asking!

Answer on How Much Does A Whole Life Insurance Policy Cost? by Jim Winkler

Jim Winkler — Sat, 12 Jul 2014 21:53:13 +0000

That is a great question, and one we are commonly asked! The answer isn't an easy one to give though. Life insurance is like tailored clothes - what fits you may not fit me, so your clothes will cost more or less than mine. Life insurance bases the cost on a lot of things that are uniquely yours. Your age, gender, smoking preference, amount desired, current health situation, family health history, prescriptions taken, and your job are all factors in the cost. I could give you a ballpark, if you want to contact me with specifics. Thanks for asking!

Answer on Does Insurance Cover Mold Removal From Home? by Jim Winkler

Jim Winkler — Sat, 12 Jul 2014 21:47:42 +0000

That is a great question! You will need to look at your policy to see. Some insurers will include mold damage, others will not. Here in the hot and humid south, mold insurance is a rider, or a separate coverage as a rule, since mold is so prevalent. Contact your agent, and find out whether yours does. Good luck, and thanks for asking!

Answer on Does Home Insurance Cover Flood? by Jim Winkler

Jim Winkler — Sat, 12 Jul 2014 21:43:44 +0000

That is a great question! Unfortunately, the vast majority of homeowners policies will not cover damages due to flooding. There will be a separate policy for that coverage, or a rider added to your homeowners policy to protect you, especially if your home lies in an area where flooding is a possibility. It is an unpleasant surprise for many homeowners when they find their home isn't covered. I sincerely hope that is not the case for you. Thanks for asking!

Answer on How Do You Switch Home Insurance? by Jim Winkler

Jim Winkler — Sat, 12 Jul 2014 21:38:08 +0000

That is a great question! The first step is to find the new coverage that you want. Once you've found it, contact your current insurer, and notify them that you wish to cancel the policy with them. Start the new policy on the day the old one ends. Contact your mortgage company, and send them all of this information. The most important thing is to ensure that you have no lapse in coverage. I hope that helps, thanks for asking!

Answer on Can You Get Auto Insurance With A Suspended License? by Jim Winkler

Jim Winkler — Sat, 12 Jul 2014 21:33:38 +0000

That is a great question! Without a current license, it will be very difficult to get your insurance. There are a couple of ways that you can, however. The first is to show proof that you have satisfied the conditions of the suspension, and the date the suspension will be lifted. The company may choose to issue a policy with a start date as of the expiration of the suspension. They may also choose to issue a policy that begins the day tour suspension ends. Bear in mind that this is a rarity, and not common; and that the reason for your suspension will play a big part in their decision. I hope that helps, thanks for asking!

Answer on Can I Get Auto Insurance Without A Driver License? by Jim Winkler

Jim Winkler — Sat, 12 Jul 2014 21:25:31 +0000

That is a great question! Unfortunately, the answer is not so great. The likelihood of you driving the car without a license if you know it's insured is pretty high, and that is not a good thing for any insurer. The penalties for getting caught driving without a license are a whole lot worse, when they find you are uninsured also. The companies are all about risk, and no reputable company will take on that one. Get your license, then the insurance. I hope that helps, thanks for asking!

Answer on Why Is Auto Insurance More Expensive For Males? by Jim Winkler

Jim Winkler — Sat, 12 Jul 2014 21:20:29 +0000

That is a great question! The thing to know about any insurance is that the costs are always based in great part on the risk of loss that the company has to shell out for. Any young or new driver will have a greater risk as they gain experience than an established driver, so the company will charge them more than the experienced driver. Young men in particular are a greater risk, and as a result, their rates are higher than most other drivers. I hope that helps, thanks for asking!

Answer on Who Needs Life Insurance The Most? by Jim Winkler

Jim Winkler — Sat, 12 Jul 2014 21:16:19 +0000

That is a great question, and one that I am frequently asked. It's easier to tell you who doesn't need life insurance, than it is who does. There is a much smaller group who don't. If you have a fund set aside that you will not need to touch during your lifetime for your funeral expenses and final debts, along with a funded plan to provide your equivalent yearly income for your survivors, you don't need life insurance. Since the vast majority of Americans don't fit that category, life insurance is probably a good idea. The idea behind the insurance is that you do not leave those behind as financially hurt by your passing as they are emotionally. I hope that helps, thanks for asking!

Answer on Can I Cancel My Home Insurance At Any Time? by Jim Winkler

Jim Winkler — Sat, 12 Jul 2014 21:09:27 +0000

That is a great question! You can, but if you carry a mortgage on the property, you might want to save yourself a few headaches, (and a lot of money), and do some simple things first. Before you cancel your current coverage, make sure that you have the new one lined up to start the day your current one ends. Contact your mortgage people, and furnish them with the new companies information, and proof that there will be no lapse in coverage. That should save you from a panicked mortgage company, that will self insure you at a higher rate, or less favorable coverage. Thanks for asking!

Answer on What Do I Need To Get Renters Insurance? by Jim Winkler

Jim Winkler — Sat, 12 Jul 2014 21:04:29 +0000

That's a great question! For a renters insurance policy, you really don't need much. A good idea of the value of your belongings, so you know how much coverage that you will want to have; A valid current picture ID, and your first months premium should get you a policy. I hope that helps, thanks for asking!

Answer on How To Get Out Of A Fixed Annuity? by Jim Winkler

Jim Winkler — Wed, 09 Jul 2014 04:27:36 +0000

That is a great question! If you were my client, the first thing I'd ask you is why you would want to. You can certainly surrender the annuity, but it can sometimes be a bigger problem than the one that you have. If you have not had the contract long, your withdrawal will be subject to fees, penalties, and possibly taxes. These charges can considerably reduce your payout. If it is a cash flow issue, I'd look at other alternatives with you, like maybe taking out a loan from your life insurance before ending your annuity. Please contact me if you would like to discuss this a little more. Thank you for asking!

Answer on Why Is A Roth IRA Tax Free? by Jim Winkler

Jim Winkler — Wed, 09 Jul 2014 03:43:06 +0000

That is a great question! Roth IRA's are excellent retirement savings vehicles. I think they should be a part of every retirement plan. When you make contributions to a plan, you make them either before income tax is assessed, or after the tax has been taken. Before tax, like your employer plan, means that the withdrawals are treated as income, and they are taxed then. After tax contributions, like your Roth, means that you have already paid your taxes, so the withdrawals are tax free. I hope that helps, thank you for asking!

Answer on Why Get Renters Insurance? by Jim Winkler

Jim Winkler — Wed, 09 Jul 2014 03:38:20 +0000

That is a great question! You might want to consider a renters policy if you answer "no" to the following questions. Can you afford to replace your belongings (all of them) if they were to be destroyed? Can you afford to replace all of your electronics (phone, computer, tv, stereo/gaming systems) if they were to be stolen? Can you afford to pay for the damages if you were to be sued for someone being injured at your apartment, or if your landlord sued you for damages to the apartment? Renters insurance covers all of those things. I hope that helps, thanks for asking!

Answer on Is My Fixed Annuity Safe? by Jim Winkler

Jim Winkler — Wed, 09 Jul 2014 03:33:46 +0000

That is a great question! I'm not sure what annuity you have, or the details of it, so that's a tough question to answer. If your cash flow is good enough that you do not need to touch the annuity for the length of the surrender period, then it is safe. If it pays you an interest rate that is higher than the inflation rate, then it's safe. If it is with a reliable company that can afford to pay you out, then it's safe. If you answered negatively to any of those things, then you may have trouble. If you'd like to contact me with specifics, I can answer you a little better. Thanks for asking!

Answer on Can Annuities Be Cashed In? by Jim Winkler

Jim Winkler — Tue, 08 Jul 2014 16:19:18 +0000

That is a great question! One of the biggest reasons why an annuity is not suitable for everyone is the fact that your money is tied up for a long period of time. That can be an issue, if you are prone to cash flow problems. You can cancel it, but you will lose a considerable chunk of it to taxes and fees, and may even bump yourself up a tax bracket for the year you cancel the contract. Please talk to your agent, or a tax attorney before you cancel the contract. A better solution, and I use the word "better" guardedly, is to take whatever free withdrawal amount that is available for you, if you are in a cash crunch. This may have an effect on what your annuity earns and pays out , so please consult with your agent first. A better solution yet may be to borrow from your life insurance policy, it's tax free, and will have less consequences. Please feel free to contact me, if you'd like to discuss this privately, okay? Thank you for asking!

Answer on Why Are Annuity Rates Falling? by Jim Winkler

Jim Winkler — Tue, 08 Jul 2014 16:05:30 +0000

That is a great question! Most annuities are linked to bond markets and interest rates on those bonds. The insurance industry is the largest purchaser of industrial and Government bonds, so their fortunes often rise or fall on the interest rates associated with those bonds. As long as the Fed keeps interest rates low, you will see your rates fall. I hope that helps, thanks for asking!

Answer on Why Is It Good To Invest In Retirement Annuities? by Jim Winkler

Jim Winkler — Tue, 08 Jul 2014 16:00:33 +0000

That is a great question! There are good things and bad things about any retirement product. Annuities are certainly a great retirement vehicle, but you want to be sure that it is the right one for you. The positives for annuities are that they can generate a good sum of money safely for you, that the payments to you can be structured so that you cannot outlive them, ( a huge plus, to know that you will have an income stream that lasts as long as you need it), and that many companies will add a bonus to your annuity that further increases your yield. The negatives are that they typically require a lump sum payment to begin them, that the deposit cannot be touched (with some exceptions, but really shouldn't be touched) for several years without large fees and consequences, and that if you aren't careful, the annuities yield may not be enough to outpace inflation, resulting in ultimately a poor investment vehicle. My personal advice to my clients is always that this product needs to be a good match for you to consider it. Cash flow cannot be an issue for you, and that we need to look carefully at which annuity is best for you. The right annuity is a great investment, and the peace of mind that comes with knowing you won't run out of money is priceless. I hope that helps, please feel free to drop me a line if you'd like more personalized information, okay? Thanks for asking!

Answer on Can A 70 Year Old Get Term Life Insurance? by Jim Winkler

Jim Winkler — Mon, 07 Jul 2014 21:33:49 +0000

That is a great question! I'm a little puzzled as to why you would want one though, unless it's because you've looked into a whole life policy, and found them to be too expensive. There are a couple of companies that advertise a lot on tv that will issue you a policy, but it also will be very expensive, and will end when you turn 80. If you live to be 80 and a day, you've thrown away 10 years worth of money. It is really impossible to give you good guidance without knowing more about your situation. If you'd like some help, please drop me a line, and I'll see what we can do. Thanks for helping!

Answer on What Factors Determine Life Insurance Rates? by Jim Winkler

Jim Winkler — Mon, 07 Jul 2014 21:06:09 +0000

That is a great question! There are many things that have a part in determining the rate you will be charged for your life insurance. The main ones are your age and gender; Your smoking preference; your current and past health status; the medications that you are taking; the type of life insurance that you'd like, and the amount of coverage. It is always in your best interests to have an experienced agent help you find the right policy for you. Thank you for asking!

Answer on Who Should Get Variable Life Insurance? by Jim Winkler

Jim Winkler — Mon, 07 Jul 2014 15:48:08 +0000

That is a great question! Variable life insurance policies are a very different type of life insurance , and are definitely not for everyone. In a term or whole life policy, the cost of the insurance is built in to the premium price, and so the only way they would end prematurely is if you stopped making payments. In variable life policies, the cost of the insurance is paid, or not paid, by the performance of the stock market. Instead of the safety of a steady , known payment, a variable policy is tied to the stock market, and as it varies, so does the policy's value, length of coverage, and your premium payment amount. This type of policy is best suited for someone with a high risk tolerance, who can afford to make larger payments if needed, and who is willing to monitor closely the policy's value. I hope that helps, thanks for asking!

Answer on Will Bad Credit Affect Car Insurance? by Jim Winkler

Jim Winkler — Mon, 07 Jul 2014 15:05:24 +0000

That is a great question! Unfortunately having bad credit can have an affect on your insurance rate. Many insurance companies look at your credit score and history to "determine" your level of trustworthiness and responsibility. The financial world is very interconnected, and having some blemishes on your credit can have effects in all kinds of unexpected ways. The good news? Often your credit rating isn't as bad as you think. I'd advise you to get a free copy of your credit report, and look at what you can do to clean it up, and improve it. More good news? They will look more at your driving record, car, and it's daily mileage than your credit rating. I hope that helps, thanks for asking!

Answer on What Is A Retirement Plan Advisor? by Jim Winkler

Jim Winkler — Mon, 07 Jul 2014 14:56:35 +0000

That is a great question! A retirement plan advisor is just exactly that - someone who helps you determine the plan for your retirement funding. You really want to be careful about the ones in your workplace, as many of them are paid to recommend specific mutual funds or plans by those fund companies. Always ask about the fees involved, and the expected returns. Check out your advisor as much as you can. Do your homework before you sign anything. If they seem more concerned with your money than with you, run. I hope that helps, Please contact me if you need more, okay? Thanks for asking!

Answer on How Many People Have A Retirement Plan? by Jim Winkler

Jim Winkler — Mon, 07 Jul 2014 14:51:13 +0000

That is a great question! The really short and really scary answer is not enough. And of those who do, the majority have found that it is nowhere near enough. The average retirement fund has enough to provide for three years of current standard living, but the average lifespan after retirement is fifteen years. What is going to happen those last twelve? Add to that the rising costs of skilled care, (70% of Seniors will require some at one point) and even the little savings disappear quickly. Unfortunately, we don't emphasize teaching people about retirement preparation, and as a result, 55% of our Seniors live in poverty, and depend upon public programs that will soon be bankrupt to survive. I sincerely hope that isn't you, one day. If you are afraid it is, please contact me. Thanks for asking!

Answer on Is Life Insurance Exempt From Creditors In Kentucky? by Jim Winkler

Jim Winkler — Mon, 07 Jul 2014 14:44:49 +0000

That is a great question! This is one of those cases where planning ahead can save you a ton of worries later. To avoid the hounding of creditors, the proceeds must be left to a named beneficiary. That beneficiary must not be a legal partner to the debt in question, not co-signed, or otherwise legally obligated. Creditors will try to make you think that you have to pay anyway, in hopes that you will, but as long as there are no strings that tie you to that debt, it passes with the loved one. Thanks for asking!

Answer on Is Term Life Insurance Renewable? by Jim Winkler

Jim Winkler — Mon, 07 Jul 2014 04:02:00 +0000

That is a great question! You will need to look at your individual policy to see if there is a renewability option. Some term policies will have them, and some will not. If your policy does, there will be a chart in your policy with a bunch of dollar amounts that increase dramatically each year after your policy reaches it's term. The premiums will normally increase by around 110%, and they get unaffordable fast. I hope that helps, thanks for asking!

Answer on What Kind Of Life Insurance Does Dave Ramsey Suggest? by Jim Winkler

Jim Winkler — Mon, 07 Jul 2014 03:57:13 +0000

That is a great question! Dave Ramsey believes that there are some kinds of insurance policies that you definitely should carry, but Life insurance is not necessarily one of them. I believe that his take is that if you have done your finances right, there is no need for life insurance, you pay your funeral costs out of a cash fund set aside for it. You cover debts with short term policies if needed. I agree with a lot that he suggests, but I'm not sure that I agree with this one. Who has a savings account big enough to cover your missing income, and cover your final expenses that won't get touched? Certainly not the majority of Americans. A recent study showed nearly 60% of Americans have less than $3000 savings. Life insurance makes sense for them. Thanks for asking!

Answer on Can I Get Life Insurance Without A Job? by Jim Winkler

Jim Winkler — Mon, 07 Jul 2014 03:50:25 +0000

That is a great question! There are companies that don't ask what your employment status is, and that won't blink an eye, as long as you are making on time premium payments. Be aware that insurance is like your car , miss a couple of payments, and *poof* your car is gone. The money that you sink into the policy does too. Thanks for asking!

Answer on Do You Need A License To Sell Life Insurance In Illinois? by Jim Winkler

Jim Winkler — Mon, 07 Jul 2014 03:43:36 +0000

That is a great question! Every state requires an agent that wishes to do business in their State to be licensed, so the answer is yes. You can be licensed in several States, but you have to do them individually, and pay the requisite fees for each. Some may require testing, others won't. I hope that helps, thanks for asking!

Answer on Can I Buy Life Insurance For My Parents? by Jim Winkler

Jim Winkler — Mon, 07 Jul 2014 03:40:07 +0000

That is a great question! You certainly can, if you can do three things: First, they have to agree, and understand what you are asking them to do. Secondly, they have to sign off on it, as it is a legal document. Lastly, you have to be able to show the insurance company that there would be a loss to you should your parents pass. That is usually the easy part. I hope that helps, thanks for asking!

Answer on How Does Return Of Premium In Life Insurance Work? by Jim Winkler

Jim Winkler — Mon, 07 Jul 2014 03:35:58 +0000

That is a great question! These policies are about as close to a "no lose" policy as you can get. The way they work is that the term policy that you purchase has a built in expense that guarantees that when your policy reaches it's end date, that you can get back most of the premiums that you paid into the policy over its life. They deduct a fee, usually, and send you a check for the rest. Not a bad deal! Thanks for asking!

Answer on Who Governs Life Insurance Companies? by Jim Winkler

Jim Winkler — Mon, 07 Jul 2014 03:32:17 +0000

That is a great question! There are several Government bodies that regulate some or all of an insurance companies dealings. The SEC watches over securities and variable annuity transactions, FINRA is a watchdog, and the States all have Departments of Insurance that monitor our activity. The States' insurance commissioners are also part of a national group. There are a lot of eyes on our insurance money, and where it goes. Thanks for asking!

Answer on Will Medicare Go Bankrupt? by Jim Winkler

Jim Winkler — Mon, 07 Jul 2014 03:26:22 +0000

That is a great question. The answer is yes, if our government doesn't do something about it very soon. The Affordable care Act (Obamacare) made cuts in the overhead costs, added fines for medical providers who had bad rates of returning patients, and increased the fraud departments, and these cuts were supposed to extend the life of Medicare/Medicaid another 5 years or so. I believe the last estimate was to mid 2020's. But with nearly 10,000 Seniors turning 65 every day and the workforce not paying enough into the fund to cover expenses, it's anyone's guess if it makes it that far. And as a quick bit of trivia, Social Security is projected to go belly up just shy of 5 years later, a move that some economists say will increase the poverty rate in America by nearly 500%. That's scary stuff, when you realize that 55% of Senior Citizens already live at or below poverty levels ( 2012 Census data). Thanks for asking!

Answer on Can One Borrow Against A Term Life Insurance Policy? by Jim Winkler

Jim Winkler — Mon, 07 Jul 2014 03:18:24 +0000

That is a great question. There are two reasons why term life insurance is so cheap. The first is that statistically, they rarely have to pay out, and the second is there are very few moving parts to this type of policy. These policies are straight forward, no cash, end at the designated time policies, so there is nothing in it to borrow from. I'm sorry if that wasn't explained to you when you purchased the policy. Thanks for asking!

Answer on Is It Smart To Get Life Insurance? by Jim Winkler

Jim Winkler — Mon, 07 Jul 2014 03:12:26 +0000

That is a great question! There are a whole lot of really good reasons why you would want to get a life insurance policy. Since you are asking, I'm betting that you've looked into it a little, and have heard people speak both ways about it. I tell all my clients the same thing : unless you've got a designated fund that you know that you wont touch set aside for your final expenses, and for the replacement of your income, it is a good thing to have. I hope that helps, thanks for asking!

Answer on Does Term Life Insurance Build Cash Value? by Jim Winkler

Jim Winkler — Thu, 03 Jul 2014 17:48:43 +0000

That is a great question! There is a reason why term life policies are so cheap, and a reason why you should know exactly what these policies are best designed to do. There is no cash value in a term life policy, as your premium is designed to only cover the cost of the insurance. The policy reaches its term and ends, and you walk away, or pay dearly to renew. This can be a real issue when you learn that the policies advertised so heavily by companies like AARP and AAA are term policies that end when the policy holder turns 80. I hope that helps, thanks for asking!

Answer on What Is Key Person Life Insurance? by Jim Winkler

Jim Winkler — Thu, 03 Jul 2014 17:33:07 +0000

That is a great question! If you are an invaluable part of your companies success, I'd not be surprised to hear that they have a key person policy on you! This type of policy is purchased by an employer, or business partner when the loss of that employee would have a great impact on the financial stability of the company. For example, let's say that you are a mechanic that specializes in repairing imported sportscars, you are really good at it and have developed quite a lot of clients that come to you, and your company relies heavily on that income you generate. They may take out a policy for the event that you pass, and the business suffers financially from the loss of your clientele until they find a replacement for you. The company is the owner, the beneficiary, and pays the premiums in this type of policy. I hope that helps, thanks for asking!

Answer on How Does Life Insurance Test For Smoking? by Jim Winkler

Jim Winkler — Thu, 03 Jul 2014 16:58:10 +0000

That is a great question! In the case of you purchasing a policy for a larger face value, the insurance company will send out a para-med who will take samples or swabs from you to test for the markers of nicotine use. In the case of a smaller face value policy, there will be a question on your application, and then subsequent ones relating to smoking related diseases. If at some point the company has reason to believe that your answers during the application process are less than truthful, they may elect to deny or delay your payment on those grounds. The best thing to do is quit smoking, or find a company that is lenient with their tobacco rules, or one that doesn't ask at all. They exist, and a good agent can find one for you. I hope that helps, thanks for asking!

Answer on Will an insurance company pay if cause of death is gunshot wound and manner is undetermined after the 2 year constabulary period in a case that was clearly a suicide? by Jim Winkler

Jim Winkler — Thu, 03 Jul 2014 16:52:06 +0000

That is a great question! I am sorry for your loss, let me say that first...you are obviously aware that there is the two year cooling off period, and that it has passed, so I am going to assume that the company is dragging its feet about paying for some other reason. My guess would be that they are looking for evidence that will show that the death was a result of some form of criminal activity, or that there was some form of illness that wasn't properly disclosed on the application. In both cases, if there is something on the policy application that was signed off on ( and many policies will state that they will not pay out if the death occurs as a result of criminal activity, or fraud on the application) that they could use, they may be waiting on a more definitive answer from the police or coroner. I do not know the specifics of your case, nor anything about your insurer, so bear in mind that this is just guesswork on my part, and in no way infers, implies, or suggests any wrongdoing on the part of you, your loved one, or the insurance company. Just searching for an answer to your question. Thank you for asking.

Answer on What Are Life Insurance Fees? by Jim Winkler

Jim Winkler — Thu, 03 Jul 2014 16:42:51 +0000

That is a great question! Insurance policies all carry some amount of fee built into the cost of your premium. Some of those fees are applied to pay the agent for the commission they are paid, some are for administrative costs, and some are to help ensure that the company makes it's profit. Riders, or extra perks added to your policy will inevitably increase the cost of those fees, so be aware. I hope that helps, thanks for asking!

Answer on When Should I Get A Life Insurance? by Jim Winkler

Jim Winkler — Thu, 03 Jul 2014 16:39:34 +0000

That is a great question! Life insurance is one of those things where the younger you are when you get it, the cheaper it will be. I pay $5 a month for the policy that my Dad bought for me when I was a child. If I were to purchase the same policy today, I guarantee you I'd pay a whole lot more. My practice is to advise protecting yourself and your children by purchasing a policy at as young an age as possible. Children unfortunately pass, or develop illnesses that can be devastating financial hardships, or prevent them from getting affordable insurance later in life. I hope that helps, if you'd like more detail, please drop me a line. Thanks for asking!

Answer on Why Is Universal Life Insurance Bad? by Jim Winkler

Jim Winkler — Thu, 03 Jul 2014 16:34:22 +0000

That is a great question! I believe that any life insurance is better than no life insurance, so even a universal policy can be a good thing. That said, am I a big fan of them? No, I'm not, and here's why. Term and whole life policies are very simple, straight forward policies. You pay a set premium, at set times, and the end date is clearly defined as the end of the term, or when you pass. Universal policies are not so clear, and often lead to trouble for the buyer, if they are not clearly shown what has to happen for this type of policy to work. There are many moving parts, and this type of policy is not one that you can buy and throw into your drawer and forget about, unless you like surprises. If you would like to see if this policy would be a good fit for you, please feel free to contact me, and we'll go over it. Thanks for asking!

Answer on How Is Life Insurance Used? by Jim Winkler

Jim Winkler — Thu, 03 Jul 2014 16:26:53 +0000

That is a great question! The best answer? However your beneficiaries want to use it. The death benefit is paid tax free to your beneficiary, and unless you have communicated an express desire as to what you want it used for, they can do as they wish with the funds. I hope that helps, thanks for asking!

Answer on Can I Borrow Against My Life Insurance? by Jim Winkler

Jim Winkler — Thu, 03 Jul 2014 16:24:35 +0000

That is a great question! If the following things are in place, then yes, you certainly can. - It must be a whole life policy. Term life policies have no cash value to borrow from, it's part of the reason they are so cheap. - you must be the owner of the policy. - the policy must be in force for a few years. Typically, the first 2-3 years of your policy's life the cash value is very small, as the premiums paid cover the cost of the insurance for the company. - the amount that you borrow falls within the limits set by the policy. Many companies will limit the amount that you can borrow, to limit the risk that the loan balance with interest does not allow the policy to go belly up. If you can meet all of these criteria, than chances are very good that you can have a tax free check in your hands in just a couple of days! Thanks for asking!

Answer on Does The Army Give You Life Insurance? by Jim Winkler

Jim Winkler — Thu, 03 Jul 2014 16:18:00 +0000

That is a great question! If you are in the Armed forces, it is virtually impossible to get life insurance through a normal life insurance carrier. Being likely to see combat, or even be in an area where hostilities are likely is enough to scare off the risk averse insurer. Fortunately the Government offers life insurance through SGLI, Servicemembers' Group Life, so you can be taken care of. I hope that helps, thanks for asking!

Answer on Who Is The Owner Of A Group Life Insurance Policy? by Jim Winkler

Jim Winkler — Thu, 03 Jul 2014 16:13:53 +0000

That is a great question! In the most common scenario's, the owner of the group life policy is the employer or entity that offers the insurance to you. At work, your group life plan offered in your benefit package will list your immediate employer, or the parent company of your employer as the owner ( so KFC may list KFC, or they may list Yum Foods, or they may list Pepsi, depending upon who purchased the policy). Some charitable organizations will also offer benefits, and the charity or its trustees are generally the owners. Think of it as like you owning the policy for your child, though they've become old enough to start paying for some of the premium. I hope that helps, thanks for asking!

Answer on Who Doesn’t Need Life Insurance? by Jim Winkler

Jim Winkler — Thu, 03 Jul 2014 16:06:19 +0000

That is a great question! There is a school of thought out there, (Dave Ramsey for example) that believes that you do not need life insurance. They are right, if you can do the following things: - have sufficient funds available that your spouse or children can live comfortably without your income - that your final expenses are not a financial burden to your spouse or children -that your estate taxes are not going to be a financial burden to your spouse or children -that you have no desire to leave a tax free legacy for heirs or charity. If you can do those things, you really don't have a need for life insurance, according to that school of thought. I personally believe that everyone should have a policy. I hope that helps. Thanks for asking!

Answer on Can I Get Life Insurance If I Am Overweight? by Jim Winkler

Jim Winkler — Thu, 03 Jul 2014 16:00:06 +0000

That is a great question! Being overweight definitely increases your risk of having serious health issues, so insurers are definitely going to pay more attention to your application. Fortunately, there are several companies that do not ask about your weight, ( though they will ask about weight related diseases, like diabetes and hypertension) and in a worst case scenario, several that don't ask any questions at all. If you contact a good independent agent (one not tied to a single brand name) we can walk you through finding a policy that fits you, and is affordable. Thank you for asking!

Answer on Is Life Insurance Portable? by Jim Winkler

Jim Winkler — Thu, 03 Jul 2014 15:55:41 +0000

That is an excellent question! I am really glad that you asked. Many people believe that because they have a life insurance policy through their employer that they are fine. Unfortunately, if they lose the job, they find that they also are no longer insured. A policy purchased outside of the workplace remains, even when you take another job. It's "portable", in the sense that it "travels" along with you. I hope that helps, thanks for asking!

Answer on Where To Buy Universal Life Insurance? by Jim Winkler

Jim Winkler — Thu, 03 Jul 2014 15:51:49 +0000

That is a great question! Most companies that sell term and whole life insurance will also sell universal life insurance policies. I'd like you to really make sure that you understand how these policies work before you purchase one, though. these are not simple, straight forward policies like term or whole life policies are. They are complicated, and have much greater risk than the other two. Look at what the rates of advertised returns are, and ask the agent what the historical returns have proven to be - if they don't know, or seemed surprised you asked, bail. Contact me, if you'd like more information on why this may or may not be a good fit for you, okay? Thanks for asking!

Answer on What Is Single Premium Life Insurance? by Jim Winkler

Jim Winkler — Thu, 03 Jul 2014 05:11:20 +0000

That is a great question! Unlike a regular insurance policy, where you would make regular payments, either monthly, quarterly, semi-annually or annually, in a single premium life insurance policy, you make one large payment, and then no more. These policies are generally going to earn some interest, and pass tax free to your beneficiaries. This type of policy is great if you want to move large amounts of your estate to heirs without any tax consequences. I hope that helps, thanks for asking!

Answer on How Hard Is It To Get Life Insurance? by Jim Winkler

Jim Winkler — Thu, 03 Jul 2014 05:06:51 +0000

That is a great question! Getting a life insurance policy is surprisingly easy - even for people that have significant health issues. Many companies will offer policies that ask no health questions at all, and only require proof of identity, and up to date payments to stay in force. There are policies in every price range, and every size. If you would like help finding a policy that works for you, please feel free to contact me, I'm happy to help. Thanks for asking!

Answer on Can A Life Insurance Beneficiary Be A Minor? by Jim Winkler

Jim Winkler — Thu, 03 Jul 2014 05:03:14 +0000

That is a great question! It will depend upon the insurance companies rules. I have worked with some that will not allow a minor without guardianship or an established trust fund to be named as a beneficiary. Others are not so particular, but it may not be in your best interests to allow it. Often there are problems legally transferring funds to minors, and unless the guardian or trust is established, the money gets held up needlessly. Check with your State laws concerning minors, and then with your agent, and see if that can even be done. I hope that helps, thanks for asking!

Answer on When Does Life Insurance Not Pay Out? by Jim Winkler

Jim Winkler — Thu, 03 Jul 2014 04:53:45 +0000

That is a great question! there are only a very few reasons why your policy would not pay out. The first would be that your policy was a term life policy, and you outlived the term ( AARP and AAA offer this type of policy, and they end at the age of 80, so if you live to be to 80 and a day , you won't get paid). Another reason would be that somewhere along the line there were missed payments, and the policy lapsed. In that case, the coverage ends also, and you will not get paid. Another reason would be if it was determined that your answers on your application were less than truthful, and that was discovered. In that case, your policy would be terminated, and you would not get paid. The last reason for many companies is the clause that says that the policy won't pay if your death was a result of the commission of an illegal act. For example, if you were killed in a high speed drunken driving accident, and your policy contains that clause, it is likely that you won't get paid. The same is true for most policies and suicides, if they are committed in the first two policy years. In virtually every other case, you will get paid. I hope that helps, thanks for asking!

Answer on How Much Is Health Insurance Without A Job? by Jim Winkler

Jim Winkler — Thu, 03 Jul 2014 04:43:38 +0000

That is a great question! The Affordable Care act (Obamacare) created marketplaces where you can go to shop for a health insurance policy. These marketplaces are also set up to offer subsidies to those who qualify. In a number of cases the cost of a policy offered with subsidies in the marketplace was equal to or less expensive than the employer offered policy. It is wise for you to shop and see for yourself which would be the better option for you. I hope that helps, thanks for asking!

Answer on Does A Retired Person Need Life Insurance? by Jim Winkler

Jim Winkler — Thu, 03 Jul 2014 04:37:18 +0000

That is a great question! You might wish to have life insurance if there is a chance that your loved ones will not be able to live comfortably without the income that you provide. You might also wish to have it if covering your funeral expenses might prove to be a problem. If you can afford to cover your expenses and your loved ones won't suffer from your missed income, then you might not need any. I hope that helps, thanks for asking!

Answer on How Much Does A New York Life Insurance Agent Make? by Jim Winkler

Jim Winkler — Thu, 03 Jul 2014 04:21:08 +0000

That is a great question! All insurance agents are paid off of what they sell, not off a steady paycheck. The commission payments are based on a percentage of the annual price paid for the policy, and the type of policy sold. Since the agents are paid on commission, the amount an agent will make is dependent solely on their work ethic, sales skills, and the products sold. Obviously that can vary quite a bit. I hope that helps, thanks for asking!

Answer on Can Employers Charge Smokers More For Health Insurance? by Jim Winkler

Jim Winkler — Thu, 03 Jul 2014 04:15:27 +0000

That is a great question! If you smoke, be prepared to pay higher premiums. The insurance companies are all about risk, and those that assess the risks that smoking has upon your health and life expectancy are going to charge you more because your risks are higher. I hope that helps, thanks for asking!

Answer on What Are Considered Pre Existing Conditions For Health Insurance? by Jim Winkler

Jim Winkler — Thu, 03 Jul 2014 04:12:07 +0000

That is a great question! A pre-existing condition is simply that - any medical condition that you had before you applied for the health insurance. Before the Affordable Care Act (Obamacare), insurers could deny you coverage if you had something that they deemed to be too expensive to treat. The Law took that exemption away, and also the maximum lifetime expense limits that insurers had set. I hope that helps, thanks for asking!

Answer on Is It Illegal To Not Have Health Insurance In New Jersey? by Jim Winkler

Jim Winkler — Thu, 03 Jul 2014 04:07:57 +0000

That is a great question! While it is not technically illegal to not have health insurance coverage, the Affordable Care Act (Obamacare) does impose penalties on those who choose to remain uninsured. The purpose behind having people insured is to greatly lower the costs of health care. When someone without insurance seeks medical care, the cost for that treatment is passed on to all the other people who seek treatment in the form of higher prices. Insuring them returns that cost to them, and the insurance company. Also adding more healthy people to the pool lowers costs, as there is more money going in, and less going out, lowering costs. I hope that helps, thanks for asking!

Answer on Is It Illegal To Not Have Health Insurance In Alabama? by Jim Winkler

Jim Winkler — Thu, 03 Jul 2014 04:01:00 +0000

That is a great question! While technically it is not illegal to not have health insurance, the Affordable Care Act (Obamacare) does impose a penalty for not having it. The longer you go uninsured, the bigger the fine. The idea behind having insurance is to lower costs for everyone. When someone without insurance goes to the doctor, they get treated anyway. The doctor just adds that cost onto everyone else's bill in the form of higher charges. Also, the more healthy people added to the insurance pool, the lower the costs for everyone. When only sick people buy insurance, the costs are much higher. I hope that helps, thanks for asking!

Answer on Is Investing In Annuities A Good Idea? by Jim Winkler

Jim Winkler — Wed, 02 Jul 2014 16:01:11 +0000

That is a great question! Annuities, like any investment have benefits and risks that can make them a great investment for you, or prove to ultimately not be. They are a great way to defer money to the future and ensure payments during retirement, but they can also require that the money used to fund them be left untouched for many years. If there is a chance that you may need that money before that period ends, then an annuity might not be a good investment for you. A good advisor or agent will sit down with you, and do what is called a "suitability" statement with you, and from that, determine if an annuity is a safe way for you to go. I hope that helps, if you have more questions, please feel free to drop me a line. Thanks for asking!

Answer on Can Life Insurance Check Medical Records? by Jim Winkler

Jim Winkler — Wed, 02 Jul 2014 15:55:08 +0000

That is a great question! Not only can they, but they absolutely do. In almost every policy that you apply for will be a paragraph or clause that states you agree to give your consent to the companies search of your medical history and prescription records. It typically will have a waiver for two years of your HIPAA rights, and will tell you that an inquiry will be made to the MIB (medical Information Bureau). This is done to protect them from people that may have forgotten their health history, or that may be less than honest in their answers when applying. I hope that helps, thanks for asking!

Answer on What Happens When You’re Late On Your Car Insurance? by Jim Winkler

Jim Winkler — Wed, 02 Jul 2014 15:48:18 +0000

That is a great question! Typically, if you are only a couple of days late, not much. The problems start when you are more than 20 days late, or are frequently late with your payments. Once your payment gets to be 30 days late, you are in serious risk of the policy cancelling, and then you are an uninsured driver, with all the penalties that go with that. You will also have trouble getting reinsured, and can expect to pay a much higher premium for a while. Frequently being late can have an adverse effect on your credit rating, and that means you can expect higher interest rates on your credit cards or no credit at all. I hope that helps, thanks for asking!

Answer on Who Is Required To Buy Health Insurance Under Obamacare? by Jim Winkler

Jim Winkler — Wed, 02 Jul 2014 15:43:36 +0000

That is a great question! Under the Affordable Care Act (Obamacare) everyone that qualifies for health insurance is required to have it. The idea of this is that it lowers costs for all, by increasing the risk pool ( before, it was common that the majority of people that purchased it were people with health issues, not healthy people), and reducing the number of people without insurance that were being treated and being paid for by taxpayers and healthy people who had to use the clinic or hospital that was passing along the cost. There are exceptions in the law, that will allow you to not have it, but they are very limited, and you have to be able to provide proof. I hope that helps, thanks for asking!

Answer on How Does An Auto Insurance Deductible Work? by Jim Winkler

Jim Winkler — Wed, 02 Jul 2014 15:37:49 +0000

That is a great question! Deductible, in insurance speak, is the amount of money that you need to pay before the insurance company pays their promised share. The idea is that if you have to pay a part first, it is an incentive for you to be more careful and avoid claims that would cost you money. The amount of your premium payment hinges in part upon the deductible that you choose. The more you are willing to pay, the less you monthly payment is, as a rule. The lower your deductible, the more the insurance company has to pay, so the higher your payment. The trick is to find a balance between what you can afford to pony up for your deductible vs. the monthly cost of the policy. I hope that helps, thanks for asking!

Answer on What Are The Risks Of A Fixed Annuity? by Jim Winkler

Jim Winkler — Wed, 02 Jul 2014 15:31:29 +0000

That is a great question! I'm pleased to hear you ask it, as it is really important to understand the risks of investing before you make that investment. The good thing about a fixed annuity is that you know exactly what your return will be. The risk lies in what if that interest rate you will receive does not keep up with inflation over the life of the annuity? Inflation is best described in the amount of rising costs you pay for everyday things. If your annuity pays 1%, but the price of milk and gas goes up 3%, yes, you will have an increase of 1% in your annuity value, but it will only pay for 98% of what it would buy today. You would in effect be losing 2 cents on every dollar you put into the annuity. It is important to work with a good advisor, who can help you find an annuity that will give you a rate that is sufficient, or that provides built in adjustments. If you need help, please feel free to drop me a line, okay? I'm happy to help. Thanks for asking!

Answer on Where To Invest 401K After Retirement? by Jim Winkler

Jim Winkler — Wed, 02 Jul 2014 15:23:18 +0000

That is a great question! A really great question, and if there were just one great answer, everyone would be doing it, and there would be no seniors living in poverty (55% of all Seniors live at or below poverty level, according to the 2012 Census). To give you an answer that would work for you, I'd need to know what assets you have, where they are located, how liquid they are, what your risk tolerance is, what your retirement goals are, how your insurance protection is, your health and your spouses health status, and more. To give you a generic answer? Somewhere where the bulk is protected yet fairly liquid, with the opportunity to draw a steady income from in the best tax advantaged way. If you would like to contact me with more specifics, I'd be happy to give you some better advice. Thanks for asking!

Answer on When To Do A Roth IRA? by Jim Winkler

Jim Winkler — Wed, 02 Jul 2014 15:16:52 +0000

That is an excellent question! I am pleased to hear of your interest, as a Roth IRA is a terrific way to save for retirement. I cannot advise you strongly enough to start saving for retirement as soon as possible. Yesterday is not soon enough. Conventional wisdom says to retire at your current standard of living, you will need to save 8-10 times your current salary. Please start one soon, and if possible, contribute as much of the annual $5500 that you can ($6500 if you're 50+). I hope that helps - thanks for asking!

Answer on Can You Own A Home Without Homeowners Insurance? by Jim Winkler

Jim Winkler — Wed, 02 Jul 2014 15:12:50 +0000

That is a great question! A better one might be why would you want to? The amount that you would pay for the policy will be far less than what it would cost you should something happen to your home, and you were out of the value of the home, and its contents. I suppose that if you are very very wealthy, and can afford that kind of loss, that you could save the money for the policy, and spend it somewhere else. I hope that helps, thanks for asking!

Answer on Is Insurance Higher On A Red Car? by Jim Winkler

Jim Winkler — Wed, 02 Jul 2014 15:08:28 +0000

That is a great question! I think that you are hearing an urban legend at work. Typically the rate will depend a whole lot more upon the car -its make, model and year - much more than its color. A sports car or an import will generally cost more than a sedan will, regardless of the color. I hope that helps, thanks for asking!

Answer on Can You Cash Out Life Insurance? by Jim Winkler

Jim Winkler — Wed, 02 Jul 2014 15:04:25 +0000

That is a great question! If your policy is a whole life policy, then yes, you can. If it is a term life policy, ( like AAA or AARP offer) then you cannot, as they have no value to them, unless you die and they pay out. The money you can collect from your whole life policy will be reduced by fees and any outstanding loans that you may have, so you know. I'd strongly recommend that you discuss your reasons for cashing out the policy, there are a lot more reasons why you shouldn't than there are for doing it. I hope that helps, thanks for asking!

Answer on How Does Life Insurance Make Profit? by Jim Winkler

Jim Winkler — Wed, 02 Jul 2014 15:00:23 +0000

That is a great question! Insurance companies make profits much like banks do. They make money off of the products that they sell - all of the policies or annuities will have fees attached to them, that they can profit from. They also make money off the investments that they make while holding your money. They invest in things, just like we do. They can also make money by selling off or buying corporate assets, or divisions, much like corporations do. I hope that helps, thanks for asking!

Answer on What’s My Life Insurance Policy Worth? by Jim Winkler

Jim Winkler — Wed, 02 Jul 2014 14:55:55 +0000

That is a great question! There are two values to your policy. Your policy has a short term worth, and a future worth. The short term worth can be measured by the cash value ( if any ) that your policy has generated. This is the amount of money available for you to use should you need to use it, or that the company would return to you, (minus fees) should you surrender the policy. The future value is the amount of the death benefit, or face value, of the policy. This is the amount that would be paid to your beneficiary. There is also an emotional value, difficult to put a value on, and that is the peace of mind knowing you've protected your loved ones. Thanks for asking!

Answer on Why Do Life Insurance Policyholders Lapse? by Jim Winkler

Jim Winkler — Wed, 02 Jul 2014 14:47:47 +0000

That is a great question! There are a couple of common reasons I've found for why most policies lapse. The most common is that people no longer can afford the policy, and so just stop paying it. This is unfortunate, as often they leave cash in the policy that could have been theirs. Another common reason is that the person who had been paying the premium passes, and no one knew the payments weren't being made. I've seen this far too many times when a parent or spouse has passed, and the insured receives a notice of cancellation. The last is poor record keeping. People switch bank accounts, and forget to notify the insurance company, which tries to draw payment off the closed account, and the policy lapses. I hope that helps, thanks for asking!

Answer on How Long Can Children Be On Parents Health Insurance? by Jim Winkler

Jim Winkler — Tue, 01 Jul 2014 04:06:27 +0000

That is a great question! The Affordable Care Act (Obamacare) extended the length of time your kids can be covered to the age of 26. It was extended to help cover college kids who may otherwise not have been able to afford care. If your child is working, and their employer offers health insurance coverage, they may be obligated to sign up for that coverage, and be dropped from yours. Check with your agent, and see if that is the case for you. Thanks for asking!

Answer on Is Pre Existing Condition Covered By The Health Insurance? by Jim Winkler

Jim Winkler — Tue, 01 Jul 2014 04:02:33 +0000

That is a great question! One of the best things about the Affordable Care Act ( Obamacare) is that it banned health insurers from using the pre-existing condition exclusion any longer. It also removed the life time cap on payments that insurers had applied. While you can no longer be denied coverage, it is wise to shop your policy options, as not all policies will provide the same coverage and treatment plans. Once you have discussed with your care providers what to look for in your health plan, I recommend that next enrollment period you head to the healthcare.gov website, and shop for your policy there. Another great perk of the ACA is the subsidies that many people qualify for. Good luck, and thanks for asking!

Answer on What Role Will HIPAA Play In The Future Of Health Insurance? by Jim Winkler

Jim Winkler — Tue, 01 Jul 2014 03:56:28 +0000

That is a great question! I cannot see any way in which the Act will change. The protection of your privacy and information since the Patriot Act made it a priority to protect them has not lessened, if anything, it has become more of a focus. None of the other provisions were affected by the Affordable Care Act (Obamacare) in any noticeable way. I hope that helps - thanks for asking!

Answer on Is Neighbor Responsible For Fixing My Car If A Rotten Tree Of His Fell On It? by Jim Winkler

Jim Winkler — Tue, 01 Jul 2014 03:42:22 +0000

That is a great question! You've got a troublesome situation on your hands, Do you have proof that the tree was rotten, and proof that the neighbor was aware? Hopefully your neighbor will be good about it, and submit the claim for your damage without any fuss, but if he doesn't, you are probably going to have to go the route of having your insurance company fight for the claim, or take him to court. If the fault can be proven to be the neighbors, you should come out ok. Good luck, and thanks for asking!

Answer on How Much Home Insurance Do I Really Need? by Jim Winkler

Jim Winkler — Tue, 01 Jul 2014 03:37:16 +0000

That is a great question! Your question is a really good one, as it really speaks to the balance of affordability and adequately covered. Your insurer will have a program that estimates the value of your belongings. If you own an expensive collection, or have high end electronics or jewelry, that value may not be covered. Take some time and research what the value of those items are, if that is the case for you. Find out what it would cost to replace it, or if you have the receipts, what you paid. Contact some local builders, and find out what it would cost to build a home like yours Do not include the cost of the land, unless it's landscaped, or forested). Compare those amounts with what you have for your coverage. If the opposite is true, and you haven't got a lot of stuff, go low, and increase your coverage as you add to your belongings. I hope that helps - thanks for asking!

Answer on Does Homeowners Insurance Cover House Shifting? by Jim Winkler

Jim Winkler — Tue, 01 Jul 2014 03:28:37 +0000

That is a great question! Unfortunately, the answer probably is not. As a rule, most houses will settle slightly, but not enough to cause major damage, so it typically isn't a named coverage. In places where landslides or earthquakes are a risk, then those dangers get coverage either as riders added to your policy, or as separate policies altogether. About the best thing that I can tell you is to contact your agent, and have them tell you whether you are covered or not. Good luck, and thanks for asking!

Answer on What Is Servicemen Group Life Insurance Coverage? by Jim Winkler

Jim Winkler — Tue, 01 Jul 2014 03:24:02 +0000

That is a great question! Regular life insurance companies will not insure anyone that is in the military, or in an area where military action is likely. Insurance companies are all about the risk of loss, and being in the military greatly increases that risk. As a result, the federal Government offers life insurance for the members of the military, so that their families can be protected also. That is what Servicemen Group Life is. I hope that helps. Thanks for asking!

Answer on Is Life Insurance Settlement Taxable Income? by Jim Winkler

Jim Winkler — Tue, 01 Jul 2014 03:20:08 +0000

That is a great question! One of the main reasons to purchase a life insurance policy is the tax free benefit that is received by your named beneficiaries. If you've named beneficiaries on your policy, as a rule, the benefit will not be taxed. There can be tax issues if no beneficiary has been named (or they've passed) and the payment goes into the deceased's estate, especially if that estate is a sizeable one. Thanks for asking!

Answer on Is Long Term Care Insurance A Smart Buy? by Jim Winkler

Jim Winkler — Tue, 01 Jul 2014 03:15:17 +0000

That is an excellent question! I read a study recently that cited the statistic that 70% of senior Citizens will require some form of long term care after retirement. I recommend that you look at your retirement fund. Do you have enough to cover if one or both of you need to be placed in an assisted care facility? Budget between $6-8,000 per month for each of you. If you can cover comfortable living for yourselves, and cover those costs if need be, then you probably don't. If it may be an issue, then perhaps it is a wise decision to look into a policy. It is a tragedy when I speak with folks whose retirement nest egg was gobbled up by an illness like Alzheimer's, or the care needed after a stroke. Please contact me if you would like to discuss this further, okay? Thanks for asking!

Answer on Does Home Insurance Cover Wildfires? by Jim Winkler

Jim Winkler — Tue, 01 Jul 2014 02:57:46 +0000

That is a great question! In most areas of the country, a fire that destroys or damages your home would be covered under your homeowners policy. Fire was the original reason that homeowners policies really became popular. In those areas of the country where wildfires are more of a hazard, it may not be. Many companies in those areas will only add wildfire coverage as a rider, or a separate policy, in much the same way that flood damage isn't included in many coastal areas. The coverage has to be purchased as a flood insurance policy. Check with your agent to find out if your policy does, or doesn't cover you. Thanks for asking!

Answer on How Much Is Accidental Life Insurance? by Jim Winkler

Jim Winkler — Tue, 01 Jul 2014 02:52:42 +0000

That is a great question! Accidental Death insurance is very inexpensive, because like term life policies, they very rarely have to pay out. The best reason to have an accident policy is if you work in a situation where accidents and injuries are common. As an inexpensive addition to your life insurance, if you were to be killed in an accident, your payout would be much larger than what just life insurance would pay. That said, I wouldn't recommend it in any way as a replacement for a life policy, and I'd ask you to look very carefully at what the company defines as an "accident". Thanks for asking!

Answer on What Does Immediate Annuity Mean? by Jim Winkler

Jim Winkler — Tue, 01 Jul 2014 02:47:18 +0000

That is a great question! There are two types of annuities - deferred and immediate. Deferred annuities take the initial deposit, and promise an interest rate for a certain number of years, and after the passage of a determined number of years, starts to pay out monthly. An immediate annuity takes your deposit, and very quickly starts to pay it back to you in monthly payments. Both types are designed to provide income for a determined amount of time. I hope that helps, if you would like more information, please contact me, okay? Thanks for asking!

Answer on Where To Open A Roth 401K? by Jim Winkler

Jim Winkler — Mon, 30 Jun 2014 16:15:14 +0000

That is a great question! You can first check with your employee benefit plan, and see if the company offers it as an option. If they don't, there are many financial institutions that will offer them, banks, credit unions, etc. You will want to shop and find the best one for you. A Roth IRA is a great thing to have, and I'm pleased to see that you are looking into one. If you need help, please feel free to contact me, okay? Thanks for asking!

Answer on Is Life Insurance A Good Retirement Investment? by Jim Winkler

Jim Winkler — Mon, 30 Jun 2014 16:11:15 +0000

That is a great question! I am often asked this question, and I give the same answer each time - there is a lot of confusion between investments, and life insurance. A good financial plan has two parts, protection, and income builders. Your investments, things like stocks, bonds, annuities, money markets, IRA's, etc. are hopefully building your income. Things like insurance and your emergency savings account are protections against unexpected or expected losses ( hospital bills, accidents, death, etc.). A life insurance policy is therefore not truly an investment, as it only returns when you pass, and therefore is of no value to you, unless it was purchased to offset estate taxes. There are policies out there that are hyped as income building, but if you read the fine print, there are a lot of things that can keep that from happening. ( I do not sell any of them, for that exact reason. I prefer that you keep your money safe.) Life insurance is an investment in the financial life of those you leave behind, and in your peace of mind. I hope that helps, thanks for asking!

Answer on How Can Life Insurance Be An Investment? by Jim Winkler

Jim Winkler — Mon, 30 Jun 2014 16:00:18 +0000

That is a great question! I think that there is a lot of confusion about investments and life insurance. Life insurance is a very important part of a healthy financial plan, but should not be considered as an investment in a technical sense. Let me explain it like this: A healthy financial plan is composed of two basic parts - income builders, and protections. Your income builders are hopefully your stocks, 401k's, annuities, bonds, etc. The protectors are your insurances, and emergency savings account. You will not derive any income in most cases from any insurance policy ( There are policies that are hyped as revenue building, but carefully read the fine print, and you will see that often the gains are built on optimistic returns, and large investments on your part, and have a substantial risk attached) as you will no longer be around to receive it. It will provide that income to whomever you chose as your beneficiary. So the only fair way to describe life insurance as an investment is to say that it is an investment in your loved ones' financial safety, and in your peace of mind knowing that you've protected them from harm, even after you've passed. I hope that helps, thanks for asking!

Answer on When Should I Drop Life Insurance? by Jim Winkler

Jim Winkler — Mon, 30 Jun 2014 15:49:17 +0000

That is a great question! The answer really depends upon why you would want to. There are policies that end on their own, and to renew them becomes really expensive really quickly, and if that is the case for you, let your term policy expire, and don't renew it. If your case is that you've found a cheaper whole life policy, drop the old policy as soon as the new policy becomes effective. If it's a matter of affordability, maybe a better solution is to call and have your coverage reduced ( lowering your premium payment) and allowing you to keep the policy. If you are needing money, maybe taking out a loan on the policy is wiser. If I can help you further, please feel free to contact me, okay? Thanks for asking!

Answer on Where Is Car Insurance Mandatory? by Jim Winkler

Jim Winkler — Fri, 27 Jun 2014 23:30:56 +0000

That is a great question! Car insurance is required in almost every State in America. Even in the ones that don't, you have to be able to prove that you can pay for damages caused in an accident. If you are looking for the state with the least requirements, it used to be New Hampshire, but that may have changed since I lived out east. It is safe to say that it is required almost everywhere that you can go. It makes sense to have it, and can be devastating to you if you don't. Thanks for asking!

Answer on Which Of The Following Is A Common Misconception About Retirement Planning? by Jim Winkler

Jim Winkler — Fri, 27 Jun 2014 22:53:16 +0000

That is an interesting question! I'd list as choices to pick for answers to your question: A.) I need to start saving for retirement when I am 30 - or so. B.) I will get enough social security, disability, and Medicare that I really won't need to save C.) I need to save enough to last 10 years D.) I need to have at least a years salary put away to be good E.) All of the above Which answer would you choose? Contact me for the one I'd choose, and why. Thanks for asking!

Answer on Why Do We Have Life Insurance? by Jim Winkler

Jim Winkler — Fri, 27 Jun 2014 22:47:52 +0000

That is a great question! The simplest reason is to provide protection from debt for those that we leave behind. Whether that is the debt from our final expenses ( funeral, plot, headstone, etc.), from the loss of our income and the hardships that would create, or both, life insurance is a way to do that. It is a way to show love for those we leave behind. I hope that helps - thanks for asking!

Answer on How To Plan For Retirement At 30? by Jim Winkler

Jim Winkler — Fri, 27 Jun 2014 22:43:38 +0000

That is a great question, and I'm really glad that you didn't wait any longer to ask it! The first step would be to meet with an advisor to look at where you stand financially right now. Once you've looked at where you are, you want to decide where you want to be. What are your goals for retirement? Travel? Retirement home somewhere? These kind of goals help determine how to set up a solid plan for you. Depending upon where you are financially, you may need to change some of the things that you are doing now. Current wisdom says to live in retirement at the standard you are now, it will require that you have saved 8-10 times your current salary. I would strongly advise that you find someone that you trust to start the process for you, and the sooner the better. If you would like to discuss this further, please feel free to contact me, I'd be happy to make some time for you. Thanks for asking!

Answer on Is Term Life Insurance Worth It? by Jim Winkler

Jim Winkler — Fri, 27 Jun 2014 22:35:00 +0000

That is a great question! If used for the right purposes, a term policy is definitely a great choice. I would not recommend a term policy in some cases, but it is an ideal solution for protecting against a short term debt, or if you need coverage for a specific amount of time. I would like to speak with you about the reason you asked, please contact me, so I can answer you better. Thanks for asking!

Answer on How Much Should Life Insurance Cost? by Jim Winkler

Jim Winkler — Fri, 27 Jun 2014 22:26:00 +0000

That is a great question! The answer really depends upon you, and what you want the policy to do for you. Life insurance can cost less than $10 a month if purchased as a child, or several hundred dollars a month for large face values, or if you have health issues. Without more specific information about you, it is impossible to give you even a ballpark figure. If you would like to contact me , I'd be happy to go over this with you, and give you a better idea. Thanks for asking!

Answer on Can Husband And Wife Have Separate Auto Insurance? by Jim Winkler

Jim Winkler — Fri, 27 Jun 2014 22:20:24 +0000

That is a great question! You can, but there are usually circumstances that make it necessary for separate policies, since as a rule spouses are included as drivers on the single policy. It is easier for the insurer, and cheaper for you if you do. However, if a vehicle is used by one spouse strictly for business, and the other spouse is not a driver of that vehicle, it can happen that you have separate policies. If one spouse has a very poor driving record and has a last resort insurer it is also possible. If you just got married, and haven't yet consolidated the policies, it is also possible. I hope that helps - thanks for asking!

Answer on How To Find Car Insurance Quotes? by Jim Winkler

Jim Winkler — Fri, 27 Jun 2014 22:14:57 +0000

That is a great question! There are a million and a half internet sites wanting to give you a quote, and you are welcome to try any of them. My advice though is to seek out a live agent. Internet sites aren't going to be as quick when you need help. Look first at the company that you have your life or homeowners insurance with, often there are discounts available for bundled services; these agents are also much more likely to take care of you, as you're already a customer. I hope that helps - thanks for asking!

Answer on Does home insurance cover fire? by Jim Winkler

Jim Winkler — Fri, 27 Jun 2014 22:09:50 +0000

That is a great question! I sincerely hope that you are just asking, and don't really need to know. One of the original reasons for homeowners insurance was to protect against the far too common danger of kitchen or heating fires. It is still one of the main points of your policy. If you are the unfortunate victim of a fire, your policy will pay, in almost every single case. I hope that helps - thanks for asking!

Answer on Does Medical Insurance Cover Car Accidents? by Jim Winkler

Jim Winkler — Fri, 27 Jun 2014 22:06:11 +0000

That is a great question! The answer depends upon your policy, and your State. Some States require that you carry liability as part of your insurance coverage. If your policy does, then there will be a specified amount that will be paid for someone that you injurer's hospital bills. If you do not have liability, then chances are you will be sued for those expenses. If your policy specifies that it will pay for your medical expenses, you will receive whatever the limit there is. To find out for certain, please contact your agent, or look on the declarations page of your policy. I hope that helps - thanks for asking!

Answer on Is Long Term Care Insurance A Good Deal? by Jim Winkler

Jim Winkler — Fri, 27 Jun 2014 21:58:13 +0000

That is a great question! Any time I am asked this type of question, I'll always ask the same thing: "Can you afford to pay between $60,000 and $80,000 a year if you or your spouse need to go into a nursing home?" If the answer is yes, then I tell them to save their money, and invest it elsewhere. Since the answer more often then not is no, I advise them to purchase a policy. Statistics show that nearly 70% of Seniors need some form of long term care at some point, and these policies are still relatively cheap, with great coverage. It is definitely a good piece in a retirement package. Far too many Seniors have seen their nest egg disappear too quickly as a result of medical needs. Please don't be one of them. Thanks for asking!

Answer on When Does An Insurance Company Total A Car? by Jim Winkler

Jim Winkler — Fri, 27 Jun 2014 13:56:31 +0000

That is a great question! An auto insurance company will generally total your car when the cost of the repairs is near to, or exceeds, the approximate retail (Sometimes referred to as the "Blue Book") value of the car. As the retail value is much lower in cars that are several years old, these cars are more likely to be totaled. I hope that helps, thanks for asking!

Answer on What Does It Mean To Have Money In A Tax Deferred Annuity? by Jim Winkler

Jim Winkler — Fri, 27 Jun 2014 13:52:48 +0000

That is a great question! A tax deferred annuity is a great way to help fund a retirement plan. In this type of vehicle, the money that you put into the annuity grows steadily. The interest that it earns stays in the annuity, and isn't counted yearly as income, so isn't taxable. Once the point comes when you start taking payments from it however, that earned interest becomes taxable, and is counted as income. Everything in the annuity over the amount that you started with is considered taxable income and you will count the interest on your taxes each year that you receive payments. The idea behind this strategy is that once you've retired, you've dropped in your yearly earnings, and thus into a lower tax bracket, and yet again saved money. If you would like more detail on this financial tool, please contact me, okay? Thanks for asking!

Answer on At What Age Does Life Insurance Expire? by Jim Winkler

Jim Winkler — Fri, 27 Jun 2014 02:29:54 +0000

That is a great question! Term life insurance ends at whatever the specified term is - usually 5, 10, or 20 years, though some of the ones you will see advertised on TV or that you will receive in the mail will expire at age 80. Whole life insurance expires at whatever age you do. I hope that helps - thanks for asking!

Answer on When Should I Plan For Retirement? by Jim Winkler

Jim Winkler — Thu, 26 Jun 2014 20:26:44 +0000

That is a great question! The best answer is right away! The sooner the better, honestly. Current wisdom says to live at your current lifestyle in retirement, you will need to save between 8-10x your current salary. If you'd like to live better than you are now, you will need to save more. I cannot stress enough how much better off you are if you start your retirement planning when you are young. If you need to start playing catch up, and would like some help, please drop me a line, I'm happy to help, okay? Thanks for asking!

Answer on Who Offers The Lowest Cost Life Insurance In 2013? by Jim Winkler

Jim Winkler — Thu, 26 Jun 2014 20:11:51 +0000

That is a great question! The answer is kind of difficult to give you though - life insurance is like a tailored suit, what fits you best, may not fit me at all. As such, what the cheapest price you would pay for your suit may not be the cheapest that I'd pay. Many different things go into determining what you would pay, the simplest being your age, gender and smoking preference. Add to that your health, your prescription history, and your occupation. Then toss in the amount of coverage that you want, and the time frame that you want it for. You can see it gets a little complicated. The best thing to do is to find a local independent agent ( one not tied to a single brand name) who can give you several options to choose from. I hope that helps, and if you live in the Houston area, drop me a line, I'd be happy to help. Thanks for asking!

Answer on Can You Withdraw Money From A Term Life Insurance Policy? by Jim Winkler

Jim Winkler — Thu, 26 Jun 2014 20:03:32 +0000

That is a great question! Unfortunately, there is no cash value in a term life policy. This type of insurance is designed to cover you for only a specific amount of time, and has no payout if that time comes and goes. That is why they are so cheap, as they frequently do not have to pay, unlike whole life policies, which will pay out for certain, one day. I sincerely hope that this was explained to you when you purchased your policy. Thanks for asking!

Answer on Can I Add Another Car To My Insurance? by Jim Winkler

Jim Winkler — Thu, 26 Jun 2014 19:58:42 +0000

That is a great question! The answer is yes - there is not an insurer alive that would not be happy to add an additional policy or vehicle to their book of business. It may even be that by adding an additional vehicle to your policy that you become eligible for discounts in your policy, as that is a common thing. I hope it is for you - thanks for asking!

Answer on Does Home Owners Insurance Cover Siding? by Jim Winkler

Jim Winkler — Thu, 26 Jun 2014 19:55:21 +0000

That is a great question! The answer would depend upon why you want to file the claim. If you are asking if your policy would pay if you decided that you want to add siding to your home, then most likely not. If you are asking if they will repair damage to the siding, then it will depend upon how the damage was sustained. If it was damaged because of some issue specifically named in your policy ( like a fire, for example) then it would most likely be paid for. If it was any kind of workmanship or wear and tear kind of thing, then most likely it wouldn't be. I hope that helps - thanks for asking!

Answer on Where Do I Buy Life Insurance? by Jim Winkler

Jim Winkler — Thu, 26 Jun 2014 19:30:43 +0000

That is a great question! There are a million and one places to get a life insurance policy. You probably will get a million and one advertisements for agents now that you've asked! I firmly believe that while the internet is a great place for buying some things, life insurance is not one of them. There are too many things that can go unexplained, and prove costly one day, and that is the last thing that you want. Ask around among your friends, and see who they use, and if they are satisfied . Look to see if your auto insurance company offers life insurance - if so, often they will give discounts if you have several policies with them. Either way, use an agent that is knowledgeable, and takes the time to explain things to you. I'm happy to help in any way I can. Thanks for asking!

Answer on How Does Roth 401K Affect Taxes? by Jim Winkler

Jim Winkler — Thu, 26 Jun 2014 19:24:14 +0000

That is a great question! When you make contributions to your Roth IRA, those contributions are made after you are taxed on them. When you make contributions to your companies 401k, for example, those contributions are subtracted from your income before the remainder of the income is taxed. Since Uncle Sam didn't get his slice of tax on your 401k money, he takes it when you make your withdrawals. In your Roth's case, you've already paid him, so your Roth withdrawals are not taxed. So your contributions, (up to $5500, $6500 if you are 50+) are made after tax ( and cannot be deducted on your income tax forms), and your withdrawals tax free, as long as they meet the 5 year, or 59 1/2 year old rule. If you withdraw more than what you've paid in before that time, the gains are taxable, so be careful. I hope that clears it up for you, if not, please feel free to contact me, and I'll walk you through it. Thanks for asking!

Answer on Can You Contribute To A 401K And A Roth IRA? by Jim Winkler

Jim Winkler — Thu, 26 Jun 2014 18:59:31 +0000

That is a great question! If you can afford to contribute to both your Roth IRA and your 401k, then by all means do so! What a great way to provide for your retirement. You can contribute $5500 per year ($6500 if you are 50+) to your Roth, and $17,500 in your 401k. Ideally, you contribute the max to your 401k, especially if your employer matches, and then fund your Roth, to ensure that you have some tax free income to balance the taxed income from the 401k. What a great question! Thanks for asking!

Answer on Can A Health Insurance Company Deny Me Coverage? by Jim Winkler

Jim Winkler — Thu, 26 Jun 2014 14:51:50 +0000

That is a great question! There are extremely few reasons why a health insurer could deny you coverage, and the best one would be a poor payment history with them on your part. Health insurers cannot deny you coverage for any health condition that you may have, that unfortunate practice was banned by President Obama's Affordable Care Act legislation (Obamacare). I hope that helps - thanks for asking!

Answer on How Does Health Insurance Portability Work? by Jim Winkler

Jim Winkler — Thu, 26 Jun 2014 14:39:23 +0000

That is a great question! In Insurance speak, "portability" means the coverage travels with you. The typical health insurance policy that is employer issued ( a part of your benefit package at work) will not be portable, because it ends (COBRA notwithstanding) when your employment does. A policy purchased through the Affordable Care Act (Obamacare) marketplace (www.healthcare.gov) on the other hand is portable, since it is tied to you, and not your employer. As a result, you can switch jobs without having to re-insure each time. I hope that helps - thanks for asking!

Answer on Can You Be Denied Health Insurance For HPV? by Jim Winkler

Jim Winkler — Thu, 26 Jun 2014 14:34:31 +0000

That is a great question! In the past, something like HPV would have been an issue. Thanks to the Affordable Care Act (Obamacare) the health insurance companies can no longer deny you coverage for a pre-existing condition like HPV. Another great thing the Act does is remove the lifetime cap that the companies had imposed upon the amount they would pay for treatments. I hope that helps-thanks for asking!

Answer on Does Job Affect Car Insurance? by Jim Winkler

Jim Winkler — Thu, 26 Jun 2014 14:22:12 +0000

That is a great question! What you do for a living can have an effect on the price of your auto insurance, especially if you use the vehicle in a business capacity. If you drive long distances in your car, the annual mileage is a determining factor in your rate, and can cause it to be higher than if you only drive a short commute. Certain occupations can increase your rate, if the car is insured as a work vehicle. Contact your agent for the specifics. Thanks for asking!

Answer on Does Home Insurance Go Up After Claim? by Jim Winkler

Jim Winkler — Thu, 26 Jun 2014 14:08:17 +0000

That is a great question! The answer is unfortunately, a lot of times, it does. It isn't always the case, however. Many companies will have a "forgiveness" or "first claim" benefit, like the ones made popular with the auto insurance industry, your company may be one of those. If your claim is very small, and you have no history of claims, you may not see a rise either. If the claim is a good sized one, then you may well see an increase. Hopefully that's not the case for you. Thanks for asking!

Answer on How Much Will Renters Insurance Cost? by Jim Winkler

Jim Winkler — Thu, 26 Jun 2014 13:11:08 +0000

That is a great question! A lot of the answer will depend upon where you live, and how much that you want to insure. A policy in a high crime area will obviously cost more than one in a safer area, and a smaller coverage amount a lot less than a higher one. That said, the typical policy averages at just less than $20 per month, but to be completely fair, I have no idea of where that number was derived from in the statistical study, so it may be a little more or less, where you live. But it should give you a budgeting point. I hope that helps, thanks for asking!

Answer on How To Get A Home Insurance Quote? by Jim Winkler

Jim Winkler — Thu, 26 Jun 2014 13:06:13 +0000

That is a great question! The best thing to do is do a little homework, and then hit the internet. By homework, I mean do two things - first, have an idea of what value you want to insure. Know that value of the home, and search for a program online ( there are several) that will help you appraise the approximate value of your belongings. Include everything that you might have to replace, should disaster strike. Secondly, ask everyone that you know who they use, what kind of customer service they've received, and how they like the company, and if they will tell you, approximately what they pay. Then hit the internet, and start looking at companies and agents near you, or that were recommended. Get several quotes, and then choose from those. Remember that often getting coverage from your life or auto insurance company can result in substantial discounts on all of those policies. I hope that helps, thanks for asking!

Answer on What Auto Insurance Coverage Is Recommended? by Jim Winkler

Jim Winkler — Thu, 26 Jun 2014 12:58:27 +0000

That is a great question! A lot of the answer will depend upon your State required minimum coverage, and your budget. In Texas, the minimum amount of insurance that you can have is 30/60/25, or $30,000 per person, per accident; $60,000 maximum paid per accident; and $25,000 for property damage. This is the bare minimum, and $25,000 doesn't pay for much, if one or both cars are totaled. We recommend 100/300/100 as suitable coverage. That amount is typically more than enough, but ultimately it will be your budget that sets the amount of coverage for you. Contact a local agent, and find out what will work for you, okay? Thanks for asking!

Answer on Who Needs Life Insurance Coverage? by Jim Winkler

Jim Winkler — Thu, 26 Jun 2014 12:49:33 +0000

That is a great question! There are some people that don't need life insurance, and it is quicker to list them than it is to list everybody else. You do not need life insurance if you can provide for your funeral expenses ( or aren't going to have any), leave no debts, and support your surviving family and/or business with money and estate planning that you've already provided. If that is you, and you have a large cash balance set aside for your passing, then you do not need life insurance. If you are like the rest of us, and have a desire to provide for those we leave behind, or may have difficulty leaving a legacy, paying off our debts, or paying for our funeral expenses, then life insurance is a blessing. Thank you for asking!

Answer on How Much Can I Borrow From My Life Insurance? by Jim Winkler

Jim Winkler — Thu, 26 Jun 2014 12:33:30 +0000

That is a great question! When you look at your policy paperwork, you will see a bunch of numbers in the "cash value" section. This cash value is the amount in your policy that is available for you to borrow. There may be limitations on how much of that money they will allow you to borrow, so please contact your agent, or the company, and find out how much would be available for you. There is an interest rate on what you borrow, and it is wise to know what that amount is also. Please remember that whatever amount remains unpaid at the time that you pass will be subtracted from what the company pays your beneficiary; and that if the borrowed amount and interest becomes too big, it can cause the policy to end, so be careful, okay? Contact me if you need help, and thanks for asking!

Answer on Where Should I Get Renters Insurance From? by Jim Winkler

Jim Winkler — Thu, 26 Jun 2014 04:11:05 +0000

That is a great question! The best idea always when it comes to buying insurance is to shop around, and go with the one that feels right to you. If that happens to be with the agent that insures you for other stuff, there could be discounts available, so that should be your first choice. If it isn't then you want to look for a reputable company, one in good standing with your State's Department of Insurance, and one well rated by a company like A.M.Best or Standard and Poors. I hope that helps, thanks for asking!

Answer on Do I Need Auto Insurance When I Buy A Car? by Jim Winkler

Jim Winkler — Thu, 26 Jun 2014 03:42:57 +0000

That is a great question! In almost every case, it is a requirement for you to have insurance on the vehicle that you drive. When purchasing a new car, generally a quick phone call to your agent with the vehicle information will be enough o get a temporary, or even a permanent policy issued that will allow you to drive the vehicle off the lot. I've personally been in dealerships where there are insurance agents on the lot that were happy to sell you a (expensive) policy. Thanks for asking!

Answer on Is Life Insurance Mandatory For Home Loans? by Jim Winkler

Jim Winkler — Thu, 26 Jun 2014 03:38:54 +0000

That is a great question! While it isn't a requirement, it can be very good to have, and can help in securing your loan. A lender will be much more likely to loan you the money for a home if they know in a worst case scenario situation, they will receive the money they'd loaned you. So being able to show that insurance coverage often will help persuade a lender to issue the loan, and often more favorably for you. The lender may also ask for you to get coverage if they feel that there is a great risk of them losing their investment in your home. I hope that helps -thanks for asking!

Answer on Does Renters Insurance Cover Job Loss? by Jim Winkler

Jim Winkler — Thu, 26 Jun 2014 03:27:03 +0000

That is a great question! Unfortunately, the answer isn't so great. While renters insurance is a very good thing to have when it comes to protecting your belongings, it does absolutely nothing to cover the loss of your job. The coverage of an insurance policy will be strictly defined, and generally limited to a specific kind of liability, like your car, or health. When you paid your deductions from your paycheck, there was a deduction for unemployment insurance, and that is what will help you now, if you qualify. Good luck, I hope that you find a job very soon. Thanks for asking!

Answer on Is Car Insurance Money Taxable? by Jim Winkler

Jim Winkler — Thu, 26 Jun 2014 03:22:23 +0000

That is a great question! Generally speaking, if you are in an accident, or your car is stolen and the insurance company sends you a check for the costs, that money isn't taxable. Since you are making payments for the insurance coverage, the settlement is seen as reimbursement for your expenses. That said, if you are listing the car insurance as a business expense, then there may be a tax liability. I hope that helps. Thanks for asking!

Answer on What Kind Of Account Is A Roth IRA? by Jim Winkler

Jim Winkler — Thu, 26 Jun 2014 03:16:13 +0000

That is a great question! A Roth IRA is an Individual retirement Account that is designed to allow you to contribute up to $5500 ($6500 if you are 50 or over) a year for your retirement. It is an excellent vehicle for saving for your retirement, since the money that you put into it is after-tax money, making the money that you pull for retirement tax free. you can continue to contribute to this account for as long as you'd like, and there is no requirement for when, or how much, you need to withdraw from it. If you would like to discuss how this kind of account might work for you, please feel free to contact me, and I'll go over it with you. Thanks for asking!

Answer on Can Health Insurance Companies Exclude Pre Existing Conditions? by Jim Winkler

Jim Winkler — Thu, 26 Jun 2014 03:09:52 +0000

That is a great question! One of the great things that the Affordable Care Act (Obamacare) did for us was remove the pre-existing condition exclusion. Health insurance companies can no longer deny you coverage because of your pre-existing condition, nor can they cap your life time expenses. When you go to enroll, head to the Healthcare marketplace, www.healthcare.gov and see if you qualify for discounted insurance. A great many people do. Good luck, and thanks for asking!

Answer on What Are The Advantages Of Long Term Care Insurance? by Jim Winkler

Jim Winkler — Wed, 25 Jun 2014 21:34:06 +0000

That is a great question! Recent studies have shown that nearly 70% of all Seniors will need some form of long term care during their retirement. Unfortunately for many, their retirement savings plan did not include the costs for that long term care. With some facilities costing upward of $80,000 per year, far too many Seniors have seen what they thought were adequate retirement savings get gobbled up quickly by those medical care costs. A long term care plan purchased early is a great hedge against those costs, and for the protection of your retirement and insurance funds. I seriously cannot recommend strongly enough the value of adding this kind of policy to your portfolio. Thanks for asking!

Answer on Does RMD Apply To Roth IRA? by Jim Winkler

Jim Winkler — Wed, 18 Jun 2014 20:09:08 +0000

That is an excellent question! One of the great reasons why people should invest in a Roth IRA is that the required minimum distribution rules do not apply to them. In fact, you never have to take a withdrawal from them at all, should you choose not to. Your beneficiaries would be required to take their tax free payouts from the account you pass on to them. A normal IRA is required to start payments at 70 1/2, but Roth's do not. I hope that helps, thanks for asking!

Answer on What Does Home Owners Insurance Typically Cover? by Jim Winkler

Jim Winkler — Wed, 18 Jun 2014 20:03:06 +0000

That is a great question! Your homeowners policy will cover all kinds of things, like fire, someone getting hurt on your property, or a broken window. The coverage is broken down to two types: property, and liability. The property coverage protects against those actual physical damages that may occur. The liability side protects against damages that may be brought against you for things that happen upon your property. I hope that helps! Thanks for asking!

Answer on What Are The Best Life Insurance Plans? by Jim Winkler

Jim Winkler — Wed, 18 Jun 2014 19:58:26 +0000

That is a great question! The answer to your question depends entirely upon what it is that you want the policy to do for you. A term policy might be best, if all that you want to do is ensure against leaving a particular debt behind unpaid, or if you are short on cash. A whole life policy might be best if you want the security of knowing that you have coverage you wont outlive, or if you want a source of cash available should you need it. If you want specifics for you, contact one of us agents, we are happy to help! Thanks for asking!

Answer on Can Insurance Company Drop Your Home Insurance? by Jim Winkler

Jim Winkler — Wed, 18 Jun 2014 19:49:20 +0000

That is a great question! There are always reasons that a company would choose to not do business with you, and every one of them are preventable by you. The big three? When you filled out your application you were less than truthful. What might seem to you to be a harmless white lie is still fraud to a business that values honesty, and promises to pay you their money based on your representation of that honesty. The second is when you change the terms of the contract without telling them. You add a pool, trampoline, or certain breed of dog, yet fail to tell the company, so they have an opportunity to protect themselves from the increased risk you just put them under. The last is your failure to make timely agreed upon payments. If you were the company, I'm sure you'd see it the same way, especially if it was your money at risk. I hope that helps. Thanks for asking!

Answer on Can I Get Life Insurance If I Have Hep C? by Jim Winkler

Jim Winkler — Wed, 18 Jun 2014 19:34:16 +0000

That is a great question! Hepatitis C will not prevent someone from being able to find a life insurance policy. While it may keep them from getting the cheapest, highest benefit policies, there are certainly enough policies out there with adequate coverage that will be available. I would advise that you contact an independent agent who can help you find the best policy for you. Thanks for asking!

Answer on Is Homeowners Insurance Needed For A Condo? by Jim Winkler

Jim Winkler — Wed, 18 Jun 2014 19:30:18 +0000

That is a great question! It is always wise to insure your investment in any home purchase. In many cases your lender will require it to protect their investment. You definitely want to have a form of Homeowners to protect you, and your investment, as well as all of the things that will be in the condo with you. Thanks for asking!

Answer on Is An Annuity Guaranteed? by Jim Winkler

Jim Winkler — Wed, 18 Jun 2014 19:26:49 +0000

That is a great question! The best thing about an annuity is that in almost every case, you are guaranteed to get back at the very minimum what you put into it. Unlike the market, where you can lose your initial investment, most annuity companies will not allow you to lose your investment. You may or may not make the promised interest and returns, depending upon what type of annuity that you have, but you don't lose the base amount, or the fact that it gets paid back to you over a specified time period. If you would like more info, please inbox me. Thanks for asking!

Answer on How Many Kinds Of Annuities Are There? by Jim Winkler

Jim Winkler — Wed, 18 Jun 2014 19:21:11 +0000

That is a great question! There are a couple of different types of annuities. There are fixed annuities, that pay a certain amount of interest for a designated time; There are variable annuities that pay an interest rate that changes from time to time; and there are indexed annuities, that credit an interest that varies depending upon the performance of the specific index that they are tied to. There are a great many options available in the annuities of each type. To find the one that is best for you, talk to a qualified agent. If you'd like help, please inbox me, okay? Thanks for asking!

Answer on Is Medicare Popular? by Jim Winkler

Jim Winkler — Wed, 18 Jun 2014 19:01:53 +0000

That is a great question! If you are someone who will struggle with being able to afford quality healthcare when you turn 65, then yes, it is very popular. If you are someone who believes that each person should be financially secure enough to be able to pay for themselves, and that "I shouldn't have to help pay for anyone else's care", then it probably isn't. The sad fact is that according to the 2012 census data nearly 55% of all Senior Citizens live in poverty, and without Medicare/Medicaid, we would have an awful lot less Senior Citizens. It is available to all Americans once they reach the age of 65, and that makes it very popular. Thanks for asking!

Answer on How Much Does An Agent Make On Life Insurance? by Jim Winkler

Jim Winkler — Wed, 18 Jun 2014 18:47:24 +0000

That is an excellent question! Insurance agents do not draw paychecks like normal people. They are paid a portion of what policies they are able to sell, and that amount is called a "commission". The amount of that commission will depend upon the agents' contract with the company, and upon the product that has been sold. There are also small payments made annually called "residuals" that are paid when people keep their policies in force over the years. This income can be very lucrative, if you are a good salesperson, and are very active in your sales work. I hope that helps, thanks for asking!

Answer on Which Life Insurance Is Best Whole Or Term? by Jim Winkler

Jim Winkler — Wed, 18 Jun 2014 18:34:21 +0000

That is a great question! Both types of insurance have their plusses, and minuses. The term policy might be best for you if you are looking to insure against some form of debt, like a mortgage, that you want to be sure is paid off. It might also be the right policy for you if you are short on cash, but want coverage. The whole life policy may be the right policy for you if you are looking for the security of knowing that you are protected for the duration of your life, or if you want the security of knowing that you have a source of quick cash if you need it. In some cases, a mix of both might be the right answer for you. If you'd like to discuss your specific need, contact me, and I'll clear some time on my schedule for you. Thanks for asking!

Answer on Does Life Insurance Pay Debts? by Jim Winkler

Jim Winkler — Wed, 18 Jun 2014 18:26:09 +0000

That is a great question! One of the best reasons to buy life insurance is to provide the money needed to pay off debts that would be left behind as a burden to your loved ones. What a blessing it is to have the mortgage paid, credit card debt erased, or funeral expenses paid off, as a result of your financial planning. Thanks for asking!

Answer on Can You Have Two Roth IRA Accounts? by Jim Winkler

Jim Winkler — Wed, 18 Jun 2014 17:11:24 +0000

That is a great question! You can, and it's not a bad idea to have a couple of them with different investment types to fund them The only drawback is that you can only deposit a total of $5500 a year ($6500 if you are 50+) between all of them. The growth potential of all of them receiving a minimum contribution is less than the growth potential of one being funded fully. There are some good strategies that I'd suggest, if you want to contact me. Thanks for asking!

Answer on Where Can I Withdraw My 401K? by Jim Winkler

Jim Winkler — Wed, 18 Jun 2014 17:03:43 +0000

That is a great question! I'd need to know a little more information about why you want to withdraw or close it out, before I'd feel comfortable telling you to do it. There are very large penalties for early withdrawals from your 401k, and if you are counting on a certain amount, unless you are in your 60's, please count on that amount being reduced by about a third, after taxes and penalties. 401k money looks good, but taking it out for something other than its intended use is costly. If you would like to proceed anyway, contact your plan administrator, and they will give you the forms to fill out. I cannot say strongly enough to speak with an advisor before doing this, for any reason other than starting your retirement income. Thank you for asking!

Answer on Can You Buy Car Insurance With A Suspended License? by Jim Winkler

Jim Winkler — Wed, 18 Jun 2014 16:56:49 +0000

That is a great question! You are in a tough place. Most insurance companies are going to be very hesitant to insure you while your license is suspended, and depending upon the reason why it is suspended, insuring you at all. You may be able to find a company that will write you a provisional or probationary policy that will be dependent upon you completing the requirements of the suspension, but I can not warn you strongly enough about the incredibly bad decision it would be should you choose to drive either on your suspended license, or without insurance. Please don't. Good luck, and thanks for asking!

Answer on What Does 401K Rollover Mean? by Jim Winkler

Jim Winkler — Wed, 18 Jun 2014 16:42:49 +0000

That is a great question! Simply put, a 401k rollover is what you call the action of taking the funds from one 401k and moving them ( or "rolling them over") into another 401k fund, or similar retirement vehicle. This has to be done in a very timely fashion, or there are tax consequences, and is most commonly done when you switch employers, and want to keep funding the 401k. Thanks for asking!

Answer on How To Get A 401K Loan? by Jim Winkler

Jim Winkler — Wed, 18 Jun 2014 16:31:26 +0000

That is a great answer! One of the nice things about having a 401k is that ability to borrow from it. You will need to get with your plan administrator and request the loan forms that you will need to complete and return. A word of warning, though. Borrowing from your 401k has some danger. Should you lose your job for any reason, that balance borrowed very quickly becomes due in full. You can also slow the growth of your funds, which can have a huge impact on the long term growth and payout of your fund. While the money in the fund is an option, it may not be your best one. Please speak to your advisor first, okay? If you don't have one, you can contact me, I'll help if you'd like. Thanks for asking!

Answer on Why Does Everyone Need Health Insurance? by Jim Winkler

Jim Winkler — Wed, 18 Jun 2014 16:24:29 +0000

That is a great question! As a humanitarian answer, I'd tell you that everyone needs healthcare to provide relief and treatment from illness and injury. Christ tells us that we are to "love each other as we love ourselves", and you'd want treatment if you were suffering, wouldn't you? Financially, I'd say that everyone needs health insurance because those that don't increase the costs for those of us that do. Because they are not shouldering any part of the care that is provided, that cost is passed on to us in the form of higher priced services and goods. By requiring everyone to have health insurance, the Affordable Care Act (Obamacare) has (along with other measures in the bill) slowed the growth of health care costs from double digit yearly increases to 4% last year. That is reason enough in my book! Thanks for asking!

Answer on Where To Put 401K Money Now? by Jim Winkler

Jim Winkler — Wed, 18 Jun 2014 03:51:57 +0000

That is a great question. I'm a little confused though - are you asking for investment advice, or asking what to do with a 401k that is floating around? If it's investment advice, that is impossible to give without understanding your risk tolerance, time frame for investing, and your liquidity needs. You would have to contact me privately for more details before I could even begin to think of giving you direction. If it is what to do with a 401k that you'd like to rollover, you need to do that fairly quickly, or you are going to have one heck of a tax bill. Please seek a financial adviser for help, okay? Thanks for asking!

Answer on Why Is Import Car Insurance More Expensive? by Jim Winkler

Jim Winkler — Wed, 18 Jun 2014 03:43:54 +0000

That is a great question! The answer is simple, the cost of your auto insurance for your imported car is higher because the cost to repair it, should you damage it, is more expensive than a domestically made car would cost. The expense for parts and the specialized mechanics would cost the insurance company more, so they pass that expense on to you. Thanks for asking!

Answer on Can I Withdraw Variable Deferred Annuity Money Prior To The Commencement Date? by Jim Winkler

Jim Winkler — Tue, 17 Jun 2014 04:41:20 +0000

That is a great question! Insurance companies will set a commencement date far enough ahead into the future to show you an impressive number for your return, and that is the date by which you must have started taking your withdrawals. The truth is that you can take money out at any time, BUT- there are serious consequences if you aren't careful. An annuity is not a suitable product for someone who has cash flow issues, and might need the money sooner than later. I'd advise you to look at your policy, and look for these things: Do I have a free withdrawal amount, if so, how much and when can I start taking it? How long is the surrender period, and what are the charges? (If the surrender period is ten years, that means every year during that period, whatever you withdraw will be subject to that fee, among likely others, as well as a federal penalty of 10% if you are younger than 59 1/2) The last thing to look at is what triggers if you pull money out. Does it start, or lock in a payment cycle for you? Again, that could be disastrous if you aren't very careful. Let the money ride in there as long as you can afford to, ( at least until you are 60) and then start taking your withdrawals. Depending on how your annuity is structured, you may be required to start your rmd's at the age of 70 1/2. If you'd like help with your specifics, please contact me, I'm happy to help. Thanks for asking!

Answer on How Often Do You Pay Health Insurance? by Jim Winkler

Jim Winkler — Tue, 17 Jun 2014 04:15:25 +0000

That is a great question! As a rule, most insurance premium payments are paid on a monthly basis. Some, like your auto or life insurance policies, can also be paid on a quarterly, semi-annual (every six months) or annually. Health insurance though, as a rule is typically a monthly payment, though your provider may also allow for other payment schedules. Thanks for asking!

Answer on Is Pension Plan Income Taxable? by Jim Winkler

Jim Winkler — Sat, 14 Jun 2014 23:54:27 +0000

That is a great question! In most cases, your deductions from your check to fund the pension plan were taken out before being taxed. If that was the case, then all of the income you are receiving from it now is taxable. If your pension plan was funded with after tax dollars, then your income would be tax free. That is one of the great advantages of a Roth IRA, that when you need the cash, it's not subject to being taxed. I hope that helps, thank you for asking!

Answer on Can I Rollover A Roth 401K To A Roth IRA? by Jim Winkler

Jim Winkler — Sat, 14 Jun 2014 23:49:31 +0000

That is an excellent question! The answer is that you can, but you will need to be very careful. If not done correctly, you become liable for taxes on the entire amount that you transfer. If this is a sizable IRA that you are rolling over, you may see your bracket jump for a year, and pay out a lot of unwanted tax. Please consult with an advisor or tax attorney before making the change, okay? Thanks for asking!

Answer on What Do Mutual Fund Managers Do? by Jim Winkler

Jim Winkler — Sat, 14 Jun 2014 23:44:13 +0000

That is a great question! A mutual fund manager is the person that is responsible for selecting the stocks or bonds, and the daily business of buying and selling them. These are the guys who make the large money off the market. They are paid a percentage of the money made, and so they buy and sell a lot. ( According to Forbes, the average portfolio turnover in the 1950's was 15%. Today it ranges from 573-827%. Any wonder why they are making money, and your costs have more than doubled?) It is an excellent job, if you can get it. Thanks for asking!

Answer on Can You Drive A Car Without Insurance On It? by Jim Winkler

Jim Winkler — Sat, 14 Jun 2014 23:36:08 +0000

That is an excellent question! How lucky are you? If you think that you can drive without being pulled over, or without getting into any kind of accident, then maybe you can. If you don't think you are the lucky type, then you are smart. Getting caught uninsured behind the wheel is one of the worst things that you can do to yourself. The fines are stiff, and there is often jail time, and it is extremely difficult if not impossible to get affordable insurance for a long time afterwards. In short? No, you cannot. Thanks for asking!

Answer on Can I Take Out Life Insurance On My Brother? by Jim Winkler

Jim Winkler — Sat, 14 Jun 2014 23:05:45 +0000

That is a great question! You absolutely can, provided that you can do two things - have his consent, and signatures on the application; and be able to show that there is an insurable reason for wanting him to be covered. As he's your brother, neither of those should be a problem. Thanks for asking!

Answer on How To End Life Insurance Policy? by Jim Winkler

Jim Winkler — Fri, 13 Jun 2014 15:21:45 +0000

That is a great question! The most common method is you pass away. If that isn't your first choice, then You have a couple of options. ( and I'd strongly recommend that you speak with your agent or advisor first, especially if it is just a matter of unaffordable payments) The first is to write them, and tell them that you would like to surrender the policy. (contact me, and I'll explain surrender vs. cancel) the second is to stop paying it. Both methods will end the policy. If you need help, please contact me. Thanks for asking!

Answer on What Is Accidental Life Insurance? by Jim Winkler

Jim Winkler — Fri, 13 Jun 2014 15:16:17 +0000

That is a great question! Accidental death policies are an insurance companies version of the extended warranty. It's probably a good idea to buy one, but most people will never have to use it, so it can be a waste of money. That said, if you do need it, it can be a big blessing. These policies pay when your death is the result of an accident, as strictly defined by the company. If you die from old age, natural causes, illness, a spider bite, or any disease, you do not get paid. Many insurance companies include this, and common carrier benefits to their life insurance policies to make them more attractive. I'd suggest that you ask a trusted agent before purchasing one. Thanks for asking!

Answer on What Is Recommended Car Insurance Coverage? by Jim Winkler

Jim Winkler — Thu, 12 Jun 2014 17:31:09 +0000

That is a great question! Depending upon where you live, your State will have a minimum required amount. In Texas, it is 30/60/25 - $30,000 max payout per person for an accident, $60,000 total paid per accident, and $25,000 max property damage paid. That said, we recommend that you have coverage equal or better than 100/300/100. We have a very large number of very expensive foreign sports cars in Houston, and $25,000 doesn't go far in repairing one, if you are unfortunate enough to hit one. I hope that helps! Thanks for asking!

Answer on How Does Life Insurance Affect Medicaid? by Jim Winkler

Jim Winkler — Thu, 12 Jun 2014 17:22:22 +0000

That is a great question! A lot of the answer depends upon where you live, and what kind of policy, and its amount that you have. The Affordable Care Act (Obamacare) made some of the rules change in the States that opted to include Medicaid expansion. If you are fortunate enough to live in one of those States, you caught a break. If you don't, then Medicaid will consider the cash value in your policy, over a certain amount, and take it. That said, if you have not filed for Medicare/Medicaid yet, there are ways that you can protect yourself. Most will require some lead time, (60 months) but there are ways to do it more quickly if needed. Please contact me, and we can discuss your situation privately. Thanks for asking!

Answer on Is Whole Life Insurance A Tax Shelter? by Jim Winkler

Jim Winkler — Thu, 12 Jun 2014 17:12:28 +0000

That is an excellent question! There are definitely ways that your life insurance can be used as a hedge against taxes. You will pay a lot more up front, but with careful planning, you can reap some sizable tax advantages. For example: With careful planning, the value of the death benefit can be excluded from estate taxes; by paying larger premiums into a policy like a UL, or indexed UL, you can create a very large cash value that can be withdrawn tax free as an income until it is used up; and in cash value policies, even if you withdraw more than the premiums you've paid in, the amount is considered a loan, and again is tax free. There are dangers in doing these things, so you want to consult a good agent or tax advisor first, okay? please contact me if you need help, and thanks for asking!

Answer on How Much Life Insurance Should We Buy? by Jim Winkler

Jim Winkler — Thu, 12 Jun 2014 16:54:42 +0000

That is a great question! But to answer it best for you, I'd really need to know more about you, and what you want the policy to do for you. As a general rule of thumb, if it is to cover a certain debt, like a mortgage or college loan debt, then that is your amount; if it is to replace your income, then the current wisdom suggests a minimum of 5 times your current salary; if it is to cover your final expenses, (funeral costs) then you will need between $10-15,000, depending upon whether you are looking at cremation or a modest funeral. I'd be happy to help you with your specifics, if you'd like to inbox me. Please hit the "contact me" link, and drop me a line. Thanks for asking!

Answer on Can A Life Insurance Policy Be Cancelled? by Jim Winkler

Jim Winkler — Thu, 12 Jun 2014 16:43:03 +0000

That is a great question! Yes, you can cancel the contract with the company, and the company can cancel it also. They will cancel the policy if they find that you were dishonest when applying, or failed to make timely payments. You can cancel in writing , or by choosing to no longer make payments. I'd suggest that you speak with an agent before cancelling your policy, there are some things that you should know before you do. If you would like more detail, please contact me, okay? Thanks for asking!

Answer on Can I Take Life Insurance Out On Anyone? by Jim Winkler

Jim Winkler — Thu, 12 Jun 2014 16:34:26 +0000

That is a great question! It is interesting to know that the laws that govern life insurance came about because of the unsavory practice of gambling on when a person would die. You and I might be sitting at the saloon, and take a dislike to a guy at the bar. We go across the street, and buy a policy on his life. We bet the policy on how many days/hours/minutes longer he lives, with the winner taking the death benefit prize! To protect against that, you must have that person's permission, understanding of what they are signing, and signature. You must also be able to prove a financial loss, were they to pass. Good thing! Thanks for asking!

Answer on Can Death Row Inmates Get Life Insurance? by Jim Winkler

Jim Winkler — Thu, 12 Jun 2014 16:26:41 +0000

That is an excellent question! I work with several insurance companies, and I do not know of a single one that will insure someone who is currently incarcerated, especially one on death row. Insurance companies are all about risk, and if the applicant is living a lifestyle that includes incarceration, you can bet they will pass every time. Generally there will be a period of time that must elapse before they will consider approving the claim. Unfortunately, this is one of those side effects of negative behavior that isn't considered beforehand, and becomes a big problem afterward. Sorry, but thanks for asking!

Answer on Does Life Insurance Test For Weed? by Jim Winkler

Jim Winkler — Thu, 12 Jun 2014 16:21:51 +0000

That is an excellent question! It will be interesting to see how the life insurance companies treat the drug use now that it is becoming legalized. I'd guess that they won't move much on the issue, since impairment increases risk, whether it is pot or prescription pain killers. But yes they test, on larger policies, and on the smaller policies there is a question or two usually about drug use. If your demise comes as a result of smoking, and you'd checked the boxes no, I'd expect your claim to be denied, especially if it is illegal where you live. Most companies will deny the payout if your untimely demise is a result of the commission of a crime. Thanks for asking!

Answer on Does Disability Insurance Make Sense? by Jim Winkler

Jim Winkler — Thu, 12 Jun 2014 16:02:05 +0000

That is a great question! There are many kinds of insurance out there, so it can become confusing what we should really spend our hard earned money for, and what we should pass on. If your employer offers disability, take it. Nearly 60% of the bankruptcies worldwide are the result of a medical issue. Good health insurance, and a good disability policy can make the difference between you, and another statistic. Please get with an agent or your HR person, and get a policy that works for you. Thanks for asking!

Answer on Can A Felon Sell Life Insurance? by Jim Winkler

Jim Winkler — Wed, 11 Jun 2014 15:48:52 +0000

That is a great question! It depends upon what your felony was, how long ago you committed it, and your State's insurance regulations. In most cases, if the felony involved any kind of financial misdealing, the answer will be no, you may not. If the felony was not financially related, and occurred many tears ago, then perhaps, but it will depend upon the company, and your State regulations. Good luck, and thanks for asking!

Answer on When Should I Save For Retirement? by Jim Winkler

Jim Winkler — Wed, 11 Jun 2014 15:38:51 +0000

That is a great question! I cannot emphasize enough that the earlier you start, the better off you will be. The amount of money you may need to be comfortable in retirement may be achievable only by starting soon. A rule of thumb? To live your current lifestyle, you will need to have 8-10 times your current salary. It might be wise for you to schedule an appointment with someone who can help you look at the options available to you, your HR person at work, for your plan options, and then a financial advisor or planner to help you get started. Contact me if you need any help, and thanks for asking!

Answer on How Much Should I Save For Retirement By 40? by Jim Winkler

Jim Winkler — Wed, 11 Jun 2014 14:41:26 +0000

That is a great question! You are very wise to be focused on accomplishing a goal for your retirement, and for setting an early goal. It is very difficult to give you a number that works for you though, without having a lot more detail about where you are in the process now. Are you 40 next year? Realistically, that number would be different from what it would be if you are 25 next year. I also have no idea of your expenses, spending habits, medical needs, etc. A good rule of thumb? Have 8-10 times your current salary put away if you want to live your current lifestyle. I'd also advise to have some type of hedge against long term care costs, as statistics show 70% of Senior Citizens will require it at some point, and those costs have wrecked many a retirement fund that would have been fine otherwise. Pleas contact an advisor who can look at your situation, and give you some tailored advice. Thanks for asking!

Answer on How Can I Save Money For Retirement? by Jim Winkler

Jim Winkler — Wed, 11 Jun 2014 14:29:11 +0000

That is an excellent question! There are several really good ways to start your retirement planning, and I will tell you that the sooner you start, the easier it is. If your employer offers a retirement plan where they will match your contribution, or match a percentage, do it! They are giving you "free" money. If they offer an HSA ( Health savings Account), contribute to that also.By contributing regularly and often to these accounts, you will have a good start to having an affordable retirement. There are definitely other things that you could do, and it would require far more conversation and space than we have here. If you would like more information, feel free to contact me, ok? Thanks for asking!

Answer on If I Contribute To A 401K Can I Still Contribute To A Roth IRA? by Jim Winkler

Jim Winkler — Wed, 11 Jun 2014 14:22:32 +0000

That is an excellent question! Yes, if you can afford to contribute to both accounts, absolutely! If your employer matches your 401k contribution, you want to keep that company match, it's free money. If you can keep your contribution level there, and still make your $5500 ($6500 if you are 50+) contribution to your Roth, great! If not, you might want to think about starting off with the 401k account, getting the match, switch to the Roth until it's maxed, then switch back to the 401k until you reach the max there. Talk to your financial advisor and figure out what will work best for you. If you need help, feel free to contact me, okay? Thanks for asking!

Answer on What Kinds Of Life Insurance Is There? by Jim Winkler

Jim Winkler — Wed, 11 Jun 2014 13:44:45 +0000

That is a great question! There are two basic types of life insurance, one that ends, and one that doesn't. The one that ends is called "term" insurance. This type of policy is advertised often on TV and in mail by large Senior Citizen friendly companies, and unless you realize that it ends when you turn 80, can be in for a big, unpleasant surprise. The term policy as a clearly stated end date, has no value if it doesn't pay out, and becomes very expensive very quickly if renewed. "Whole life " insurance is exactly that - insurance for your whole life. It is more expensive than term life, because as long as you make your payments, it's going to pay out ( most term policies never do, that's why they are so cheap). If you would like to discuss which one might be best for you, contact me, and I'll make time for you. Thanks for asking!

Answer on Can An Employer Pay An Employee For Opting Out Of Health Insurance? by Jim Winkler

Jim Winkler — Wed, 11 Jun 2014 03:42:32 +0000

That is a great question! When you consider that there is an estimated $3 trillion in employer payments for insurance, and their burden of risk, it sure makes sense that it won't take long for somebody to decide that there is big profit in not insuring the employees. By law, the bigger employers have to offer something for health plans, but a trend now is to offer the employees a subsidy to help pay for a plan that they pick for themselves off the Affordable Care Act (Obamacare) website. In a move that is designed to relieve the employer of the risk, and a great share of the cost, (equaling great profits) the employee is able to "pick a plan better suited for them". I would expect to see a lot of this, as soon as they are sure that it withstands legal scrutiny. Thanks for asking!

Answer on Why Are Health Insurance Costs Rising? by Jim Winkler

Jim Winkler — Wed, 11 Jun 2014 03:34:25 +0000

That is a great question. While premiums rose nearly 80% from 2003 to 2012, they only rose a modest 4% last year. While the Affordable Care Act ( Obamacare) did a nice job of reining in costs, and penalizing insurers who were wasteful, there were some inevitable shifting of services, and costs, and without knowing what exactly you are referring to, it's hard to say. It seems like everything goes up in price from year to year, I suppose medical costs should be expected to also. Wish I had a better answer for you, but thanks for asking!

Answer on Can I Park My Car On The Road Without Insurance? by Jim Winkler

Jim Winkler — Wed, 11 Jun 2014 02:45:18 +0000

That is a great question! I'd ask you a couple of things - how likely is it that no one will drive past it (including police officers)? If there is a chance that someone may come by and ding the car, or vandalize it, you may want to think about some coverage. If your car needs insurance to be registered, and have current plates, and there is a chance that you will get a ticket if it isn't, you may want to think about getting some insurance. Many companies offer a very inexpensive bare bones policy for non driven cars, I'd suggest you ask your agent to look into one of those for you. Thanks for asking!

Answer on What Is The Federal Health Insurance Exchange? by Jim Winkler

Jim Winkler — Tue, 10 Jun 2014 14:17:31 +0000

That is an excellent question! The federal Health Insurance Exchange is the name for the website www.healthcare.gov that was created by the Affordable Care Act ( Obamacare). The exchange is a marketplace where various companies listed the health insurance policies that they were willing to offer. These companies also marketed them outside of the exchange, and others as well. The advantage of going to the exchange to shop is that the Government offers financial help to those who qualify (and a lot of people do) and often dramatically reduces the cost of the coverage. I have helped people find policies to cover both health and dental for a total of $41 per month, coverage that for health alone was $134 per month outside the exchange. I hope that helps, thanks for asking!

Answer on How To Write A Letter To Cancel Life Insurance? by Jim Winkler

Jim Winkler — Tue, 10 Jun 2014 14:10:18 +0000

That is a great question! Just a couple of quick things first - you do realize that cancelling it means that there will be no protection, should the insured pass? Please make sure that you have an in-force policy in place before cancelling this one. If it is a question of money, you might consider borrowing from the policy, if it has a cash value, and all you need is something to get you over a hump; or reducing the face amount to lower the monthly premium. Both of these options will allow you to keep the policy, while helping your cash flow. Now, if you are sure that you want to cancel the policy, you will first want to contact your agent and find out if there is a cash value, if so, how much it is, and if there is a surrender fee. ( if you just cancel, they may not be inclined to give you that money) If you have a whole life policy, and have had it for awhile, it can be a good amount. If there is one, then write the company, and tell them that you would like to surrender policy number xxxxxxxx, effective as of xxxxxxxx. You must be the owner of the policy to do this. If it is just a term policy, or a policy with no cash value, you can save yourself the stamp, contact the bank and cancel the monthly draft by the insurance company, and let it lapse, after a 30-60 day period, it will end on its own. If you need help, contact me, okay, I'd be happy to help. Thanks for asking!

Answer on Who Should Own Your Life Insurance Policy? by Jim Winkler

Jim Winkler — Tue, 10 Jun 2014 13:41:33 +0000

That is a great question! The best way to answer your question, is to ask you a few: Who is being insured? Who will be making the payments? And who is trustworthy enough to oversee the policy? If the insured is a minor, then you will want a parent or guardian to own the policy. You can be the owner of your own policy. If the policy is paid for by someone other than the insured, do you want them to be the owner? The owner has the right to change who will get the money when the insured passes. Therefore, you want the owner of the policy to be in line with your wishes. Hope that helps, thanks for asking!

Answer on What Percent Of The Us Population Has Health Insurance? by Jim Winkler

Jim Winkler — Tue, 10 Jun 2014 13:31:01 +0000

That is a great question! I read just yesterday that as a result of the Affordable Care Act (Obamacare) that the number of Americans without health insurance coverage is at the lowest that it has been in over 50 years. Almost 87% of Americans now have coverage, and that number would be higher, but there are still 18 States that have not allowed the expanded Medicare provision in their State. There is a fierce battle in the Virginia Congress even as we speak over the inclusion of their 40,000 Seniors that would benefit from the passage of the Act there. I also read that despite the hype and hollering to the contrary, Medical and insurance prices have dropped significantly, and the number of people who have kept the insurance has been at or above the industry standard, averaging around 83%. So I guess despite all the rhetoric, and hollering about it, most people have bought into its benefits. Thanks for asking!

Answer on Does Depression Affect Life Insurance? by Jim Winkler

Jim Winkler — Mon, 09 Jun 2014 16:16:27 +0000

That is an excellent question! One of the things that insurance companies are very careful about is your mental state when taking out insurance, or being insured. All legal agreements want you to be "of sound mind" when entering into the agreement. They will want to be sure that you aren't taking out a policy for the wrong reasons, and the agent selling you the policy will be required to report what they see/feel about your motives and mental state. I've had clients that were denied coverage for the medications that they were on, and were offered reduced coverage as a result, and I've had some that were accepted with a Doctor's report on the stability and treatment history of the struggle with the depression. It really helps to have an independent agent who can understand your struggle, and guide you through the process to find the best company and policy for you. If you need help, please feel free to contact me, okay? Thanks for asking!

Answer on How Do Life Insurance Companies Test For Drugs? by Jim Winkler

Jim Winkler — Mon, 09 Jun 2014 16:08:34 +0000

That is a great question! Typically when the company tests, they send a para-med who will collect one or more of these things, depending upon the company, and their impression during their visit: a blood sample, urine sample, hair sample, and /or mouth swab. The hair samples are very accurate, and are very difficult to fake, and are becoming more common, as testing them becomes cheaper. Thanks for asking!

Answer on Why Is Admiral Car Insurance So Cheap? by Jim Winkler

Jim Winkler — Mon, 09 Jun 2014 15:43:43 +0000

That is a great question! I am not familiar with their policies directly, but as a rule, if their rates are low, then chances are the deductibles are high, and the coverage limited. That is not necessarily a bad thing, but is definitely something to be aware of, and that it also fits your need. My advice would be to compare it with other companies, and see how it matches up. You need help, contact me, okay? Thanks for asking!

Answer on Will Medicare Pay For Hospice? by Jim Winkler

Jim Winkler — Mon, 09 Jun 2014 13:47:48 +0000

That is a great question, and one with a great answer! Yes, Medicare Part A pays for end of life treatment. You will need a Doctor's certification that your loved one is expected to pass within 6 months, and that no further restorative procedures are to be implemented. It doesn't matter if the hospice care is given in your home, or a facility, as long as it is Medicare approved. You may also need a living will, or something similar to qualify. It will also pay for up to 5 days of respite care, if you need to take a break. Thanks for asking!

Answer on What Is The Major Advantage Of Term Life Insurance? by Jim Winkler

Jim Winkler — Mon, 09 Jun 2014 13:38:24 +0000

That is an excellent question! There are a couple of advantages to owning a term policy over a whole life policy. The first, and most obvious, is the lower cost. As a rule, the companies rarely have to pay off on these, so they are cheaper. The second is that you can use them to cover for specific needs, for a specific time period, and be done with them. For example, I can take out a 5 year term policy to cover the cost of my child's college expenses, and in 5 years when I no longer need it, it has ended. There are some drawbacks to these policies also, so please be sure to consult with an agent to be sure that this is the type of policy that will best suit your need, okay? Thanks for asking!

Answer on Why Do Tenants Need Renters Insurance? by Jim Winkler

Jim Winkler — Mon, 09 Jun 2014 03:38:31 +0000

That is a great question! There are two reasons why tenants would want renters insurance. The first benefits the landlord, and that is why they want you to have it - it lowers their insurance bill, which hopefully translates into lower rent for you. The second is that it protects you, in the event that a neighbor (or you) accidentally damages your apartment, and the things that you own. Unless you have a bundle of cash to replace and repair everything, your renters policy is a good thing to have. Thanks for asking!

Answer on How Is Whole Life Insurance An Investment? by Jim Winkler

Jim Winkler — Mon, 09 Jun 2014 02:27:33 +0000

That is a great question! Technically speaking, no it is not. Agents are generally cautioned against using the word investment in any of their presentations, so as to not mislead potential clients. A life insurance policy does not generate the returns for you that a money market fund, mutual fund, or stock market investment would. An insurance policy will pay off what the face value is, when you pass, and as such is not usable by you. There are policies called "universal, or indexed universal" life policies that promise large cash value gains, but even so, they are not to be seen as investments, when you read all of the fine print, and conditions needed to produce the promised gains. That said, it is an important and needed part of almost everyone's financial security , and it provides a great sense of relief, knowing that you've provided for your loved ones. That you can consider a worthy investment. If you would like more detailed information on the financial differences, please contact me, okay? Thank you for asking!

Answer on Can A Dying Person Get Life Insurance? by Jim Winkler

Jim Winkler — Mon, 09 Jun 2014 01:52:27 +0000

That is a great question, and one that I sincerely hope you are only asking out of curiosity, and not need. The answer is that you can, there are companies with policies that are guaranteed to accept everybody, but there is a catch. To a one, every single one of them will have a period of time, typically two - three years, where the only benefit you will receive is what you paid in, plus some interest. If your death falls within that period, your only gain will be the interest. If this is a "I need it" question, then I truly wish that someone would have advised you to buy earlier in your life. I'm sorry. Thank you though, for asking!

Answer on Can People With Epilepsy Get Life Insurance? by Jim Winkler

Jim Winkler — Mon, 09 Jun 2014 00:48:57 +0000

That is a great question! Many people feel that they will be denied coverage if they have an issue with their health, and often don't even try to get it, so I am very glad that you asked. Unlike health insurance (where until the passing of the Affordable Care Act, or Obamacare, as it is sometimes called) you could be denied, life insurance has policies for everyone. I would suggest that in your case, you contact an independent agent, (one not tied to a single brand name) who can help you shop for one that works best for you. You should not have a problem finding a policy that will work for you. Contact me if you need help, okay? Thanks for asking!

Answer on Does Universal Life Insurance Make Sense? by Jim Winkler

Jim Winkler — Sat, 07 Jun 2014 23:57:11 +0000

That is a great question! Universal Life Insurance makes sense if you want and can do, the following things: Be willing and able to consistently pay more than the minimum payment every month; Be willing and able to monitor the progress of your policy, and its cash reserves and interest rates; and be willing and able to invest in this policy over a significant amount of time. This kind of policy can be a great thing, or a heartbreak in the making, so it is not for the "buy it, make a minimum payment every month and forget about it" buyer. Depending upon what type of person you are, it may or may not make sense for you. Please contact me, if you'd like to discuss specifics, okay? Thanks for asking!

Answer on How To Search For Unclaimed Life Insurance Policy? by Jim Winkler

Jim Winkler — Sat, 07 Jun 2014 23:49:12 +0000

That is a great question! There are several good ways - the first being to see ( if you have access to the deceased's financial records) if there have been regular payments to a financial company or institution. That may be a sign of a premium payment. Contact the deceased's employer, and see if there were records of a policy through the benefits package; Contact your State's department of unclaimed property, and it will cost you a few bucks ($70?) but you can contact the Medical Information Bureau (MIB) they have a search engine that can look for your missing policy, if it exists. I hope that helps, if you need more, please feel free to contact me, okay? Thanks for asking!

Answer on Who Should Have Life Insurance? by Jim Winkler

Jim Winkler — Sat, 07 Jun 2014 23:39:21 +0000

That's an excellent question! There are some well known televised financial "guru's" that will tell you that you don't need life insurance, and they are right - if you have a sum of money set aside for covering your funeral expenses, and to provide for your families financial support when you pass. If that is you, and you have the $10-15,000 currently needed for a funeral, and 8-10x your annual salary saved up for them, ( in a place that might not get tied up in probate - the average is 4 years, at a cost of 40% of the value of the estate) then they are certainly right. Don't buy a policy. If you are in the other 99% of the group, you probably want a policy. The real answer to your question is do I need to protect my family, and if so, can I do it without life insurance? Not a lot of people can, unfortunately. If you would like help with deciding if a policy is right for you, please contact me, okay? I'd be happy to help you. Thanks for asking!

Answer on How Long Does A Term Life Insurance Last? by Jim Winkler

Jim Winkler — Sat, 07 Jun 2014 23:30:37 +0000

That is a good question! Term life insurance policies are generally set for an exact number of years, ranging from 1 (your work policies) to 30. The length of the term is clearly stated in the title of your policy. Your policy will show you many years after the stated term, and look carefully at the cost - see how it rises dramatically? If you want to renew it after your term expires, that is what you will pay. Other term policies, like the ones advertised for Senior Citizens on TV, and the "everyone's guaranteed" ones you get in the mail, don't have a specific start age ( the policy starts when you are approved and paid the first premium) but they have a definite end date - the day you turn 80. These policies are legitimate life insurance policies, with good companies behind them, but I have repeatedly found that the seniors purchasing them don't realize that they end, and leave them without any insurance that they can afford. These policies will also rise in price every few years also, another difference from a straight term policy. I hope that helps. Thanks for asking!

Answer on Does Obama Want To Cap Retirement Savings? by Jim Winkler

Jim Winkler — Sat, 07 Jun 2014 04:08:42 +0000

That is an excellent question! Unless you have more than $3 million in your annuity, you won't have to worry about it. ( if you are, you own one or more of the .03% of the nearly 21 million accounts that do, according to the Employee Benefit Research Institute) The idea presented in the latest budget proposal was meant to keep the super rich from being able to put huge sums into tax sheltered vehicles ( Romney's $100 million account was mentioned, as I recall). President Obama is trying to narrow the gap between the haves and the have nots, by closing or narrowing the loopholes that are being used. Will he succeed? Most likely not, since the majority of politicians are millionaires, and won't vote to cut their own profit generating schemes. According to the ERBI, only slightly over 1% of Americans over 60 possess this kind of wealth, so I feel safe in saying that you won't have your retirement fund capped. ( Even if it were to pass) Thanks for asking!

Answer on What Happens To Old Life Insurance Policies? by Jim Winkler

Jim Winkler — Sat, 07 Jun 2014 03:54:03 +0000

That is an excellent question! One of two things will happen. If the policy was paid up long ago, and has remained in effect, then it acts like any other policy, and when the insured passes, it pays out. Unfortunately, what happens most often is that Parents had a policy on the child, the parent that paid the bills passes, the policy doesn't get paid, goes into grace period, and then lapses, and cancels. All those years of payments go up in smoke. Please ensure that your loved ones have a copy, or access to, your finances, sand their payment schedules, so that this doesn't happen to you. I have had to have the conversation about unpaid policies far too often, and each time it breaks my heart to see the child realize there is no insurance. Thanks for asking!

Answer on Is A Life Insurance Policy Considered An Asset? by Jim Winkler

Jim Winkler — Sat, 07 Jun 2014 03:45:22 +0000

That is an excellent question! In most financial circles, life insurance would not be counted as a tangible asset. Term life especially has no value unless you pass; Whole life has no big payout until then either. The cash value in the policy is where the confusion starts. Most States have a limit for the amount of cash that you can have when applying for medical assistance, and if you have a sizable amount scattered between one or more policies, this might be considered an asset by the State. You would need to talk to a Medicaid expert in your area to determine how much, if any the Government will count. Speaking more loosely, yes it is an asset, because it protects your loved ones from hardship when you pass. That is a big plus in my book! Thanks for asking!

Answer on What Is Guaranteed Acceptance Life Insurance? by Jim Winkler

Jim Winkler — Sat, 07 Jun 2014 03:34:24 +0000

That is an excellent question! This kind of policy is generally one marketed to people who can not get a policy otherwise. There are typically few if any health questions, and about the only thing you need to have to purchase it is a valid ID, and the money. These policies are riskier for the insurer, so they hedge their bet by creating a "graded" or "modified" period at the beginning of the policy where the return if you die from any reason other than strictly defined accident is a return of what you paid in, plus some interest. These policies are for smaller face values, and are more expensive also. They are a great vehicle for someone who has issues that would otherwise make them uninsurable, but not the best fit for someone in good health. Please contact me if you would like to discuss this further, I'm happy to help. Thanks for asking!

Answer on How Can I Buy Life Insurance For My Parents? by Jim Winkler

Jim Winkler — Fri, 06 Jun 2014 18:34:50 +0000

That is a great question! It speaks well of you, that you are concerned enough for them to be willing to buy their policies for them. The first step is to make sure that they are willing to allow you to do it. If they do not willingly sign the applications, and understand what they are signing, the policies won't be issued, or there will be serious issues when you go to file the claims. If they are good with it, find an agent that can help you find a policy that best suits their health, age and financial needs, and your budget. Good luck, and if you would like help, feel free to contact me. Thanks for asking!

Answer on What Life Insurance Is Best? by Jim Winkler

Jim Winkler — Fri, 06 Jun 2014 18:27:55 +0000

That is an excellent question! The short answer is the cheapest one that accomplishes the need for what you want it to do, in the time frame that you want it to do it. There are many different variables that would define "best" for you, and without knowing your need, health, and price range, giving you a specific company and policy would be impossible, or unfair, at best. Please contact me, and I'll be happy to go through your specifics, and give you a more qualified answer. Thank you for asking!

Answer on How To Appeal Medicare Denial? by Jim Winkler

Jim Winkler — Fri, 06 Jun 2014 18:22:24 +0000

That is an excellent question, and one that I hope doesn't apply to you, or any of your loved ones. The best thing to do is find an advocate, or Lawyer to help fight the denial. There are many of them to choose from, as many Medicare claims are denied at first. Look for one that is recommended in your area, and let them fight for you. Good luck, and thanks for asking!

Answer on What Are Medigap Policies? by Jim Winkler

Jim Winkler — Fri, 06 Jun 2014 18:18:27 +0000

That is an excellent question! There is a "gap" between what your Medicare coverage pays for, and what the provider charges for the treatment. That difference, along with your co-pays and deductibles are what you have to come up with. For many folks, that amount is too much. So insurers offer Medigap plans, or supplemental insurance plans, to help fill in that "gap". The good part is that the plans provide a stable, easily accepted way to help cut your costs; the bad part is that there are many to choose from, and it can be very difficult to find the one that will work best for you. It is important that you work with your health care professional to get what is best for you. Thanks for asking!

Answer on What Will Happen To Medicare Advantage Plans? by Jim Winkler

Jim Winkler — Fri, 06 Jun 2014 18:11:30 +0000

That is an excellent question! According to the latest that I have read, The cuts that the Affordable Care Act ( Obamacare) have mandated are not expected to affect the services provided in any significant way. The cuts are being made in inflated overhead costs, and in benefits paid to health providers who have high rates of return patients. ( ones who were not well when released, or who picked up infections from their hospital stay, most commonly). There undoubtedly will be some providers who will close shop, as they will see significant cuts if they are inefficient, or ineffective in the treatment they provide, and some that were being fraudulent to begin with. Overall, the consensus seems to be that no services will be greatly affected, that billing procedures will be streamlined and improved, and that patients will receive better care. Thanks for asking!

Answer on Is Car Insurance More Expensive If You Drive A Convertible? by Jim Winkler

Jim Winkler — Fri, 06 Jun 2014 18:00:25 +0000

That is an excellent question! The answer is most likely, but not always. The factors in determining whether it will, are: The price of the car ; ( the more expensive the car, the more expensive the coverage) the make and model; ( repairing a 65 Mustang will be more expensive than repairing your 2002 Mustang, for example); and your driving record. Statistically, sports cars are more expensive policies than your family car will be, because you don't have the theft issues, speeding tickets, or accident claims that you will have in your sedate family car. But if you are a safe driver, with a great driving record, you should be able to find a policy that works for you. Thanks for asking!

Answer on Why Is Mandatory Health Insurance Good? by Jim Winkler

Jim Winkler — Fri, 06 Jun 2014 17:51:50 +0000

That is an excellent question, and I am glad that you asked it! With all of the misinformation that has been spread about the Affordable Care Act (Obamacare) it has been difficult to figure out what is true, and what isn't. As you know, the Act mandated health care for everyone. The reason for this was two fold. The first reason is that for many people, the only reason that they bought it was because they were unhealthy, and were afraid that their health would at some point require expensive treatments. ( which statistically, it did). This raised the overall costs of insurance for everyone. By mandating the insurance, The pool of applicants now included all of the "healthy people " as well, which theoretically, and statistically lowers the per-person cost of insurance. The other reason was that people who could afford insurance but didn't buy it were receiving medical treatment anyway. Who do you think was paying for that treatment? Yup, we were. Now some of that cost shifts back to the individual where it belongs, and not to the general public. That also should theoretically lower all of our treatment costs, as the medical practitioners are getting paid for their services. Personal freedom arguments aside, financially it is a good idea, and it has worked well in Massachusetts since Mr. Romney instituted the plan there. Thanks for asking!

Answer on Can An IRA Own Life Insurance? by Jim Winkler

Jim Winkler — Fri, 06 Jun 2014 17:26:37 +0000

That is an excellent question! The answer is no, because the IRS prohibits it. However, there are retirement plans that do allow the plan to include life insurance. They are very closely watched by the IRS, and the premiums paid into the account must be a smaller percentage than what your employer contributes. The death benefit must also be small enough to be considered "incidental" to the value of the entire portfolio.The ways the premiums are invested are mandated, and it has to be an employer run plan. There are also tax differences from your normal, unqualified life policy. Thanks for asking!

Answer on Is Medicare Income Based? by Jim Winkler

Jim Winkler — Fri, 06 Jun 2014 17:16:44 +0000

That is a great question! Medicare was set up originally to provide all seniors with affordable health care, so the Medicare part B benefit is typically free. The additional parts though, parts A and the prescription benefit part D do have a sliding scale of cost based upon your income level. Part B will set you back a minimum of $149 a month. Please get with a professional, and have them help you set up a plan that works for you. Thanks for asking!

Answer on How Much Life Insurance Should You Carry? by Jim Winkler

Jim Winkler — Fri, 06 Jun 2014 17:08:20 +0000

That is an excellent question! The answer is that it depends upon what you want the insurance to do for you. If it is just to cover funeral expenses, then typically a smaller, $10-20,000 policy should be fine. If you are trying to cover mortgage, college, or other major debt that would be left to your spouse, then you want at least that much. If it is to provide a legacy for your children, then however much you'd like to bless them with is the amount needed. If it is to provide your spouse with the income lost when you pass, then you will want to do some math, and decide upon how many years' salary to choose. If you need help, please contact me, okay? I'd be happy to help. Thanks for asking!

Answer on Does Life Insurance Go Into An Estate? by Jim Winkler

Jim Winkler — Fri, 06 Jun 2014 16:50:35 +0000

That is a great question! Ordinarily, no it wouldn't. The process being that when you got the policy, you named a beneficiary, and hopefully a contingent beneficiary, and then kept up with those designations. When you pass, the policy proceeds would go to the named beneficiary. Should the beneficiary have preceded you in death, the proceeds would move to the contingent beneficiary. Only when there is no named beneficiary to receive the benefit, or a spouse to claim it, would it fall back to the estate. At that point, you've got taxes, and probate issues, so it is always wiser to have your beneficiaries up to date. Thanks for asking!

Answer on When Should I Buy Annuities? by Jim Winkler

Jim Winkler — Thu, 05 Jun 2014 21:10:59 +0000

That is a great question! Many annuity companies will ask that you be 50 or over, to sell you an annuity. Most importantly, you will need to be in a "suitable" financial state to do so. The insurance industry realizes that once you've invested into an annuity, you can't touch the money for several years without incurring large fees. So you have to be in a place where you can put the money aside, and not endanger the liquidity or cash availability for yourself. If it would, the annuity is considered "unsuitable" and to protect you, the sale would be denied. If you would like more information, please contact me, ok? Thanks for asking!

Answer on What Is The Difference Between Annuities And Mutual Funds? by Jim Winkler

Jim Winkler — Thu, 05 Jun 2014 20:53:50 +0000

That is an excellent question! A mutual fund is a financial vehicle that takes a sum of your money, and then invests it into stocks and bonds that the fund managers choose. There may be gains, or losses, depending upon the choices, how well they perform, and the fees that you pay for the fund to be managed. An annuity is a contract with an insurance company where you basically give them a lump sum of cash, and they in turn promise you a given rate of return on that money, and a guaranteed period of time to pay you from it. You can have small gains, or large gains from an annuity, but cannot lose anything, as they guarantee at the minimum what you gave them to fund the annuity. The insurance company invests the money that you give them, and they assume the risk of gains or losses. I hope that helps. If you would like more info, please contact me, ok? Thanks for asking!

Answer on Does My Auto Insurance Cover Me In Europe? by Jim Winkler

Jim Winkler — Thu, 05 Jun 2014 20:28:07 +0000

That is a great question! Unfortunately, I can't give you a very positive answer. I do not know of a single US auto insurer that will extend coverage to you overseas. I know that if you were asking about Canada, or even Mexico, that I could give you a better answer, but not for Europe, I'm afraid. Sorry, and thanks for asking!

Answer on Why Have Car Insurance? by Jim Winkler

Jim Winkler — Thu, 05 Jun 2014 20:24:05 +0000

That is a great question! The best answer I can give you is because it's the right thing to do. First, it's right because it demonstrates responsibility in protecting yourself, and others on the road; secondly it shows responsibility in obeying the law, as auto insurance coverage is mandated by law. Responsibility is a good thing, especially if you are going to be driving. Thanks for asking!

Answer on Who Can Purchase Annuities? by Jim Winkler

Jim Winkler — Thu, 05 Jun 2014 20:20:19 +0000

That is a great question! Annuities are considered to be life insurance products, but they have some notable differences. The first is that unlike insurance, there are no requirements as to your health to purchase one. The second is that in many cases, annuities are paid for in one lump sum, not in monthly increments. The third, and perhaps most important, is that anyone can purchase life insurance, but not everyone can buy an annuity. The reason is that there has to be a "suitability" for the sale - the removal of the cash to purchase the annuity can not put you into a position of financial difficulty, or it is not a "suitable"" financial venture. A good insurance company would not allow , for example, a person with a net worth of $50,000 to purchase a $30,000 annuity, and probably would decline one for an even lesser amount, depending upon the person's financial state. Please consult with an agent, to see if an annuity is something that would work well for you. Contact me, if you would like more info. Thanks for asking!

Answer on Is Life Insurance A Liquid Asset? by Jim Winkler

Jim Winkler — Thu, 05 Jun 2014 20:11:20 +0000

That is a great question! Technically speaking, no, it is not. A liquid asset by definition is one that is easily moved, like cash, checking or savings accounts. Something like an unrevokable trust, annuity, or life insurance policy isn't, because you cannot readily get your cash. In the case of life insurance, the big payout doesn't come until after you've passed, when you can't use it. There is a portion of it, assuming you've a whole life policy, but that is considered a loan, and not free cash. Hope that helps!

Answer on Does Number Of Car Doors Affect Insurance? by Jim Winkler

Jim Winkler — Wed, 04 Jun 2014 18:07:19 +0000

That is a great question! It isn't so much the number of doors, as it is the make and model of the car. A sports car is generally going to be more expensive to insure than a station wagon, typically because of the way they are driven. Statistically, the sports car will be more likely to be involved in an accident or garner traffic violations, than the pedestrian, family car. The sports car will typically be more expensive than the average family sedan also, making the premiums higher. That is what will cost you, not the number of doors, so much. Thanks for asking!

Answer on How To Write A Letter To Cancel Auto Insurance? by Jim Winkler

Jim Winkler — Wed, 04 Jun 2014 18:01:16 +0000

That is a great question! Basically all that you will need to do is write a note that tells them that you would like to cancel the insurance that you have with them, policy #xxxxxxx, effective as of whatever date that you would like for it to end, and sign and date it. You will also want to make sure that you are paid up through that date, and that they don't owe you money for excess premium paid. I hope that it is safe to assume that you have found other coverage before you do that. Take a look at your policy, or call your agent, just to be certain that there isn't a 30 day notice required, okay? Thanks for asking!

Answer on Can You Borrow From A Life Insurance Policy? by Jim Winkler

Jim Winkler — Mon, 02 Jun 2014 12:58:58 +0000

That is an excellent question! One of the biggest perks of having a whole life policy is that it gives you the opportunity to borrow cash without having to jump through the hurdles that a bank or lender might make you do. The only requirements are: That it is a whole life policy (term policies do not have a cash feature) that has been active for awhile (it generally takes two to three years to start accumulating any measurable amount of cash) and that you are the owner of the policy. Please contact your agent, and find out if there are any fees attached to your loan, and how the loan will affect your policy. In some cases, you may be able to repay it slowly, in others you may not need to repay it at all; in some cases not paying it back can cause your policy to end. Check first, okay? Thanks for asking!

Answer on What does final expense mean in life insurance? by Jim Winkler

Jim Winkler — Mon, 02 Jun 2014 12:51:53 +0000

That is a great question! It is just another name for life insurance, one designed to create a concern over your mortality. In earlier years, ( and in some areas still is) it was marketed as burial insurance, when pitched to lower income families who needed help with the funeral expenses of their loved ones. There isn't a whole lot of glamour or flash when it comes to insurance, so if there is a way to grab your attention and get you to buy, believe me someone will try it. It is a solid insurance; typically more forgiving on health issues, and generally for amounts that are enough to cover funeral expenses, often with a little left over. Hope that helps, thanks for asking!

Answer on How Much Is Taxed On Life Insurance? by Jim Winkler

Jim Winkler — Sun, 01 Jun 2014 23:54:15 +0000

That is a great question! Since the money that you use to pay the premiums are paid after taxes, the money paid back to you upon the death of the insured is non-taxable. In almost every case, the beneficiary does not have to report that money on either their State or Federal tax returns. Thanks for asking!

Answer on How Is Obamacare Different From Car Insurance? by Jim Winkler

Jim Winkler — Sun, 01 Jun 2014 23:50:51 +0000

That is an interesting question! I guess the biggest difference ( other than health insurance and car insurance being apples and oranges) is that the Affordable Care Act (Obamacare) helps pay for your policy if you qualify, and there is no such help with your auto insurance. Auto insurance also is a reactive insurance, generally only used after an event has occurred, while health insurance can be used proactively, utilizing checkups and screenings to prevent the need for a large claim down the road. Thanks for asking!

Answer on What Insurance Should I Get When I Rent A Car? by Jim Winkler

Jim Winkler — Sun, 01 Jun 2014 16:16:32 +0000

That's a great question! If you have auto insurance of your own, and your coverage is enough, you are fine using it. Check with your agent to be certain. If you don't, the rental car company will have policies you can purchase. You may already have coverage as a perk from your credit card company, many companies will throw in rental car discounts and insurance when you use their card. Call them and see! Thanks for asking!

Answer on How Do I Find Out Who My Car Insurance Is With? by Jim Winkler

Jim Winkler — Sun, 01 Jun 2014 16:11:14 +0000

This is an interesting question! I'm going to assume that you know who you give your payment to every month, and carry the proof of insurance card with you, like the law requires, so your question must be "who is the parent company of my insurance company". You can usually follow that trail by looking for the name in the fine print, or the logo of that company on your companies home page. I hope that helps, and thanks for asking!

Answer on Can You Borrow Against A Universal Life Insurance Policy? by Jim Winkler

Jim Winkler — Sun, 01 Jun 2014 16:06:13 +0000

That is a great question! Universal life policies do accumulate a cash value, so yes, you can borrow from it; if funded correctly, and assuming that investments work out with the promised returns it should be okay to borrow from. However, this kind of policy is a strange kind of animal. It is only guaranteed to last a certain period of time, and then the cash value becomes the premium that you would have had to pay to keep it going. If you borrow from the value, and aren't very careful, you can tank, or shorten, the life of the policy. Please consult with your agent before you borrow, okay? If you would like more detail, please contact me, and I'll fill you in. Thanks for asking!

Answer on How Can I Get Health Insurance If I Can Afford It? by Jim Winkler

Jim Winkler — Sat, 31 May 2014 18:28:59 +0000

That is a great question! The best place to shop is at the Affordable Care Act (Obamacare) website, www.healthcare.gov as there is a very good chance that you can qualify to get help paying for your plan. If you attempt to get a policy elsewhere, you may not get that help. The website will also have phone numbers for advisors who can help you navigate the exchange. If you have further questions, please contact me, I'll be happy to help you. Thanks for asking!

Answer on Why Is Life Insurance Cheap? by Jim Winkler

Jim Winkler — Sat, 31 May 2014 15:23:13 +0000

That is a great question! Life insurance can be offered at low rates, because the cost of it is spread out over time. The earlier in life that you buy it, the cheaper it is, since you will have longer to pay. Think of it like buying a house - since the payments for the house are spread out over many years, you don't have to come up with a large amount all at once, same with life insurance. Thanks for asking!

Answer on What Is No Medical Exam Life Insurance? by Jim Winkler

Jim Winkler — Sat, 31 May 2014 14:37:14 +0000

That is a great question! Simply put, a no-med exam policy is just that - there are no para-meds or doctor's exams required to get the policy. Instead, there is usually a phone interview with an underwriter, or a series of health questions , or possibly no questions at all. In the case of the interview or questionnaires, the company will also check your pharmacy records, and with the MIB for your insurance claim history. These policies are usually for lower amounts of death benefits, and may have conditions attached about when, and how much, they pay out. Please ask a trusted agent to help you, okay? Thanks for asking!

Answer on Is Whole Life Insurance A Good Investment For Kids? by Jim Winkler

Jim Winkler — Sat, 31 May 2014 14:31:03 +0000

That is an excellent question! I am very hesitant to use the word investment when talking about life insurance in any sense, as it isn't designed to be like the stock market or mutual funds, where you invest a lump sum, and gain or lose off the investments' growth. With life insurance, you make a steady payment, the premium, and the return for that payment is clearly defined: the face value, or death benefit. That said, it is a very common event that the amount of premiums paid are far less than the payout when it happens, but the insured isn't there to gain from it, as it only pays out when they pass. I'd say that they are theoretically more like a savings account than an investment, as they are an excellent way to get cash when it might otherwise not be loaned to you. You can borrow out of the accumulated premiums that you have paid in. Another way that it will be a smart financial move for your children is that purchased as children, you lock in a very inexpensive price for the policy, that will never change. From that respect, you can save them a ton of money over the years from what they would have paid, purchased later in life, with health issues. Many companies will also allow for periodic increases in the amount of insurance without questions, a godsend if the child has developed issues with their health. I'd love to discuss this with you privately, please contact me. Thanks for asking!

Answer on Can Obese People Get Life Insurance? by Jim Winkler

Jim Winkler — Sat, 31 May 2014 13:56:12 +0000

That is a great question! This is one of the occasions where an independent agent is really worth finding. They can look at several companies for you, and look for the best company for you. There are some companies that will look at your weight seriously as a consideration, ( too heavy, and too thin) some that give it some consideration, and some that don't ask at all. After finding one of them, it will come down to your health, and what issues you have. If you would like some help, please don't hesitate to contact me, okay? Thanks for asking!

Answer on How Would You Rate Life Insurance As A Form Of Investment? by Jim Winkler

Jim Winkler — Sat, 31 May 2014 13:48:09 +0000

That is a great question! The answer is that as an investment in your peace of mind, it is priceless. As an investment in your future, and in knowing that you've protected your loved ones, it's again, priceless. As a financial product, not so much. Life insurance is not designed to make you rich, in fact, it has safeguards built in to keep someone from trying to overinsure themselves. Agents are actually advised to never use certain potentially misleading words in their presentations, and investment is one of them. Any agent that tells you that you can make a ton of money off of life insurance should be politely dismissed. Many will promote policies that are showing you large cash growth numbers, but if you look closely at what has to happen for those numbers to be realistic, they often prove themselves to not be. Please feel free to contact me for more specifics, okay? Thanks for asking?

Answer on Is All Term Life Insurance The Same? by Jim Winkler

Jim Winkler — Sat, 31 May 2014 13:39:25 +0000

That is a great question! I'd say yes, in the same way that white and wheat breads are the same - they are both bread in function, but not in form. Term policies are the same way. They are the same in that they all end, and have no cash value, but there are several forms of them. If you would like more detail, please feel free to contact me, okay? Thanks for asking!

Answer on What Is A 1035 Exchange Life Insurance? by Jim Winkler

Jim Winkler — Fri, 30 May 2014 20:55:06 +0000

That is a great question! A 1035 exchange is an IRS process that allows you to swap valuable cash value and interest gains from one life insurance policy or annuity to another, with out having to pay taxes on that money. It has to be done within a window of time, or that money creates a taxable event, and Income taxes are applied. If you are considering one, please talk to a tax attorney, or a senior agent first. Thanks for asking!

Answer on Do I Need Proof Of Insurance To Register A Car In Texas? by Jim Winkler

Jim Winkler — Fri, 30 May 2014 20:21:52 +0000

That is a great question! Yes, you will need to have proof of insurance to register your car, and to have it inspected. It must be insurance from here in Texas, so if you show up at the registrar's office with your current out of State policy, they will turn you away. The car will have to be inspected annually, and current insurance coverage is required to do that also. Thanks for asking!

Answer on Will Homeowners Insurance Cover Roof Leak? by Jim Winkler

Jim Winkler — Fri, 30 May 2014 20:12:41 +0000

That is a great question! The best answer is to contact your insurance agent, and have them explain to you in detail what is, and is not covered, and to what extent. There are some things that they will cover, and some that they cover when clauses are added, so it's important to know for sure. In most cases, it should be. Thanks for asking!

Answer on How Much Will Insurance Pay For A Totaled Car? by Jim Winkler

Jim Winkler — Fri, 30 May 2014 20:06:08 +0000

That is a great question! Basically what happens is that the insurance company will refer to a resource like the Blue Book, or their company's guidelines, and that is the amount that they will offer. It can be changed, if you had a stereo system, rims, or something else done to the car that would have increased it's value from what a "normal" car same make/model/year would have. Don't let them lowball you, ask for more. Often they will compromise with you, and pay more. Good luck, and thanks for asking!

Answer on Does Renters Insurance Pay For A Hotel? by Jim Winkler

Jim Winkler — Fri, 30 May 2014 19:55:07 +0000

That is a great question! If your apartment is destroyed or damaged to the point that it is not safe to live in, your renters policy will provide for housing. You will want to check on the policy specifics, for some it is a per day amount, for others it is a number of days kind of thing. It is one of those things that makes renters insurance such a great thing to have! Thanks for asking!

Answer on When Does My Health Insurance Run Out? by Jim Winkler

Jim Winkler — Fri, 30 May 2014 19:47:12 +0000

That is a great question! Your health insurance is the perfect example of a term policy. It lasts one year, and then ends, and you can renew it, or get another one year policy from another company. Your health insurance policy ends in December yearly, and you renew or purchase starting in October/November. Thanks for asking!

Answer on Does Life Insurance Cover Breast Cancer? by Jim Winkler

Jim Winkler — Fri, 30 May 2014 12:32:35 +0000

That is a great question! If what you are asking is if your passing from breast cancer will keep your life insurance from paying out, it won't. That said, it will not help pay any of your current bills, unless you are borrowing out of it, or are exercising the accelerated benefits clause because you've been told that you are terminal. If your life insurance is an accidental death and dismemberment (AD&D) policy, then you are in trouble, they do not pay for illness, or sickness, unless they were a direct result of an accident. If you need to talk to someone about this, please contact me. I'll make the time for you. Good luck, and thanks for asking!

Answer on Is Renters Insurance Mandatory? by Jim Winkler

Jim Winkler — Thu, 29 May 2014 17:44:59 +0000

That is a great question! There is no requirement, like auto or health insurances to have to have it, but it is a good idea to have a policy. Your landlord can include the insurance as a requirement to rent to you, however. I always recommend that you get a policy, ( they are not expensive at all) especially if there is a chance that you could be robbed, or have a neighbor that could cause damage to the building, or your stuff. Unfortunately, that's just about everybody. Get a policy, okay? Thanks for asking!

Answer on How Much Home Insurance Do You Need? by Jim Winkler

Jim Winkler — Thu, 29 May 2014 17:33:53 +0000

That is an excellent question! The first thing that I would tell you is to find a good agent to help you with this. You will want to have a good idea of the value of your belongings, and decide whether it is better for you to pay more, and get replacement value (paid for new) or pay less, and get actual value ( paid, but minus age and depreciation values). You will also want to have an idea of whether you have a collection, or items that might need to be specially insured. Again, a good agent can help you with those decisions. Good luck, and thanks for asking!

Answer on When To End Term Life Insurance? by Jim Winkler

Jim Winkler — Thu, 29 May 2014 17:24:26 +0000

That is a great question! The absolute best time to cancel it is when you no longer need it - if the debt you'd gotten the policy to cover is paid off, cancel it. If you got it to act as life insurance, then try to convert it, or cancel it before the stated term ends - it will increase in cost exponentially after that point. If you need help, please contact me, okay? Thanks for asking!

Answer on Is Life Insurance Surrender Value Taxable? by Jim Winkler

Jim Winkler — Thu, 29 May 2014 17:20:25 +0000

That is an excellent question! To put it simply, you have already paid taxes on the money that you have paid into the policy. If the surrender value is equal to, or less than that amount, then there are no taxes on it. If there has been interest, or investment income added to the premiums you've paid in, then that extra amount can be considered as income, and that part taxed. Sometimes it makes more sense to borrow out of the policy, and keep the coverage, and get the cash you need. If you'd like to discuss that further, please feel free to contact me, okay? Thanks for asking!

Answer on What Is A Life Insurance Endowment Policy? by Jim Winkler

Jim Winkler — Thu, 29 May 2014 17:15:22 +0000

That is a great question! When your policy endows, it pays out, or the cash value has equaled the face value of the policy. For example, a policy that endows at age 100 will give the policy owner the option of taking the face value of the policy in cash at that point, or leaving the policy in force until such time as it is needed. I hope that helps! Thanks for asking!

Answer on Does Life Insurance Really Pay? by Jim Winkler

Jim Winkler — Thu, 29 May 2014 17:08:51 +0000

That is a great question! I think that it is a shame that we even have to ask anymore if companies are honest...In all the policies I've ever written, only one did not pay out the whole amount, and that was because they thought there was some false answers on the application. They still paid back everything that had ever been paid in, plus some interest. There are a great many companies that are honest, and do the right thing. If you want to see how honest yours is, go to your State's Department of Insurance site, and look at the complaints filed. If you are in the process of deciding whether life insurance is right for you, please contact me, and we'll discuss your concerns privately. Thank you for asking!

Answer on How Much Will My Life Insurance Payout? by Jim Winkler

Jim Winkler — Thu, 29 May 2014 03:07:08 +0000

That is a great question! The amount that your policy pays to the beneficiary is called the face amount, or death benefit. It is the stated sum on the policy , ( the large number) and there will also be a smaller number called the surrender value. If the insured passes away, the company pays the face value ( minus any loans, or unpaid premiums) to the beneficiary. If you decide to cash the policy out early, the surrender value (minus loans, fees, and unpaid premiums) are paid to the policy owner. Thanks for asking!

Answer on Can Car Insurance Rates Be Negotiated? by Jim Winkler

Jim Winkler — Thu, 29 May 2014 03:00:14 +0000

That is a great question! Not only can you, but you should! It is never a bad idea to get competitors quotes, and see if your current company will match them, many will, especially if your driving record is good. You can also ask for discounts for multiple vehicles, policies, and drivers. You can also look into company discounts, AAA, or AARP discounts that may be available, if you only ask. Good luck, I hope you save a bundle! Thanks for asking!

Answer on If I Don’t Have Auto Insurance Can I Rent A Car? by Jim Winkler

Jim Winkler — Thu, 29 May 2014 02:52:30 +0000

That is a great question! If you don't have a policy, you can purchase one from the rental company. They are a bit pricy, and will have a lot of limitations, but if you are a safe driver, it is normally good enough. You might want to call your credit card company first though - a lot of cards offer that coverage as a perk for having the card! Who knows, it might be the case for you. Good luck, and thanks for asking!

Answer on Can I Have Auto Insurance In Another state? by Jim Winkler

Jim Winkler — Thu, 29 May 2014 02:46:38 +0000

That is a great question! The answer is you really don't want to. First, most States will require that the car be licensed and registered in the same State, and levy fines or license suspensions if they find it isn't. The insurance company will more often than not deny a claim, or even cancel your policy if they find that you misrepresented where the car was being used. All in all, it's not a good idea. Thanks for asking, though!

Answer on Can A Learner Driver Get Car Insurance? by Jim Winkler

Jim Winkler — Thu, 29 May 2014 02:40:12 +0000

That is a great question! In most cases, the learner is added to someone else's policy as a driver until such time as they can get their own policy. Parents add their child as a driver on the vehicle, as it is generally cheaper than the policy for a teenager would be. Thanks for asking!

Answer on Why To Buy Whole Life Insurance? by Jim Winkler

Jim Winkler — Thu, 29 May 2014 02:36:51 +0000

That is a great question! There are a couple of reasons why a whole life policy makes sense. One would be if it is purchased for a young child. The price is locked in at that low rate for their entire life, and many companies will offer the opportunity to increase that coverage without any questions. The second is that the policy doesn't end, so there is no way that you can outlive it. Many senior citizens purchase the policy advertised on TV by the large senior citizen advocate company, only to find that it ends when they turn 80. Given that the average life expectancy is 84 for women and 82 for men, for many that is a terrible surprise to find that the policy ends, and that getting another one is too expensive, or not available due to their health issues. The third is that no matter how badly your health declines, you have insurance that can't drop you, or raise your rates. When your term policy ends, and you want to get another one, your age and health issues are re-evaluated when determining eligibility and price. Please feel free to contact me if you would like to discuss this further. Thanks for asking!

Answer on Can A Lender Require Credit Life Insurance? by Jim Winkler

Jim Winkler — Thu, 29 May 2014 02:26:15 +0000

That is a great question! The lender is going to ask you to have this insurance if they believe there is a reasonable chance that they may not get repaid. This is a common requirement in mortgage lending, for example, when large sums are loaned. As such, it may be a requirement for them to issue you the loan. You can either decline to purchase the insurance, and look for another lender, or if possible, show them proof that you have another way to pay off the loan if needed - like a sizable life insurance policy. It may be cheaper to purchase a decreasing term loan, and show them that, than it would be to purchase their policy. If you would like more details, please contact me. Thanks for asking!

Answer on How Do I Borrow Against My Life Insurance? by Jim Winkler

Jim Winkler — Thu, 29 May 2014 02:17:56 +0000

That is a great question! You need to have a whole life policy to be able to borrow anything. Term policies have no cash value to borrow from, so the first step is to determine what policy you have. The second step is to see how long the policy has been in force. If it has only been a year or two, in most cases there won't be anything yet to borrow. If the policy is a few years old, the company can tell you what your borrowable amount is. They will send you a form, and after processing it, a check. Hope that helps, and thanks for asking!

Answer on Questions To Ask When Considering Life Insurance? by Jim Winkler

Jim Winkler — Thu, 29 May 2014 02:10:26 +0000

That is a great question! The things that you want to know going in - what do I want the insurance to do? ( cover funeral expenses, leave an income, cover expenses, pay estate taxes, etc.) How long do I need it for? ( short term, or long term goal?) How much can I safely afford to spend? ( what you want may not be what you can afford) For the agent, you want to know -how financially stable is your company? Are you independent? ( a captive agent can only give you quotes from one company) and Who is your insurance with, and why? I hope that helps! Thanks for asking!

Answer on Can Life Insurance Be An Investment? by Jim Winkler

Jim Winkler — Wed, 28 May 2014 21:47:13 +0000

That is a great question! The simple answer is yes, it can be considered an investment in peace of mind, in your family's security, and in your future. Agents are warned to not use the word "investment" when discussing life insurance with you, because of the possibility of leading you to believe that a policy will pay more than the face value that it promises to pay. There are some policies out there that can grow a large cash value, but even those can eventually end up eating that cash value and ending up leaving you with what it promised. A life insurance policy is not designed to make money like the market or bonds would. But it is an essential part of your financial planning, and for your estate planning. If you would like more detail, please contact me, and we'll discuss your question further. Thanks for asking!

Answer on Will I Be Denied Life Insurance? by Jim Winkler

Jim Winkler — Wed, 28 May 2014 21:37:26 +0000

That is a great question, and I'm glad that you asked it, because the answer is one that many people should know. Life insurance is one of those things that you should have help buying, because there are so many things to consider when looking. Being denied for a policy will hurt you when you look for the next. That is a big red flag among insurance companies. The bad thing about many of the TV advertised or mailed policy offers is that the questions on the application seem simple enough, but the small print is where you get denied. Please always seek out an insurance professional, to help you find the right policy for you. If you need help, please feel free to contact me, I'm happy to help, okay? Thanks for asking!

Answer on Which Company Has The Cheapest Homeowners Insurance? by Jim Winkler

Jim Winkler — Wed, 28 May 2014 15:39:27 +0000

That is a great question! Unfortunately though, one that is difficult to answer, as "cheapest" is a relative term when talking about insurance. What you need to think about when purchasing insurance is the balance of what you will pay, vs. what they will pay to replace. So you can buy a very cheaply priced policy, and save money that way, but if your home is destroyed, and the policy only pays for a small part of what you will need to pay for to replace, was it worth it? please consider finding a local agent that can help you find an affordable policy that will provide you with adequate protection. Thank you for asking!

Answer on What Does Homeowners Insurance Cover In A Hurricane? by Jim Winkler

Jim Winkler — Wed, 28 May 2014 15:30:26 +0000

Oh, this is a great question! This is one of those questions that really requires that you to look at your policy, and the way that it is worded. Many homeowners are in for a shock when they realize that water from the ground surge isn't covered, unless they have flood insurance, or a rider that includes it. Same with wind damage. Often, deductibles are higher when hurricane damage coverage is included, so that might give you an idea if it is covered in your policy. Get with your agent, and see. Depending upon where you live, and the company that you bought from, you may well be covered, but it never hurts to be certain, especially before you need to know. Thanks for asking!

Answer on How Much Is Homeowners Insurance For An Apartment? by Jim Winkler

Jim Winkler — Wed, 28 May 2014 15:22:08 +0000

That is an excellent question! My advice for you is to find an independent agent (one who isn't tied to a particular brand) an have them look at several policies for you. They can look for one that gets you the coverage and price that you want. Saves you the footwork! Thanks for asking!

Answer on Why Does My Landlord Want Me To Have Renters Insurance? by Jim Winkler

Jim Winkler — Wed, 28 May 2014 15:17:04 +0000

That is a great question! There are a couple of reasons, one that favors you, and one that favors them. They want you to have renter's insurance because it provides you with protection in the event that something were to happen that might cause you to suffer a loss of property. It also protects them, as it helps lower their insurance risk, and thus their bill. Thanks for asking!

Answer on What Is A Good Deductible For Car Insurance? by Jim Winkler

Jim Winkler — Wed, 28 May 2014 14:56:47 +0000

That is a great question! The goal of finding the right deductible is the balance of policy cost vs. what you could afford to pay, if you needed to. Often you will be advised that taking a high deductible will save you over the long run. That is true, unless you have a need to file a claim. If you cannot come up with the money for the deductible, your car won't get fixed, and then what did you save? Try to look at what the most is that you could come up with if needed, and then look at a policy that prices best for you at or below, that amount. Thanks for asking!

Answer on Where To Buy Health Insurance With Pre Existing Conditions? by Jim Winkler

Jim Winkler — Wed, 28 May 2014 14:47:31 +0000

That is an excellent question! One of the best things about the Affordable Care Act ( Obamacare) is that for the first time, your pre-existing condition can no longer prevent you from receiving insurance coverage. There are also no longer lifetime caps on your treatments. The best place to get your coverage is at the ACA website, www.healthcare.gov where you can shop for coverage, and possibly qualify for a subsidy that will help pay for that coverage. Good luck, and thanks for asking!

Answer on Why My Health Insurance Is Going Up? by Jim Winkler

Jim Winkler — Wed, 28 May 2014 02:52:07 +0000

That is an excellent question! There can be a number of reasons why the price increases. The company may need to recapture expenses and profits, and raises their rates. Your health issues may have changed, or your providers changed or dropped coverage, making it more expensive to find and pay for those services. It could just be that you are a year older, and thus more expensive. I hope that helps, and thanks for asking!

Answer on Who Sells Homeowners Insurance? by Jim Winkler

Jim Winkler — Wed, 28 May 2014 02:42:01 +0000

That is a great question! There are a ton of reputable companies that offer homeowners policies. It is a good idea to shop around, and get several quotes. Ask your friends and family who they used, and how they like the service and policy coverage. Look at some ratings companies like A.M. Best, or Standard and Poors to gauge the financial stability of the company, and their ability to pay claims. Then choose your best option. Good luck, and thanks for asking!

Answer on How To Claim Life Insurance Money? by Jim Winkler

Jim Winkler — Wed, 28 May 2014 02:37:11 +0000

That is a great question! If you are the beneficiary, then you are the only one who can file the claim to receive the death benefit. Contact the insurance company, and file a claim. They will send you a form that needs to be completed, and sent back, along with a copy of the death certificate. Once the claim has been processed, the funds are released. I hope that helps. Thanks for asking!

Answer on How Much Do Life Insurance Brokers Make? by Jim Winkler

Jim Winkler — Wed, 28 May 2014 02:30:16 +0000

That is an excellent question. The answer is that the income depends upon the agent. We are paid on commission, meaning that if we don't sell, we don't get paid. The agents that are good at sales, and are motivated to work hard can make a ton of money. Many agents are working around kids' school activities, or a part time job, and make considerably less. It really is all up to them. Thanks for asking!

Answer on Can You Buy Flight Life Insurance? by Jim Winkler

Jim Winkler — Wed, 28 May 2014 02:25:39 +0000

That is a great question! You bet there is, and insurance companies love to sell it! The safety record for flights is really very good, and it is very rare when the company has to pay a claim, so they make a lot of money on these policies. Before you purchase one though, check with your credit card company - many times that is a perk they offer for free in their benefits package that everyone forgets about. Thanks for asking!

Answer on Why Is Whole Life Insurance Better Than Term? by Jim Winkler

Jim Winkler — Wed, 28 May 2014 02:21:05 +0000

That is an excellent question. You should be aware that there are times when a term policy makes more sense to have, but there are two points that make a whole life policy better than a term. The first is that a term policy ends. After that happens, you have to renew, or get another policy. If your health declined during the policies life, that may make it difficult to get another policy. In any event, your increased age will cause the new policy to be more expensive. A whole life policy ends when you do. your health can decline, and it has no effect on your locked in payment. The second is that term policies have no value, other than what the face amount is should you pass. A whole life policy will generate a fund of cash that can be borrowed against, should you ever need. I hope that helps. Thanks for asking!

Answer on How To Determine Life Insurance Need? by Jim Winkler

Jim Winkler — Wed, 28 May 2014 02:06:51 +0000

That is an excellent question! There are a lot of different thoughts on the answer. I always ask two questions, and one used to drive my uplines crazy, but I always believe client over profit, so I ask. The first is what do you want it to do? The second is what can you afford to spend? It is all well and good to want a million bucks worth of insurance, but if you can't swing the premium payments, then it isn't realistic. We look at what you can safely afford to spend, and then we get the maximum amount of insurance for that amount. If that amount only covers the funeral expenses, it is still a gift of love to your family. If it gets your family financially set, that's even better. Please contact an agent that you can trust and have them help you. If you would like help, please feel free to contact me, okay? Thanks for asking!

Answer on Who Gets Life Insurance If No Beneficiary? by Jim Winkler

Jim Winkler — Wed, 28 May 2014 01:54:26 +0000

That is a great question with a really bad answer. It is really important to name a primary beneficiary, and a contingent one, just in case. If there isn't a beneficiary, then the proceeds go into probate court. That can cost you up to 40% of the proceeds (in Texas) and several years if it is contested. In any case it is a bad situation that is easily avoided. Call your agent and check the beneficiaries, the owner is the only one who can name them.Good luck, and thanks for asking!

Answer on Is Accidental Overdose Covered By Life Insurance? by Jim Winkler

Jim Winkler — Wed, 28 May 2014 01:45:40 +0000

That is a great question! The answer is yes , it is, unless the death is a result of overdosing on illegal narcotics, and your policy is one of those that state they do not pay for death resulting from the commission of a crime. They may also contest if the questions that ask about drug and alcohol use/abuse are deemed to have been falsified. In every other case, provided that the death occurred outside of the contestability period, there should be no issues. Thanks for asking!

Answer on Does Life Insurance Cover Alcoholism? by Jim Winkler

Jim Winkler — Wed, 28 May 2014 01:12:20 +0000

That is a great question! The answer is yes, unless the answer on the application about drinking was falsified, (generally along the lines of "have been told they have, been treated for, or prescribed medication for alcohol abuse/dependency or addiction?", or "been asked to reduce the intake of or discontinue use of drugs or alcohol?") or the death occurred as a result of a crime committed while under the influence. Many policies will not pay if the death occurs because of criminal activity, and drunk driving would fall under that category. If the death occurs from long term chronic abuse, the policy should pay, but I'd have your agent confirm that for you. Thanks for asking!

Answer on How To Cancel Bajaj Allianz Life Insurance Policy? by Jim Winkler

Jim Winkler — Tue, 27 May 2014 05:19:45 +0000

That is an excellent question! You should start by contacting your agent, and asking what the surrender value of the policy is. Ask if there are any charges or fees that would be applied, and what the balance payable to you would be. If that amount is what you hoped it would be, ask for a surrender form, and send it in after filling it out. However, if it is just a matter of paying too much, ask to reduce your coverage amount, or how much paid up insurance your policy would convert to. If it is just a matter of needing some quick cash, you might consider taking out a loan as opposed to ending the policy. Again, ask your agent for some help before you do anything, okay? Thanks for asking!

Answer on How To Cash In Life Insurance Policy After Death? by Jim Winkler

Jim Winkler — Tue, 27 May 2014 04:55:29 +0000

That is a great question! First the beneficiary must contact the company and file a claim. At that point the company will send out a form, and when it is completed, and the death certificate is sent in , the company will begin to process the claim. If everything is in order, they will soon issue the check for the death benefit promised, minus any loans, fees, or unpaid premiums that might be owed. Thank you for asking!

Answer on Does Life Insurance End At A Certain Age? by Jim Winkler

Jim Winkler — Tue, 27 May 2014 04:51:11 +0000

That is an excellent question! Yes, some do, and it can be long before the insured passes away in many cases. Term life insurance policies have a specific end date, that is stated in the contract. There are a few major companies that deal with senior citizens that advertise a life insurance policy for them that ends at the age of 80. But because of the slick advertising, many seniors buy it without understanding what happens if they live to be 80 and a day. Whole life policies will last as long as you do. they have an "endowment age" that is usually 100, or 121 years old, and if you live to be that old, it either pays out the benefit to you, or continues at no cost. It is always best to consult with a trusted agent before purchasing any policy. Thanks for asking!

Answer on How Can I Find Out If A Life Insurance Policy Exists? by Jim Winkler

Jim Winkler — Tue, 27 May 2014 04:43:27 +0000

That is a great question! If it is for yourself, ask your parents or grandparents, as they are normally the ones who would have taken out a policy when you were a minor, and wouldn't have had to sign. If it is for a parent or loved one, there are a couple of good ways. Contact the MIB ( Medical Information Bureau), for a fee they will look; look through the deceased's financial records, and look for financial institutions that received regular payments. The third way is to contact local insurance companies and ask them if they have any knowledge of a policy. Good luck, this is a tough thing to try to do. Thanks for asking!

Answer on Does Long-Term Care Mix With Life Insurance? by Jim Winkler

Jim Winkler — Tue, 27 May 2014 04:36:40 +0000

That is a really great question! I am glad that you asked, as a recent study showed nearly 70% of seniors would at some point require assisted care, and are not prepared for the cost. A good retirement strategy has a life insurance policy to provide an income and cover funeral expenses, and a long term care policy to protect against the costs of that care. Many insurance policies allow the withdrawal of the death benefit funds, and unfortunately many people are forced to do that. When they do, there are always fees, interest, and tax consequences that sharply reduce the amount received, and often leave the spouse without the funds needed to pay for funeral expenses. Please consult an agent to see what products will be best for you. I have a couple that are very good, if you would like to discuss them, please feel free to contact me. Thank you for asking!

Answer on Does Someone Have A Life Insurance Policy On Me? by Jim Winkler

Jim Winkler — Tue, 27 May 2014 04:27:06 +0000

That is an interesting question! If you don't remember ever signing an application for life insurance,then chances are, you don't. The only other way that you could be insured without you knowing about it is if a family member (parent or grandparent, usually) insured you when you were very young. The best thing to do is ask them, and see. If that isn't an option, you can always contact the Medical Information Bureau, and pay the fee to check their database. Good luck, and thanks for asking!

Answer on When Does The Beneficiary Collect From A Life Insurance Policy? by Jim Winkler

Jim Winkler — Tue, 27 May 2014 04:18:04 +0000

That is a great question! The only way that a beneficiary can get any money out of a policy is when the insured passes away. At that point, the beneficiary needs to contact the insurance company and file a claim. There will be forms to fill out and send in, and the death certificate will need to be sent also. Once all of the details are sorted out, the insurance company writes the check, and it is issued. Thanks for asking!

Answer on Is Life Insurance Federally Insured? by Jim Winkler

Jim Winkler — Tue, 27 May 2014 04:13:46 +0000

That is an excellent question! The answer is technically no, but kind of yes. The funds for your policies death benefit are not insured or backed in any way by the Governments money. What the Government did do though, is ensure that the insurance companies have to have a cash fund available to cover the death benefits for the policies they write. And to doubly cover you, the States themselves have a fund set aside to cover some or all of your policy, should your insurance company go belly up. Thanks for asking!

Answer on Is A Life Insurance Check Taxable? by Jim Winkler

Jim Winkler — Tue, 27 May 2014 04:07:09 +0000

That is an excellent question! The very nice answer is that the money paid from a life insurance company to the beneficiary is not subject to State or Federal Income taxes. It is not counted as taxable income on your taxes. It is basically free money, and that is one of the main reasons that people buy policies. Thanks for asking!

Answer on Can You Cash In Whole Life Insurance? by Jim Winkler

Jim Winkler — Tue, 27 May 2014 04:03:32 +0000

That is an excellent question! You can, but be aware that there can be some problems if you do. The first is that you will no longer be insured, if something were to happen, and you were to pass. There may be tax consequences, and the amount that you might get for surrendering the policy can be reduced a good deal by charges that the company will impose for you closing it out. My advice is to talk to your agent first, and see exactly what your circumstances would be. Sometimes there are better options than cashing it in. Thanks for asking!

Answer on What Is Whole Life Insurance With Cash Value? by Jim Winkler

Jim Winkler — Tue, 27 May 2014 03:58:03 +0000

That is a great question! There are two basic kinds of life insurance. One is called term insurance. It lasts a specified length of time, has no cash value, and ends at the designated date. The other is called whole life. It lasts as long as you do, and has a feature where there is an amount of cash that grows within the policy that is available , should you need it. If you would like to talk about ths more, please feel free to contact me, I'm happy to help. Thanks for asking!

Answer on How Much Life Insurance Can I Have And Still Qualify For Medicaid? by Jim Winkler

Jim Winkler — Tue, 27 May 2014 03:52:54 +0000

That is an excellent question! This is one of those questions that are really best answered by tax attorneys, and Medicaid experts. That said, there are legal limits, and ways to take money out of the countable pile that Medicaid will look at. There are companies that write funeral trust plans that are in most cases exempt from the limit, but once you've put your money into one, you cannot touch it for any reason but your funeral. Talk to your attorney, and Medicaid people in your State first, okay? Thanks for asking!

Answer on Can I Get Life Insurance If I Have Heart Disease? by Jim Winkler

Jim Winkler — Tue, 27 May 2014 03:46:06 +0000

That is an excellent question! The happy answer is yes, you absolutely can. There will be a lot of things that will determine the type of policy that you can get, and the benefits and cost, so I would strongly advise that you find a good independent agent ( one not tied to a specific brand name) to help you look at several options to find the best one for you. If you need help, feel free to contact me, I'm always happy to help. Thanks for asking!

Answer on Why Does My Child Need Life Insurance? by Jim Winkler

Jim Winkler — Tue, 27 May 2014 03:40:02 +0000

That is a great question! I can give you three reasons why it makes sense to have life insurance on your child. The first is that unfortunately, children die also. Unless you have the money to cover funeral costs, a very inexpensive policy can be a financial lifesaver. The second is that children can often develop health issues that would prevent , or make prohibitively expensive, getting a policy. Anything that leaves the child requiring home health care is enough to get them declined by many companies. The third is for financial security. Many companies will allow the increasing of the face value at points along the child's life, and there is a cash value that grows along with the child. The right policy can ensure a good chunk of change is available if needed one day. I have policies on my kids, if that helps. If you would like to discuss this more, please feel free to contact me, I'd be happy to help. Thanks for asking!

Answer on What Happens When A Life Insurance Term Expires? by Jim Winkler

Jim Winkler — Tue, 27 May 2014 03:21:52 +0000

That is a great question! A term policy lasts a designated period of time, and then ends. In some cases, it is a set number of years, 5, 10, 20, or 30. In other cases, like the popularly advertised tv policies, they end when the insured turns 80. In any case, to keep being insured, you need to renew it ( at very expensive rates), or find other coverage (which may also be very expensive if your health changed for the worse before the policy ended). A term policy is great for certain things, and not so great for others. It is always wise to consult with a good agent before purchasing a policy. If you need help with this, please feel free to contact me, I will clear room on my schedule for you. I'm happy to help. Thanks for asking!

Answer on Does Medicare Cover Mammograms Every Year? by Jim Winkler

Jim Winkler — Tue, 27 May 2014 03:00:14 +0000

That is a great question! Yes, Medicare part B covers a screening every twelve months. Eleven full months have to have elapsed between screenings. A diagnostic screening can be done anytime that it is prescribed. The Affordable Care Act (Obamacare) makes a mammogram available every one to two years for any woman over the age of 40. They are a covered procedure by your insurer. Thanks for asking!

Answer on Is Medicare Automatic At Age 65? by Jim Winkler

Jim Winkler — Tue, 27 May 2014 02:51:27 +0000

That is a great question! When the program was designed, it was set up so that all Americans reaching the age of 65 had access to affordable health care. At the time, good health care was something that was priced far out of reach of the average person. It still is. So yes, Medicare is available to just about everyone. Now should people who can afford their healthcare be entitled to a program that was designed for the poor? That's a better question, in my opinion. Thanks for asking!

Answer on How Is Medicare System Funded? by Jim Winkler

Jim Winkler — Tue, 27 May 2014 02:46:54 +0000

That is an excellent question! The Medicare system is funded by two trust funds. The first, the Hospital Insurance Trust Fund, is made up of payroll taxes, Medicare A premiums from those who don't get it free, and investment income. The second, the Supplemental Medical Insurance Trust fund is made up of Government grants, the premiums paid in for Medicare part B, and investment income. Unless the cuts to the administrative overhead and fraud recaptures are what the Affordable Care Act (Obamacare) expects them to be, because of the trust fund raiding and cuts that Congress has done over the years, the trusts are expected to go dry in 2024. With the money captured by the ACA, the trusts are solvent to 2029. Either way, there needs to be a change, as nearly 10,000 Americans become eligible for Medicare benefits every day, and the trusts are too depleted to support the costs. Thanks for asking!

Answer on Can Police See If You Have Car Insurance? by Jim Winkler

Jim Winkler — Tue, 27 May 2014 02:32:15 +0000

That is a great question! If you mean like by looking at your license plate, the answer is no. If you don't have proof of insurance when they pull you over though, you'd better hope mightily that you don't live in one of the states that allows officers to check the national insurance database. Either way, if you don't have insurance when you are caught, you will pay dearly for it, and if you did, but couldn't prove it, you are most likely still going to have to pay a fine. Good luck, and thanks for asking!

Answer on Can I Take Out A Life Insurance Policy On My Ex Husband? by Jim Winkler

Jim Winkler — Tue, 27 May 2014 02:26:18 +0000

That is a great question! You can, assuming that two things can happen: First, your Ex needs to agree, and sign off on the policy. Without his signature, the answer is no, you cannot. The second is that you can prove to the insurance company that if he were to pass away, you would lose money. So if you had a clean break, no still shared bills, kids, etc., and y'all walked away free and clear, then the answer again is no. If he shares child custody/support, or you own property or shares of a business, etc., then the answer is yes, with his agreement, you can. If you need help sorting it out, please feel free to contact me, if I can help, I will. Thanks for asking!

Answer on Where To Get Term Life Insurance? by Jim Winkler

Jim Winkler — Tue, 27 May 2014 02:13:21 +0000

That is a great question! There are a great many companies that would be happy to sell you a policy. My advice when asked this question is always the same - shop on a quick quote site, to get an idea of the lowest cost offered ( because the internet sites will give that to you to sucker you in) and then go find an independent agent ( one not tied to a specific brand) who can get you the best realistic price on the best policy. If you would like help, please feel free to contact me, I'd be happy to help. Thanks for asking!

Answer on Will Health Insurance Pay For Wisdom Teeth Removal? by Jim Winkler

Jim Winkler — Fri, 23 May 2014 00:09:20 +0000

That is a great question! Hopefully you have a dental policy? That's what normally would cover this. But your health insurance may cover some of it, depending upon the reason for needing them removed. Normal decay probably isn't going to be covered if you don't have dental, I'm afraid. Contact your HR person, or plan administrator and ask to be certain. Thanks for asking!

Answer on How To Take Advantage Of Health Insurance? by Jim Winkler

Jim Winkler — Thu, 22 May 2014 23:59:59 +0000

That is a great question! The best way to take advantage of your health insurance is to use it. Find out what free preventative services are covered by your plan, and take advantage of them. Get those things checked that bother you, but you never feel like going to have looked at. You are going to pay for it anyway, get as much out of it as you can! Thanks for asking!

Answer on What Does Medicare Medical Part B Cover? by Jim Winkler

Jim Winkler — Wed, 21 May 2014 22:41:16 +0000

That is a great question! Jason gave you a great rundown of services and costs. If you would like to know more about your Medicare coverage and services you are eligible for, go to the Medicare website www.medicare.gov as it is really helpful. There are a ton of links and places to look for answers. Thanks for asking!

Answer on Does Medicare Cover Jevtana? by Jim Winkler

Jim Winkler — Wed, 21 May 2014 22:33:59 +0000

That is a great question! It may be covered under the Part D prescription plan. Check there, or you can go to the Medicare site, www.medicare.gov and look there. If you aren't familiar with the site, it has a lot of really good information. Thanks for asking!

Answer on Does Medicare A, B or F Pay For Humira? by Jim Winkler

Jim Winkler — Wed, 21 May 2014 22:29:24 +0000

That is a great question! Unfortunately, the answer, not so much. I'm afraid that it is not. If you have questions on the services or medications covered by your Medicare plans, go to the Medicare website www.medicare.gov and there is a space that you can type in your service or medication, and find out if it's covered. It's a really nifty, fast way to find out. Thanks for asking!

Answer on Where Do I Sign Up For Medicare Online? by Jim Winkler

Jim Winkler — Wed, 21 May 2014 21:52:46 +0000

That is a great question! You can go directly to the Government's site for Medicare, www.medicare.gov to enroll. I will not lie, it looks confusing, but it is really very simple. Look for the drop box that is what you are looking for, and follow the prompts. If you are not very computer savvy, have a family member you trust help you, or as Jason suggested, your Social Security office case worker. If you need help, please contact me, and I'll be happy to help, okay? Thanks for asking!

Answer on Is Homeowners Insurance Part Of Your Mortgage Payment? by Jim Winkler

Jim Winkler — Wed, 21 May 2014 21:14:28 +0000

That is a great question! The answer is it can be, but isn't normally. I have seen where the mortgage payment was inclusive of the homeowners policy premium, as a result of the lender having to reinsure the home when the owner allowed the previous policy to lapse. It isn't the usual case, but it can happen. Thanks for asking!

Answer on Does Renters Insurance Cover Property Damage? by Jim Winkler

Jim Winkler — Wed, 21 May 2014 21:04:42 +0000

That is a great question! The answer depends really on how the damage occurred. If the damage was part of a normal event, like a fire, weather damage, etc., then you should be covered. If the damage was a result of negligence, or horseplay, if you had added liability to your policy, then you may be covered, and without it, most likely not. Check with your agent to be certain. Good luck, and thanks for asking!

Answer on Does Insurance Cover A Keyed Car? by Jim Winkler

Jim Winkler — Wed, 21 May 2014 18:10:49 +0000

That is a great question, and I sincerely hope that you are just asking, and really don't need to know. If you have comprehensive coverage on the car, it should be covered. I'd check out what your deductible is first, and what the repairs will cost before filing a claim though. If the repair cost is less than your deductible, or close, you may want to skip the claim, and avoid a possible rate increase. You would have to pay the deductible first anyway. Good luck, and thanks for asking!

Answer on When Did Health Insurance Originate? by Jim Winkler

Jim Winkler — Wed, 21 May 2014 17:55:04 +0000

That is a great question! There were some types of travelers insurances offered in the 1840's that covered you if your train crashed or steamboat sank, but other than that, there really wasn't much until the late 1800's when disability policies became popular. Britain passed a law in the early 1900's that created a "National Health Insurance", and most of Europe kind of adopted similar laws, but we didn't catch on until 1929 when us Texans ( Baylor University Hospital, and some local teachers, I think) created a system of standardized costs for hospital stays. Shortly thereafter came Blue Cross/Blue Shield, and then all kinds of competing companies. The history of insurance is interesting stuff. Thanks for asking!

Answer on Can I Pay My Homeowners Insurance Monthly? by Jim Winkler

Jim Winkler — Wed, 21 May 2014 17:42:50 +0000

That is an excellent question! Most forms of insurance will allow for several payment modes. Most common are monthly, quarterly, semi-annual, and annual. If you are currently not making a monthly payment, ask your agent to switch your billing mode, they should not have a problem doing so for you. Thanks for asking!

Answer on What Is A Rider On Homeowners Insurance? by Jim Winkler

Jim Winkler — Wed, 21 May 2014 17:39:20 +0000

That is a great question! Any time that you see the word 'rider' in insurance speak, it will mean 'something added to , or riding on', the policy. So you will have the original body of the policy, and then a clause, provision, or additional coverage that is added to it called a rider. You may have a rider added to your policy that adds some extra coverage not offered in your homeowners policy. Some riders are free, most are not. Thanks for asking!

Answer on What Do I Do If I Can’t Get Homeowners Insurance? by Jim Winkler

Jim Winkler — Wed, 21 May 2014 16:06:03 +0000

That is a great question. It would be helpful to know why you are being denied coverage, because resolving that issue is the best way to ease getting insured. If it's because of where the house is located, like having a frequent risk of flooding, for example, what can be done to alleviate the flood risk ? If all else fails, depending upon the State where you live there are Government plans that are insurers of last resort. These FAIR plans aren't the best, but they do provide coverage. If you would like more detail, please contact me, and I'll see what I can do to help. Thanks for asking!

Answer on How To Cut Homeowners Insurance Costs? by Jim Winkler

Jim Winkler — Wed, 21 May 2014 15:48:18 +0000

That is a great question! There are a couple of quick things that might help. First, look at what policies you might be able to bundle with your homeowners, to get discounts offered by the insurer. For example, your auto insurances may be cheaper if purchased through the same company that insures your home. Many companies will give substantial discounts to have all of your business under their roof. The second thing is to look at raising your deductible. Generally a higher out of pocket on your end means a lower premium. Be careful not to set a deductible that is too high for you to cover though, should you ever need to. Lastly, revalue the contents of your home, and see if you can reduce the coverage that you'd applied for. Many electronic appliances in particular are much cheaper to replace today than they would have cost ten years ago. Speak to your agent, and have them help you find the best option for you. Thank you for asking!

Answer on Who Can Access My Medicare Records? by Jim Winkler

Jim Winkler — Wed, 21 May 2014 15:33:40 +0000

That is an excellent question! Thanks to the Patriot Act, your personal privacy has become much more protected. Legally, other than the provider themselves, no one can look at your records unless you authorize them to. That said, you might want to start looking at the small print before you sign things, as you'd be surprised at how many companies are interested in your health status. Be sure to look before you sign. Thanks for asking!

Answer on Is Eye Test Covered By Medicare? by Jim Winkler

Jim Winkler — Wed, 21 May 2014 15:24:15 +0000

That is a great question! Unfortunately, Medicare is very unhelpful when it comes to vision or dental coverage. It will help pay when there are serious issues, but doesn't cover preventative or routine visits. Hopefully one day that will change. Your best bet is to find a stand alone policy that will help cover those costs. If you have diabetes however, you are entitled to a once a year eye exam to test for diabetic retinopathy. If you would like help finding a stand alone policy, please feel free to contact me, I'm happy to help. Thank you for asking!

Answer on Where Is Medicare Funded From? by Jim Winkler

Jim Winkler — Wed, 21 May 2014 15:17:25 +0000

That is an excellent question!! Medicare is managed by a department of the Federal Government called the CMS - the Centers for Medicare and Medicaid Services. It falls under the wing of the Department of Health and Human Services, and it manages the trust funds that fuel Medicare and Medicaid. There are two trust funds - one that is funded by payroll taxes, and by other taxes, investments, and earned interest. The other one is funded by Congress, premiums paid on Medicare B and D, investments and interest earned. Congressional cuts to the programs have hurt one fund, and the one that is funded by the payroll taxes is in danger of becoming underfunded within the next 20 years (2029, last estimate, with the additional funds culled from excesses in the program recaptured by the Affordable Care Act, AKA Obamacare - without them, 2024) because the workforce is steadily shrinking ( less collected tax) as the number of senior citizens eligible for Medicare and Medicaid increases (approximately 10,000 people turn 65 daily). It doesn't help that the Government in the past has raided the Social Security and Medicare trusts to fund other things that they felt were more important. I hope that that answers your question, if you would like more detail give me a buzz, and I'll give you more. Thank you for asking!

Answer on Does Auto Insurance Quotes Affect Your Credit Score? by Jim Winkler

Jim Winkler — Wed, 21 May 2014 15:06:00 +0000

That is an excellent question! The getting of quotes has no effect upon your credit score at all. In the process of getting a quote, there is no offer of credit like there is in applying for a loan or credit card. All you are asking for is an estimate of the cost, just like you would at a mechanic before you would have work done. (When you apply for a credit card, you are asking them to give you access to money that you don't have, so that offer or attempt will show up on your credit report. ) It is in your best interest to get a few quotes, so ask away. Thanks for asking!

Answer on Is Auto Insurance A Federal Requirement? by Jim Winkler

Jim Winkler — Wed, 21 May 2014 14:59:26 +0000

That is an excellent question! Having auto insurance is not a Federal law, but is a requirement in every State. The costs from damages , both medical and physical that arise from an auto accident are so high that the Government has decided that there needs to be protection. And if you were to be hit by an uninsured motorist, as I was, you would agree that insurance is a must. Thank you for asking!

Answer on How Long Can You Go Without Auto Insurance? by Jim Winkler

Jim Winkler — Wed, 21 May 2014 14:51:12 +0000

That is a great question! The short answer is that you can not drive at all legally without auto insurance. The penalties for doing so are very stiff, and have long lasting effects. It is much better to have a minimal policy than none. Please contact an agent that can help you find a policy that you can afford. If you would like some help, please feel free to contact me, I'm happy to help. Thank you for asking!

Answer on How Long Does Tobacco Stay In Your Blood For Life Insurance? by Jim Winkler

Jim Winkler — Wed, 21 May 2014 02:04:52 +0000

That is a great question! If you are asking because you are trying to get a cheaper rate, I'd advise you not to try, though. If, God forbid, you die as a result of a smoking related illness, and it states that in your death certificate, and you were listed as a non smoker, you can bet your last dollar that your beneficiary will have a hard time collecting. If the company suspects that you were fraudulent on your application, rest assured they will not be happy. Please just sign it as smoking, then after you've quit and are clean, revise your policy and get the cheaper rate. It's a much better way to do it. Thank you for asking!

Answer on Can I Take Out A Life Insurance Policy On My Spouse? by Jim Winkler

Jim Winkler — Wed, 21 May 2014 01:50:14 +0000

That is an excellent question! It makes great sense for both spouses to have a life insurance policy. The reasons for having one are simple - to cover funeral expenses, to provide for lost income, and to ensure that bills are paid. Insuring each other is a good way to show love for each other even after you've passed. Thank you for asking!

Answer on Does Life Insurance Have To Be Probated? by Jim Winkler

Jim Winkler — Wed, 21 May 2014 01:39:54 +0000

That is an excellent question! It is a very common question also, and I am always glad to say that in almost every case, life insurance skips past probate. Since you name a beneficiary, there is no contesting where the funds go. It really is one of the best reasons to have a life insurance policy. Thanks for asking!

Answer on Can You Pay For Car Insurance Using A Credit Card? by Jim Winkler

Jim Winkler — Wed, 21 May 2014 01:32:29 +0000

That is a great question. The answer is generally yes, but the better question is why would you want to? Your rate goes up effectively by your interest rate, and if you don't pay off your credit card monthly, then you just increase the cost of your insurance over time. Use your credit card only as a last resort when paying bills. If you would like some budgeting help, please contact me privately, and I'll be happy to help. Thanks for asking!

Answer on Can I Get A Life Insurance Policy On My Boyfriend? by Jim Winkler

Jim Winkler — Wed, 21 May 2014 01:22:01 +0000

That is an excellent question! The trick is going to be to find a company that will accept your boyfriend as an insurable interest. That may be hard to do, since you can only insure someone that you can demonstrate a loss from, should he pass. So if you have children together, share expenses and have property or loans together, than maybe so. If he is just a boyfriend, then most likely not. If you would like to contact me privately and give more details, I may be able to give you a better idea. Thank you for asking!

Answer on Does Auto Insurance Drop At 25? by Jim Winkler

Jim Winkler — Wed, 21 May 2014 01:14:52 +0000

That is a great question! The rates for auto insurance are based on a great number of things, and age is one of them. The data from the Insurance Institute of Highway Safety shows that statistically, drivers tend to be safer once they reach the age of 25. Being married, how long you've been driving, even your gender can all be factors in the rates. So some companies may lower your rate after your 25th birthday, but some may not. There are just about as many factors that determine your rate increase or decrease as there are companies selling the insurance. If yours doesn't, then shop around and see if there is one that is cheaper. Good luck, and thanks for asking!

Answer on How Hard Is The Life And Health Insurance Exam? by Jim Winkler

Jim Winkler — Wed, 21 May 2014 01:03:37 +0000

That is a great question! The answer depends upon how well you study, retain what you learn, and how well you handle tests. If you are one of those people who stress out over tests, it will be more difficult than for someone who breezes through them. There is a lot to remember, but the grade for passing is fairly low. If you do a decent job studying, and you understand what you've studied, prepared well for the exam, and just go in and take it, you will do well. Good luck, and thanks for asking!

Answer on How Much Is Life Insurance For A 22 Year Old? by Jim Winkler

Jim Winkler — Wed, 21 May 2014 00:56:13 +0000

That is an excellent question! Life insurance companies base the cost of your policy on your age, your health, whether you smoke, and the amount of coverage that you want. At your age, you have a couple of routes you can go, depending upon what you can afford. A whole life policy will be a little bit more expensive than a term policy would be, but will over time, become a better value in that you build cash in it, and if your health were to take a serious hit, your rates won't go up because of it. If you are really strapped for cash, a short term policy might be the way to go, until you can afford the whole life policy. Either way, your policy should be fairly inexpensive. If you would like a more accurate dollar amount, please contact me, and I'll go over it privately with you. Thanks for asking!

Answer on Is Homeowners Insurance A Waste Of Money? by Jim Winkler

Jim Winkler — Wed, 21 May 2014 00:49:23 +0000

That is a great question! A lot of people have a hard time with the concept of insurance. I'm young, nothing will happen to me! Or I'm a good driver, why do I need insurance? But inevitably things do happen. You can be the best driver ever, but that doesn't mean the teenager texting in the car behind you is; or that something can go wrong, and you're laid up in the hospital. Homeowners is the same way. No one thinks that things will go wrong with their house, why would I want it? Insurance is there to protect you when things do go wrong. You would not think the insurance was a waste of money when you got the check to replace your belongings, or the one that allows you to pay for the hotel rooms that you are forced into when your home is damaged. Insurance is only a waste of money when you drastically undervalue it. Please consider it as protection, and not a waste. Thanks for asking!

Answer on Will I Be Taxed If I Don’t Have Health Insurance? by Jim Winkler

Jim Winkler — Tue, 20 May 2014 16:25:04 +0000

That is a great question! While you won't be taxed per se, you will have to pay a penalty for not having it. The penalty is $95, or 1% of your household income, and increases each year. The purpose behind the penalty is to get more people to enroll, and thus assume more responsibility for their health care. too many uninsured people were having their health care paid for by the rest of us, in the form of higher costs. Thanks for asking!

Answer on How Does Someone Get Health Insurance? by Jim Winkler

Jim Winkler — Tue, 20 May 2014 16:00:24 +0000

That is a great question! There are two good ways to apply for a health insurance policy. The best way is to go to the Affordable Care Act ( Obamacare) site, www.healthcare.gov and shop the plans there. I recommend doing this first, since the Act has a provision in it that allows for many people who qualify to receive discounts on the cost of the policy. These discounts may not be available through other online or private insurers, even for the same plans. The other route is to go to an agent who can help you find a policy that will work for you. Thanks for asking!

Answer on What Should Life Insurance Cost? by Jim Winkler

Jim Winkler — Tue, 20 May 2014 15:37:34 +0000

That is a great question! The way it is asked though, is kind of like, " how much should a car cost?" That would depend upon the kind of car you want. The answer to your question depends upon the type of policy that you'd like, the amount of coverage, and your health and age, for starters. Without more specifics, it would be difficult to give you an accurate answer. Generally, younger, healthier and non-smoking will cost more than older, unhealthy, and smoking. If you would like more specifics, please contact me, and I'll happily give you a better idea. Thanks for asking!

Answer on Where To Get Home Insurance Quote? by Jim Winkler

Jim Winkler — Tue, 20 May 2014 15:25:02 +0000

That is a great question! Many people will turn to the internet for quotes, but I don't recommend it. The quotes are very often generic, and will often change considerably when all the appropriate information is given. Do a couple of things, and then contact an agent (or agents) and ask fir quotes. Check with friends and family, and ask about their insurance - the customer service, cost, and how happy they are with their coverage. Then catalogue your belongings, serial numbers, replacement costs, etc. so that you have an idea of what you will need for coverage. That should give you a little better accuracy with your quote. Good luck, and thanks for asking!

Answer on How Long Does It Take To Be Approved For Life Insurance? by Jim Winkler

Jim Winkler — Tue, 20 May 2014 01:27:49 +0000

That is a great question! The answer really depends upon the company, the amount of coverage that you desire, the type of policy you want, and your health. A simplified issue policy can be approved within minutes, and a large policy that requires a para-med exam can take a couple of weeks. The policy generally won't go into effect until the policy is approved, issued, and the first premium has cleared. Find a good agent who can help you find what you are looking for. I'll help you, if you want , just contact me. Thanks for asking!

Answer on How To Choose A Homeowners Insurance? by Jim Winkler

Jim Winkler — Tue, 20 May 2014 01:22:48 +0000

That is a great question! The best way to choose a policy is to do two things: Your homework, and the legwork. Ask around family and friends and see what they did, or didn't do when choosing theirs. If a family member has a similar sized home, ask what their policy covers, and costs. Have a good idea what the value of your things are - have serial numbers, models and makes, even pictures of things to establish value. Get comparable prices. List everything - clothes, appliances, lamps, everything that you would have to replace. Some companies, like State farm, will have a program that can help you do this, and store the information for you. Then do the legwork- find a good agent, and compare prices. Talk about deductibles, and replacement value. When you are comfortable, then buy. If you need help, please feel free to contact me, okay? Thanks for asking!

Answer on Things To Know When Shopping For Health Insurance? by Jim Winkler

Jim Winkler — Tue, 20 May 2014 01:00:41 +0000

That is a great question! With any insurance, the goal is to find the policy that covers the most, for the least. With health insurance, you want to get a policy that has good coverage, and low co-pays and deductibles ( The part you have to pay before they do). I recommend that when you can enroll again this fall, that you go to the Affordable Care Act (Obamacare) site, as a part of the program allows for help in paying for the policy if you qualify. You may not get that help through a private insurer. Thanks for asking!

Answer on How Does Health Insurance Differ From Other Kinds Of Insurance? by Jim Winkler

Jim Winkler — Tue, 20 May 2014 00:55:02 +0000

That is a great question! The main difference is that it is designed to help you protect against the expenses of sickness, disease, or injury. Another great difference is that unlike any other type of insurance out there, the Government helps pay for this one. Medicare, Medicaid, and thanks to the subsidies offered through the Affordable Care Act (Obamacare) even regular health care is paid for in part by the Government. That's a nice plus! Thanks for asking!

Answer on Which Life Insurance Can You Borrow Against? by Jim Winkler

Jim Winkler — Tue, 20 May 2014 00:49:44 +0000

That is a great question! There are basically two types of life insurance, Term, and Whole Life. Term insurance lasts only for the duration of the stated number of years in the term, and this type of policy has no buildup of cash. The other type, Whole Life, lasts as long as you do, and over time, builds up a cash value that can be withdrawn as a loan. If you would like more information, please feel free to contact me, I'm happy to help. Thanks for asking!

Answer on Is Life Insurance Agent A Good Career? by Jim Winkler

Jim Winkler — Sun, 18 May 2014 23:33:32 +0000

That is a great question! Depending upon what type of person you are, it can be very rewarding, or very frustrating. At times, it can be both. In order to succeed as an agent, you must be willing to work long hours; work off an unsteady source of income ( there is no paycheck weekly, your money is paid based off what you sell); be thick skinned; and be a quick thinker. If you love people, can work without a structured steady flow of income, and are motivated to work hard, it can be a great career. If you are the type of person who needs a structured environment, and is bothered by rejection, this may not be the right career for you. If you would like to discuss this a little more, in private, please contact me, I'd be happy to help. Thanks for asking!

Answer on How Much Commission Does A Life Insurance Agent Make On A Policy? by Jim Winkler

Jim Winkler — Sun, 18 May 2014 23:25:43 +0000

That is a great question! Most insurance agents do not work on a salary, they are paid based upon what they sell. Each type of policy pays a different amount of commission, and different companies can pay the same agent a different amount for the same policy. The commission is a percentage of whatever your policy would cost for a year. So if the policy costs you $1000 for a year, and the agent receives their commission at say, 80%, then they would receive $800 for selling you that policy. There may, or may not be residual money paid to the agent after that, it again depends upon the company, and the policy sold. If you need more detail, please feel free to contact me, I'd be happy to help. Thanks for asking!

Answer on Is AAA Life Insurance Any Good? by Jim Winkler

Jim Winkler — Sun, 18 May 2014 23:15:06 +0000

That is a great question! I'm assuming that you are talking about the offer for "up to $200,000 of term life insurance at members only group rates"? Any offers like this that you receive, or see advertised on television are offered by reputable companies, and are valid policies. Are they good for you, is the better question. In AAA's case, (and I just happen to have a copy of their ad here, I use it for teaching purposes) there are a couple of things to look at that this type of advertised policy does, that a typical life insurance policy wouldn't. First, the small print tells you that this policy ends when you turn 80. If you live to be 80 and a day, you have no coverage. If you look at the nicely colored chart with the ages and prices, you will see that every 5 years they increase, often pretty dramatically. The small print again tells us that your monthly rate increases to be whatever your age bracket becomes. So at age 64, you pay a price, at 65, it increases to the new price until you turn 70, when it increases again. It is good in that if you can get through the few health questions, you are "approved", unless of course the authorization that you okay in the small print turns up something in your health history that either denies your coverage, or increases your rate. Please understand that in no way am I disrespecting AAA or anyone else who advertises this kind of policy, because all of these things are clearly stated, and the assumption is that you the consumer can understand them, and by purchasing them, are accepting the terms of the policy, as legally stated. I wholeheartedly advise that you find a local agent who can show you what you would pay over your lifetime for this policy, and give you a few other policies to compare it to. Please, whatever you do, do NOT fill out a bunch of different ones, hoping one will be approved! The exact opposite happens a great amount of the time. If you would like more details, please contact me, I will make time for you to discuss this privately. Thank you for asking!

Answer on What Do You Mean By Deductible In Health Insurance? by Jim Winkler

Jim Winkler — Sat, 17 May 2014 16:13:35 +0000

That is a great question! In insurance speak, the deductible is the part of the cost of treatment that you must pay before the insurance company picks up what they promise to cover. It is the same with your auto insurance, or homeowners/renters insurance deductibles. As a general rule of thumb, the lower the deductible, the higher the price, so the idea is to find a policy that will have the lowest deductible that you can afford, with the most coverage. If you can find a policy with a low cost, you may be able to get a deductible that really works for you. I recommend that when the enrollment period rolls around this fall, that you go to the Affordable Care Act ( Obamacare) site, www.healthcare.gov site, and look there. The Act allows for subsidies that help discount the price of the policy. I have had many clients that have found affordable coverage there. If you would like help, please feel free to contact me, I'm happy to help. thank you for asking!

Answer on Where Can I Find Affordable Health Insurance? by Jim Winkler

Jim Winkler — Sat, 17 May 2014 16:04:49 +0000

That is a great question! The best place to start is at the Affordable Care Act (Obamacare) site, www.healthcare.gov once open enrollment reopens. The Act allows for subsidies for those who qualify ( and a great many do) for helping with the expense of the health care coverage. The discounts can be very steep, and those subsidies may not be available through a private insurer. It never hurts to shop around first, so you have something to compare. Thank you for asking!

Answer on Does Health Insurance Improve Health? by Jim Winkler

Jim Winkler — Thu, 15 May 2014 19:15:53 +0000

That is a great question! Health insurance improves your health by allowing services. treatments and medications that may otherwise have been to expensive to obtain become affordable. In many cases, the insurance allows for free or low cost preventative checkups and maintenance visits that enable you to catch things early, or to prevent them all together. Health insurance is a must. Thanks for asking!

Answer on How Soon Does Life Insurance Take Effect? by Jim Winkler

Jim Winkler — Thu, 15 May 2014 17:09:14 +0000

That is a great question! Generally your policy becomes effective after they've received your first premium payment, and it has cleared. That is assuming of course that you were approved, and the policy issued. That said, some companies will insure you from the date of the application, some states have regulations regarding the time your coverage begins, and your individual company can have its own rule. Best advice is to ask your agent for your policy's specifics. Thanks for asking!

Answer on How Does Life Insurance Provide Financial Security? by Jim Winkler

Jim Winkler — Thu, 15 May 2014 17:03:03 +0000

That is a great question! I know that there are financial advisors out there that will tell you that life insurance isn't necessary, but let's assume that you are not one of the 1% and don't have a big pile of money lying around. Life insurance can provide financial security in a couple of ways. At the very least, it can cover your funeral expenses, so your family isn't left passing the hat before you can have your service. It can provide for an income to replace what your spouse and kids will lose when you are no longer there to provide it. How long would your spouse be able to keep up payments and put food on the table without your income? The Government Social Security payment of $255 wont last very long. Some policies are used to protect against the big expenses in your lives - mortgages, college, etc. If you were to pass with that expense unpaid, the insurance pays it, and your spouse and kids aren't leveled by that bill. There are also types of life insurance that over time can generate large sums of cash value, that can be used for emergencies or for a supplemental income during retirement. These are nothing compared to the peace of mind knowing you've protected your family, and loved them through your financial planning for them. If you'd like help, please contact me, I'll make time for you. Thank you for asking!

Answer on Will I Qualify For Life Insurance? by Jim Winkler

Jim Winkler — Thu, 15 May 2014 16:51:05 +0000

That is a great question! Almost everyone can qualify for some type of life insurance policy, unless you are a very senior citizen. Most companies will be unwilling to write a policy if you are over the age of 85, and some as low as 80. There are a few that will write you above 85, but they are typically far too expensive to afford, especially if you have health issues. There are companies that will write policies that will give coverage no matter what your health condition is, and your best bet is really to find an experienced agent who will help you find the best policy for you. If you would like to discuss this privately, please feel free to contact me, I'll happily make time for you. Thank you for asking!

Answer on How Long Can You Stay On Health Insurance Of Parents? by Jim Winkler

Jim Winkler — Thu, 15 May 2014 16:42:13 +0000

That is a great question! One of the nice things the Affordable Care Act ( Obamacare) did was extend the amount of time that children could remain covered by their parents' insurance to the age of 26. It was designed to help college and recent graduate aged kids get coverage when they otherwise may not have been able to afford it. Thanks for asking!

Answer on Can You Be Forced To Get Renters Insurance? by Jim Winkler

Jim Winkler — Thu, 15 May 2014 16:39:00 +0000

That is a great question! You cannot be forced to get renters insurance, but the landlord can make it a requirement for you to be able to rent from them. You can always choose to rent somewhere else. But I'd want you to think about it for a second. Why should you have it? The landlord has insurance, but it doesn't cover any of your belongings. If your apartment caught on fire, His insurance would cover the building repairs, but you and your neighbors' belongings are another story. And the liability for the fire may leave you open to a lawsuit for the repair bill. Renters insurance is relatively cheap, and can save both you, and your landlord, a ton of grief. That's why they want you to have it. If you would like some tips on what to look for, please feel free to contact me, I'm happy to help. Thanks for asking!

Answer on Will Homeowners Insurance Cover Shingles Blown Off Roof? by Jim Winkler

Jim Winkler — Wed, 14 May 2014 20:11:11 +0000

That is a great question! Check with your agent to be certain, but you should be covered for the repairs. How bad was the damage? If it's just a few shingles, and the estimate is less than your deductible amount, you are wiser to not file a claim, as you'd end up paying for it anyway, and you will spare yourself the chance of an increased premium as a result of the filed claim. You also may have problems because of the reason for the lost shingles. Hurricane damage, or tornado damage may not be covered with out a rider, where you live. Best bet? Get a repair estimate, compare it to your deductible amount, and proceed from there. Good luck, and thanks for asking!

Answer on Why Buy Life Insurance On A Child? by Jim Winkler

Jim Winkler — Wed, 14 May 2014 19:40:40 +0000

That is a great question! There are three good reasons why you want to buy a policy for your child. The first is for the obvious - if your child were to pass away, you would not have to bear the expense of the funeral by yourself. The second is so that you can save your child thousands of dollars over their lifetime. When you purchase the policy when they are young, the price they pay for the policy is locked in, and that is what they pay for the rest of their life. Many policies for young kids will offer a rider to increase the coverage amount without any medical questions. This is important in that if the child were to develop health issues that might otherwise cause a company to deny or drive up the price of coverage, they can still add to their coverage. The third is that by purchasing the policy when they are young, the cash value that builds in the policy can be sizable if and when they might need it. If you would like more detail, please feel free to contact me, I'd be happy to help. Thanks for asking!

Answer on Can A Landlord In Boston Require Renters Insurance? by Jim Winkler

Jim Winkler — Wed, 14 May 2014 14:33:03 +0000

That is a great question! A landlord can make it a requirement for the tenants to have renters insurance before allowing them to sign the lease. I have to tell you that they are doing you a favor by requiring it. The complexes insurance will not cover your belongings should there be damage or theft in your apartment, the financial responsibility to replace or repair is all yours. Their insurance will only cover the damage to the building itself. If you were to have a guest become injured while visiting in your apartment, it is your responsibility, not the landlords. By making it a requirement, the landlord is actually getting you to financially protect yourself. Nice landlord! Find a local agent, and buy a policy, they are inexpensive, and well worth it. Thanks for asking!

Answer on Will My Renters Insurance Cover My Dog? by Jim Winkler

Jim Winkler — Wed, 14 May 2014 14:01:35 +0000

That is a great question! You will need to check with your agent for the specifics of your policy, but typically renters insurance policies have a limited amount of coverage they will provide. For injury to, or the death of your dog, there isn't coverage, unfortunately. If your dog does damage to your apartment, or your belongings, again there is no coverage. If your dog bites someone, there may be some coverage, depending upon the type of dog you have. Some companies will not insure certain breeds that are deemed to be aggressive. You will really need to ask your agent to know for sure. Thanks for asking!

Answer on How Much Does Life Insurance Cost For A Baby? by Jim Winkler

Jim Winkler — Wed, 14 May 2014 13:32:13 +0000

That is a great question, and you are doing a great job thinking about protecting your baby! The premiums for a young child are very low, and by purchasing it now, you ensure that the rate never increases. Think of the thousands of dollars you just saved your child over the course of their lifetime! I pay less than $10 a month for my kids' insurance, and as Jason mentioned, the rider adding the opportunity to increase the coverage is a great thing to do - if your child were To develop some health issue during childhood, the rider will allow you to increase their coverage without the health issues being a factor. That can be a huge blessing. Great job, and thanks for asking!

Answer on Can Disabled People Get Life Insurance? by Jim Winkler

Jim Winkler — Wed, 14 May 2014 01:12:05 +0000

That is a great question! The answer is yes, you certainly can. I can not advise you strongly enough to find an agent who can help you find the right policy for you. There are a few different types of policies available to you, and they can run from very reasonable to unaffordable, depending on what you shown, and the reason for your disability. An experienced agent can find the right policy for you. If you would like to get a more personal answer, please contact me, I'll be happy to set aside some time to talk to you privately. Thank you for asking!

Answer on Can My Auto Insurance Drop Me? by Jim Winkler

Jim Winkler — Tue, 13 May 2014 22:06:28 +0000

That is a great question. The answer is you bet, if you've done something to deserve it. They cannot just decide one day to drop you, but if you have given them a good reason, like misrepresentation of facts, or non-payment of your policy, they will drop you like a bad habit. You may also get dropped for committing an intoxicant related felony like vehicular manslaughter. In any event, the only way they will drop you is if you have earned it. Thanks for asking!

Answer on Why Should Smokers Be Denied Access To Medicare? by Jim Winkler

Jim Winkler — Tue, 13 May 2014 22:00:33 +0000

That's a great question. I'm assuming that it is rhetorical, since Medicare is available to you whether you are puffing two packs a day, or don't smoke at all. If there were a reason why they would be denied a share of the Medicare pie, it would be because of the infinitely greater drain on the system that smokers cause. The health effects of smoking are horrible, and tremendously expensive. You can say the same thing for obesity, though, so you could answer the same for them. Thanks for asking!

Answer on Can I Take Out A Life Insurance Policy On My Son Without His Knowledge? by Jim Winkler

Jim Winkler — Tue, 13 May 2014 02:05:00 +0000

That is a great question, and a terrible spot to be in. I am going to guess that as these were student loans, that your sons are both well above the age of legal adulthood in your state. If that is the case, then the answer is no, you may not. A term policy to cover the cost of the loan is a good idea, and I'd suggest that you ask both sons to agree to have policies. If they decide not to, can you look into refinancing the loan and reducing the payments to a point where the son could afford to pay it? ( Or ease your burden?) That may also be an option. If I can help in any way, please don't hesitate to contact me. Thanks for asking!

Answer on Who Is The Cheapest Car Insurance For New Drivers? by Jim Winkler

Jim Winkler — Tue, 13 May 2014 00:14:53 +0000

That is a great question! Unfortunately, since I have no idea where you live, or your age, I cannot tell you who in your area is cheapest. What I can tell you is this - going cheapest on auto insurance coverage for a new driver is a mistake. The odds are much greater that you will be in an accident than for an experienced driver, and your accidents are typically more expensive. You really may want to think about saving anywhere but your policy, until you are a lot more comfortable behind the wheel. Spend the money the first year or so, you will be much better off, I promise you. If you would like some tips, please drop me a line, I'm happy to help. Thanks for asking!

Answer on What Is A Non Owned Auto Insurance Policy? by Jim Winkler

Jim Winkler — Tue, 13 May 2014 00:09:14 +0000

That's a great question! Non-owned insurance is a type of policy that allows coverage for you, when you don't actually own the vehicle. A good example? You own a pizza joint, and the deliveries are made by the employees, in their cars. One of them has an accident. Your company has a non-owners policy, that covers the claim. It allows for payment for the repairs, even though you, the company owner, don't own the car. Thanks for asking!

Answer on What Type Of Auto Insurance Coverage Do I Need? by Jim Winkler

Jim Winkler — Tue, 13 May 2014 00:04:24 +0000

That's a great question! Your State will have some rules as to exactly what the minimum coverage that you will need to carry; Your bank will expect some more coverage if you are getting the car financed. Your best bet is to contact a local agent, and have them walk you through exactly what you need to have, and what will fit you best. Thank you for asking!

Answer on Where To Get Cheap Car Insurance For New Driver? by Jim Winkler

Jim Winkler — Mon, 12 May 2014 23:59:00 +0000

That's a great question! I'd like to give you a bit of advice - some things are good to buy "cheap," other things in the long run are better to spend a little more money on. Cheap shoes will hurt your feet, and wear out quickly. Buying a very cheap car often means spending a lot on constant repairs. Insurance is one of those things, especially for a young driver, that it is better to not go "cheap" on. You want better coverage, as you are much more likely to have an accident than an experienced driver would be. You will want a lower deductible, as you will inevitably end up needing repairs at some point. Please look for a local agent who can help you, or feel free to drop me a line, I'd be happy to give you some pointers. Thanks for asking!

Answer on Can I Cash In My Insurance? by Jim Winkler

Jim Winkler — Mon, 12 May 2014 22:04:49 +0000

That's a great question! You can, if you meet a couple of conditions. The first is that you have a policy that has a cash value, (term policies don't) and that it has been in force long enough to have built up some cash. Most policies won't generate any cash value for the first few years, as they are covering the cost of the insurance, but after that they will start to accumulate funds. There may be a surrender charge or fees that can eat into your amount also. A suggestion? Think it over carefully before you do, okay? Depending upon the policy there may be tax consequences, and there is the obvious lack of protection. If you'd like to discuss the pro's and con's a little more, please contact me, so I can help. thank you for asking!

Answer on Can One Purchase Burial Insurance For Elderly Parents? by Jim Winkler

Jim Winkler — Mon, 12 May 2014 21:57:36 +0000

That is a great question - unfortunately, at their age finding a policy will be tough, and if you do, likely very expensive. I'd suggest that you have a look at some of the funeral homes in your area , and see about their funeral plans. They will usually have a financed plan that will allow you to make payments on the services that you choose. It might be a good thing to have your parents go along, and pick out the services, etc. that they like, so you won't have to when the time comes. These are tough decisions, and your parents are lucky to have you to help them. If you would like some help with understanding the plans, please feel free to drop me a line, I'd be happy to make some time for you and go over it. Thank you for asking!

Answer on Does Car Insurance Help You Build Credit? by Jim Winkler

Jim Winkler — Mon, 12 May 2014 13:51:02 +0000

That is a great question! It is a fact that many insurers will base a part of your premium cost on your credit rating and history, so it pays to have a solid score and history. In a way, your insurance can affect your credit rating, but only in the same way that any other monthly account would - do you make your payment on time and regularly. But the fact of having insurance will make no real impact at all on your credit rating, other than building good payment habits. Thank you for asking!

Answer on Why Should I Have Life Insurance? by Jim Winkler

Jim Winkler — Sun, 11 May 2014 23:26:10 +0000

That is a great question! If you are very wealthy and can afford to cover your funeral expenses, leave an income for your surviving spouse, and somehow pass a chunk of your estate tax free to people that you leave behind, you really don't. Seriously, if that's not you, and one or more of those things would be difficult, or impossible to do, then life insurance is a good thing for you. If you would like help finding a policy, please feel free to contact me, I'd be happy to help. Thank you for asking!

Answer on Is Medicare Public Or Private? by Jim Winkler

Jim Winkler — Sat, 10 May 2014 22:57:23 +0000

That is a great question! I guess the best way to answer it is you say pota-toe, they say pota-tah. Technically, Medicare is public, because it is administered by the Federal Government. But...they use private insurers to run it. The best way to describe it is that it's like the way your employer runs their insurance program - it's public, because it's offered to all employees and they pay for some of it, but the plans are offered through a private insurance company. The confusion for the public vs. private debate was an attempt by debating politicians to generate confusion, and make things difficult. Since that seems to be what we pay them to do, they were just really doing a good job! I hope that this helps a little at simplifying the answer for you. If you would like to try to clear this up a little more, please feel free to contact me, I love a challenge! (And who better to challenge us than a bunch of politicians?) Thanks for asking!

Answer on Can I Buy Renters Insurance Online? by Jim Winkler

Jim Winkler — Sat, 10 May 2014 14:36:16 +0000

That's a great question! You can find several companies willing to sell you a policy online. I don't advise it though, and here's why. Some things are suited perfectly to buy online - concert tickets, for example, because you know exactly what you are buying. Insurance, not so much. There can be a lot of things in the small print that can have a big effect on your expected coverage and price. You also don't have a dedicated person to contact with a question, or a claim. When it comes to protecting yourself, your money, and your family it is always better to have a live person that you know to turn to, than an internet help center. If you would like more information, please feel free to contact me, I'm happy to help. Thanks for asking!

Answer on How Does Obamacare Hurt Medicare? by Jim Winkler

Jim Winkler — Sat, 10 May 2014 00:33:41 +0000

That is a great question! There is an awful lot of misinformation, political manipulation , and muddying of the facts, so it's really hard to see exactly what is going on. There are some good and bad things that the ACA does with its association with Medicare, and I'll let you decide which is which. First off is you do not have any changes to your current plan, nor is it even legal for someone to tell you that you have to drop your current plan and try to enroll you in the marketplace. All current plans are grandfathered. One thing the ACA does is close the "donut hole" in coverage in Medicare part D. It will eventually phase out the patient cost until it becomes just the usual co-pay, increasing the likelihood that seniors will be able to afford their medications. It also expands coverage by making checkups and wellness visits (preventative care) not subject to deductible or co-pays. It does have cuts of $716 billion to the Medicare, mostly in the Medicare Advantage plans that are run by private insurers. We are told that those cuts are to come from reduction in fraud, provider overpayments, and administration overhead. We are also told that the money from those cuts are being reinvested into the Medicare system, and that those reinvestments are expected to keep Medicare's trust fund solvent until 2029, an extra 12 years. It will also make cuts to hospitals that have higher return rates of patients by cutting the Medicare payments to those hospitals that are providing the least quality care. ( Interestingly enough, that was a lead story on our news channel tonight, measuring the number of patients who returned to their hospital after treatment for infections that they got while in the hospital before their release.) Those are the bare bones of what the effects are supposed to be. How it will actually play out is anyone's guess. Thanks for asking!

Answer on Do You Need Health Insurance To Get An Abortion? by Jim Winkler

Jim Winkler — Fri, 09 May 2014 14:09:44 +0000

This is an interesting question. There are so many often bitterly expressed opinions on whether there should even be abortions. The answer to your question is no, you don't need it; in fact, you'd be hard pressed these days to find an insurer who would cover it. I know that if you are in a position to consider having one, that there is a lot of emotional stress and turmoil for you to bear. Please speak with your pastor, priest, counselor, the other parent,someone that you trust and really think through your options before acting. Your choice will affect more lives than just your own, and will for the rest of your lives. If I can help in any way, please feel free to contact me. Good luck, and thanks for asking.

Answer on Can Dogs Have Life Insurance? by Jim Winkler

Jim Winkler — Fri, 09 May 2014 13:48:42 +0000

That is a great question! You know if there is money to be made off of it, someone will offer it, so yes, you can get life insurance on your dog. There are companies out there that will provide that insurance, I'd be willing to bet that your vet could give you some advertisements or the business cards for an agent that will write you. You should be aware that most of the policies do not pay you at the dog's death, but instead covers the costs of the pets' funeral needs. Thank you for asking!

Answer on Who Took Over Peoples Life Insurance? by Jim Winkler

Jim Winkler — Fri, 09 May 2014 13:28:09 +0000

That's a great question! Peoples Life was purchased by Monumental Insurance Company. They are a subsidiary of Transamerica. The company is located in Cedar Rapids, Iowa and have been in business since 1858. They are a good company, and one I use frequently. If you would like contact information, or details, please feel free to contact me, okay? Thanks for asking!

Answer on Can You Put Your Boyfriend On Your Health Insurance? by Jim Winkler

Jim Winkler — Fri, 09 May 2014 13:19:32 +0000

That is a great question! The answer will depend on a couple of things. The first is whether or not your State recognizes domestic partners as a relationship status. In most cases, those States will require employers to offer the same plans offered to spouses to the domestic partner. The second is whether you meet whatever the standard is to be a domestic partner. There will be qualifications on time spent together, shared expenses and incomes, things like that. Your Boyfriend cannot still be married, that's a deal breaker in every case. Check with your employers HR person, or plan administrator, and find out exactly what they offer. Thank you for asking!

Answer on How To Get Health Insurance On Your Own? by Jim Winkler

Jim Winkler — Fri, 09 May 2014 02:25:34 +0000

That's a great question! The enrollment period for heath insurance has closed for now, and will reopen this fall, so unless you qualify for one of the exceptions, you will have until then to decide which policy you would like. You can be insured under a parents policy through age 26, but can purchase your own also. When you can, I suggest that you go to the Affordable Care Act ( Obamacare) site and shop there. You may qualify for help in paying for your policy. If you need help, please feel free to contact me, okay? Thank you for asking!

Answer on How To Cancel Life Insurance Policy At Primerica? by Jim Winkler

Jim Winkler — Thu, 08 May 2014 14:12:13 +0000

Great question! The best way to cancel it is to call them, ask what (if any ) cash value there is in the policy, and ask for a surrender form. That will allow you to draw out the value in it (minus whatever unpaid premium or fees there may be) and end your coverage. If there is no value in it, like in a Term policy, you can either write, call and cancel, or just stop paying, and your coverage will end. If you are set up on a monthly bank draw with them, you need to ensure that the processed is stopped, or they will continue to ding you for the premium amount. Please be sure that you have an active policy in place first, and that the agent had explained very clearly the benefits and risks of making this move. I hate to say it, but there are agents out there who will convince you that you need to change, not because it is best for you, but because their rent is due. I'd be happy to walk you through this decision in more detail if you would like, please feel free to contact me. Thank you for asking!

Answer on Can A Landlord Force You To Get Renters Insurance? by Jim Winkler

Jim Winkler — Thu, 08 May 2014 13:19:01 +0000

That is a great question! A landlord cannot force you to purchase a renters policy, but he can make it a condition of renting the apartment - you don't have one, you don't get the apartment. I know that may not seem fair, but the landlord is really trying to protect both you and him. It really is a good thing to have it, (and it is not very expensive, you can expect to generally expect to pay around $20 a month), and is well worth it if you ever have damage to your apartment or are a victim of theft . I hope that helps! Thanks for asking!

Answer on Can You Get Renters Insurance On An Illegal Apartment? by Jim Winkler

Jim Winkler — Wed, 07 May 2014 20:02:22 +0000

Great question! A better one would be why would you want to risk living in one? In almost every case, if an insurance company finds that there were laws being broken in the event that causes the claim to be filed, they will delay, or deny the claim pending an investigation of the circumstances. If it turns out you were living at great risk for a claim in an apartment that you shouldn't legally have been in, I'd expect them to be slow to pay, and quick to deny. Please rethink your idea of living there, okay? Thanks for asking!

Answer on Does Renters Insurance Cover Damage To My Car? by Jim Winkler

Jim Winkler — Wed, 07 May 2014 19:40:51 +0000

That is a great question! Unfortunately, the answer not so much...In almost every case, the renters policy will only cover the contents of the apartment, and not apply to other areas, like your car, or your health, if you get sick. Those things need policies of their own, so in the case of your car, that would be a claim for your auto insurance, not your renters. Same with your health, you would need to have a health insurance policy to cover your illness. Call your auto agent, (assuming the damage is more than your deductible) and file a claim there. Thanks for asking!

Answer on Can I Borrow On My Life Insurance? by Jim Winkler

Jim Winkler — Wed, 07 May 2014 00:08:43 +0000

Great question! You can borrow from your policy if it has built up enough cash value. This typically takes a few years to start building a borrowable amount. The first couple of years repays the costs of the policy, and than it will start generating cash. The amount that you borrow will be charged interest, and if the loan balance becomes too large, it may cause the cancellation of your policy. Contact your agent to determine your cash value, and borrowable amount available to you. Thanks for asking!

Answer on Can You Get An Extension On Car Insurance? by Jim Winkler

Jim Winkler — Tue, 06 May 2014 12:47:02 +0000

Great question! The answer is going to depend upon your company - some may allow a short extension period, if you have had a good payment history, some may even allow for a hardship allowance. It is going to be tough thou, as insurance companies are pretty serious about getting paid on time. The best option is to try your best to make the payment somehow, but call your agent, explain what is going on, and see how they can help. The other alternative is to let the policy fall into the grace period, and pay before it cancels, and your coverage is lost. Unfortunately, that will mean you will need at some point to make two payments close together. Good luck! Thanks for asking!

Answer on What Percentage Of Home Value Is Insurance? by Jim Winkler

Jim Winkler — Tue, 06 May 2014 12:18:10 +0000

Great question! Taken literally, the answer to your question is none. The fact that your home is insured does not add to your homes value at all. The new buyer will need to reinsure it, so there is no additional value added. If you are asking what amount you should insure your home for, that's a great question also! You want to insure your home not for its resale value, but for what it would cost you to rebuild it. Keep safe somewhere details of the footage, details, extra's, etc. that will help you determine that value. You can also get an idea from your zip code, and most companies will have a calculator to determine that average cost. Then you want to add to that the value of your belongings. You will want to have serial and model numbers, pictures of unusual or special items, and that list kept safely somewhere also. There are some really helpful software programs that can help you with that. The total of those numbers is the amount that you want to have coverage for. If you need help, please feel free to contact me, I'm happy to help. Thanks for asking!

Answer on How Much Life Insurance For A Stay At Home Mom? by Jim Winkler

Jim Winkler — Tue, 06 May 2014 01:03:03 +0000

Hi Mom! Great question! If I understand your question correctly, you are asking how much insurance should I purchase? I'd suggest that you figure out what it would cost to have to pay for your services, should that have to happen. Include the cost of meals, snacks, and whatever else you are providing that a childcare facility would charge you for. Then I would add in the cost of your funeral expenses. Take a good look at your budget - what can you safely afford to spend each month? Take that number, and decide whether you are better off with a term policy or a whole life policy, that you can let grow for awhile. If you would like help with this, please feel free to contact me, I'd be glad to make time for you. I have a ton of respect for stay at home parents, it is a real job. Thanks for asking!

Answer on Why Does Someone Need Renters Insurance? by Jim Winkler

Jim Winkler — Tue, 06 May 2014 00:54:04 +0000

Great question! Anyone who will be putting their belongings into a home owned by someone else, and who doesn't have the money to replace it all should it be stolen or destroyed needs renters insurance. It is a common mistake to believe that the landlords insurance covers you, but it only covers what they stand to lose, not you. Renters insurance is relatively inexpensive, and can really be a blessing if your home is damaged, or you are robbed. If you would like help, please feel free to contact me. Thanks for asking!

Answer on What Renters Insurance Should I Get? by Jim Winkler

Jim Winkler — Mon, 05 May 2014 14:55:01 +0000

Great question! What you want to look for in any insurance policy is the greatest coverage for the lowest price, and the least amount of money that you have to pay before the policy kicks in and pays. Look for one that offers replacement value vs, actual cost. ( actual cost is the company's estimate of an item's value based on it's age and assumed condition, while replacement cost is the cost of replacing the item - it will be a little more expensive, but well worth it if you ever need to file a claim) Look for an independent agent who can give you quotes from a couple of different companies to choose from. Good luck! Thanks for asking!

Answer on Why Is Health Insurance Employer Based? by Jim Winkler

Jim Winkler — Mon, 05 May 2014 14:47:01 +0000

Great question! The benefits package was designed to attract and keep the better employee. Often, when pay rates are the same the addition of benefits, like health insurance, would be the difference between whom you chose to work for. Unfortunately, I think that over the next few years you will see more and more employers push their employees towards the Government marketplace by reducing or eliminating their offering of insurance coverage. By doing this, they will tell you that you will be getting a "bigger paycheck" while transferring the company's expense and risk to you, the employee. I read recently that there were conservative estimates of trillions of dollars of profit for companies in this move, so I can't see them waiting too long to make that happen. In some cases, it will be cheaper for the employee, but no one is certain what percentage of the workforce will benefit. Thanks for asking!

Answer on How Do I Know What My Health Insurance Premium Is? by Jim Winkler

Jim Winkler — Mon, 05 May 2014 14:36:43 +0000

Great question! In almost every case, your premium payment should be agreed upon before you sign for the policy. There are some cases where the companies underwriters need some time to investigate an determine whether you will qualify, and what the premium will be, but in most cases you should have a very good idea up front what you are paying, and what your coverage will consist of. If your agent doesn't make these things clear to you, politely decline, and go get another agent, one who will make everything understandable. If you would like help, please feel free to contact me, okay? Thanks for asking!

Answer on Can Morbidly Obese People Get Life Insurance? by Jim Winkler

Jim Winkler — Mon, 05 May 2014 14:17:30 +0000

Great question! Insurance companies do not like risk, and the health issues for someone who is morbidly obese are much greater than those for a normal person. That makes finding a policy a lot tougher than it is for the more normal person. That said, there are companies that will issue "guaranteed issue" policies. These policies ask few if any health questions, and require little more than proof of who you are, and how you will pay. The plus is that you will have insurance, the negative is that these policies can be much more expensive, and will come with a period called a grade, in which the death benefit is reduced, usually to what you've paid in plus some amount of interest. If you'd like help finding one, please feel free to contact me, I'd be happy to help you. Thanks for asking!

Answer on How To Choose A Life Insurance Policy? by Jim Winkler

Jim Winkler — Mon, 05 May 2014 14:11:59 +0000

Great question! There are a couple of things that you want to ask yourself before shopping for a policy. Ask yourself: What do I want this policy to do for me - provide burial expenses, transfer wealth to my survivors, provide a potential retirement income, or protect against a major expense like college or a mortgage? How long will I need this coverage? If you want it to last as long as you do, then you would want to look at a whole life policy instead of a term product. If you are looking to cover a short term risk, then a term policy is the better choice. Once you have an idea of what you want the insurance to do for you, figure out what you can afford to spend. Remember that life insurance is like buying a new car. You stop making timely payments, and one day your car is gone. The same thing happens to the money that you have paid into your policy. Find an independent agent, (one not tied to a specific brand) who can help you compare companies, policies, and what they will do for you.If you would like help, please feel free to contact me, I'd be happy to make time for you. Thanks for asking!

Answer on How Do Homeowners Insurance Agents Get Paid? by Jim Winkler

Jim Winkler — Mon, 05 May 2014 02:10:35 +0000

Great question! Most insurance agents are paid on commission, meaning that the insurance company will give them a percentage of whatever policy premium that they are able to sell. Some companies may give a small base salary, but typically the agent earns money by selling policies, and riders (additions to the policies). The more they sell, the more they make. Thanks for asking!

Answer on How Do You Cancel Auto Insurance? by Jim Winkler

Jim Winkler — Sun, 04 May 2014 00:49:17 +0000

Great Question! Assuming that you want to cancel it because you have found a cheaper policy, as soon as you've started coverage on the new policy, call your agent for the old one, and tell them that you want to cancel. There may be a form that you need to fill out for them, or they may need something in writing, depending upon the company.It should not be a problem for you to drop that policy. Thank you for asking!

Answer on Does Homeowners Insurance Cover Vacant House? by Jim Winkler

Jim Winkler — Sun, 04 May 2014 00:32:54 +0000

Great question! Unfortunately, not a great answer. Because of the great risk for damage, theft or infestations, most insurers will not insure a vacant home. If you leave your home vacant for even as little as 30 days, many companies will cancel your coverage, or deny any claims that arise from that period where the home was vacant. ( I learned that the hard way.) Your best bet is to see if you can find a company that will write a "vacant home" policy, but beware, they are hard to find, and very expensive, or hire a house sitter to occupy your home while you are gone. If you need more information, please feel free to contact me, I'm happy to help. Thanks for asking!

Answer on Does A Car Insurance Quote Affect Your Credit Score? by Jim Winkler

Jim Winkler — Sat, 03 May 2014 16:41:03 +0000

Great question! The answer will make you happy - no, getting quotes will not affect your credit score. Unlike loan inquiries, which can affect your score ( unless you actually get a loan or credit card within 30 days of the initial inquiry, then the credit companies realize you were shopping for the best deal, and do not ding your score) quotes will have no bearing upon your score at all. The best way to look at it is like this- if it will affect your risk for getting credit, it can hurt your score. If you are protecting your investments or credit, it won't. I hope that helps you feel better! If you need help, please feel free to contact me. Thanks for asking!

Answer on Does A College Student Need Renters Insurance? by Jim Winkler

Jim Winkler — Thu, 01 May 2014 14:49:47 +0000

Great question! Anytime you take your personal belongings, and put them in someone else's place of residence, it's good to have protection for those belongings. In a dorm, maybe not, if the residency rules cover for theft or damage while living in the dorm. In a fraternity or sorority house, check the residency rules to determine if it is needed. In an apartment in a college town? You bet. It's relatively inexpensive, compared to the cost of replacing a good laptop , cell phone, or videogame system. (And especially to the cost of all the above.) If you would like help, please feel free to contact me, I'm happy to help. Thanks for asking!

Answer on Does My Geico Insurance Cover Me When I Rent A Car? by Jim Winkler

Jim Winkler — Thu, 01 May 2014 14:30:10 +0000

Great question! If you have comprehensive and/or collision coverage, often it will apply, regardless of the vehicle you are driving. BUT, you want to check with your agent about your specific policy, as not all companies insure a vehicle other than the one listed on your policy. I am not a Geico agent, so I can only tell you the general rules. If your policy doesn't , you have a couple of options- the first is to purchase a policy from the rental company, the second may save you a few bucks if you want to spend a few minutes on the phone - many credit cards will include rental card insurance coverage as a perk, if done through their partners - especially cards issued through airlines. It might be worth the call to find out. Thanks for asking!

Answer on What Happens If I Cancel My Health Insurance? by Jim Winkler

Jim Winkler — Wed, 30 Apr 2014 14:19:56 +0000

Great question! There would be a couple of immediate results. The first is that you would no longer have the benefit of insurance to help pay for costs should you become sick or injured. Those costs can be devastating to your financial stability. The second is that under the Affordable Care Act, there are penalties for not having insurance, that are leveled when you file your taxes for this year. The health insurance companies limit the ability to enroll in their programs, and many workplace plans will not drop you until the open enrollment period unless you meet specified conditions.Without knowing the reason that you are considering dropping your coverage, I would ask that you would have a plan in place before you actually do drop your coverage. If I can provide more information, please feel free to contact me. Thanks for asking!

Answer on Why Does Postcode Affect Car Insurance? by Jim Winkler

Jim Winkler — Wed, 30 Apr 2014 03:22:03 +0000

Great question! The zip code or post code is used by the insurance company to assess the risk for where you live. Some places have higher instances of auto theft, accidents, or uninsured motorists, and insurance rates in those areas will reflect that in higher rates. The opposite is true - if the area is quiet, low crime and low accident rate, your risk is assumed to be lower, and as a result so will your rates. If you need more information, please don't hesitate to contact me, I'm happy to help. Thanks for asking!

Answer on Why Change Ownership Of A Life Insurance Policy? by Jim Winkler

Jim Winkler — Tue, 29 Apr 2014 13:52:25 +0000

Great question! There are several reasons why you might want the ownership transferred. As those fine folks mentioned, tax considerations are a good reason; The inability to manage the affairs due to declining mental health or the death of the owner is another. Another very common reason is the transferring of ownership from the parent, to the insured child once they are in a position to assume that ownership. In my case, I purchased policies for my kids when they were little ( if you have kids, do it as soon as possible also, and save yourself and them a ton of money over their life) and will transfer the ownership to them when they are capable of assuming the payments. If you have further questions, I'm happy to help, just contact me. Thanks for asking!

Answer on Can A Quadriplegic Buy Life Insurance? by Jim Winkler

Jim Winkler — Fri, 25 Apr 2014 15:47:40 +0000

Great question! It will be very difficult to find life insurance, but not impossible. Your policy will will have restrictions on how much is paid out in the first few years, and will be a more expensive policy than someone in good health. That said, look for some companies that have Guaranteed issue policies, you will want to shop, as some will be more expensive than others. Kemper, Mutual of Omaha, United Home Life are a few of the companies that carry that kind of policy. If you would like more information, please feel free to contact me. Thanks for asking!

Answer on I Have Had A Universal Life Policy With State Farm For 15+ Years. Will My Claim Be Paid If I Commit Suicide? by Jim Winkler

Jim Winkler — Fri, 25 Apr 2014 15:38:57 +0000

I would like to say that this is a good question, but it is not. If this is a cry for help, please go see someone, anyone who you can talk to. Do you for a second think that your beneficiary would rather have money than you? Do you honestly think that leaving them money instead of you is good? Please seek help immediately. I do not wish to be offensive, but all life is sacred, and that includes yours.

Answer on Where Do Health Insurance Companies Invest? by Jim Winkler

Jim Winkler — Thu, 24 Apr 2014 23:07:03 +0000

Great question! Insurance companies invest their money in a lot of things, but the primary investment for a lot of them is in high yielding corporate bonds. (I read somewhere that the insurance industry buys almost 70% of these bonds issued.) They make the bulk of their money from what is called the "float" - the money that is on hand before it gets paid out on claims. If they can invest and reinvest that money in a tax free vehicle before having to pay it out in a claim, they can make good profits. They also make money off of unclaimed payouts, lapsed policies, and interest off of loans. Hope that answers your question! Thanks for asking!

Answer on If the owner of a life insurance policy dies and the insured is still alive but the policy hasn’t matured, if the insured wanted to cash out will he/she only be getting the cash out value? by Jim Winkler

Jim Winkler — Mon, 21 Apr 2014 13:49:43 +0000

Great question! The only way that a policy will pay out the whole face value is upon the insured's passing. Until that point, if you are wanting to surrender the policy, the most that you can get is the amount of the cash value, minus any surrender charges, loans or unpaid premiums. Contact the company to determine what that amount would be, and to get the appropriate paperwork. Before doing that though, it is always best to have an active policy for yourself so ensure that you do. Any more questions? Please feel free to contact me, I'm glad to help. Thanks for asking!

Answer on Does Renters Insurance Cover Stolen Cash? by Jim Winkler

Jim Winkler — Mon, 14 Apr 2014 17:40:41 +0000

That's a great question! Unfortunately, the answer really isn't. Unless you can prove how much cash was stolen, typically it won't be covered. If you have a serial number or a credit card receipt for a tv, you can prove you had it, and what its value was. With cash, there's typically no way to prove that it made its way from the bank to the robbers pocket, or that you ever had it at all. Insurance companies won't give you money for what you can't prove to them that you had, I'm sorry to say. If there is more you'd like to discuss, please contact me, I'd be happy to help. Thanks for asking!

Answer on Why Do Life Insurance Premiums Increase? by Jim Winkler

Jim Winkler — Wed, 09 Apr 2014 14:54:11 +0000

If you purchased a level premium whole life policy they shouldn't! If you have a universal life or term policy, they will increase either a.) when the term expires , or when you move into a new age bracket, like many of the television and mailbox policies you receive do; or b.) when you find out that the minimum payments that you've been making for the past several years on your universal life policy weren't enough to pay for the cost of the policy, and now you are going to have to pay up, or lose it. If you would like to discuss this further, please click on the 'contact me' link, I'll be happy to help. Thanks for asking!

Answer on Do I Need To Have Life Insurance Before My Child Does? by Jim Winkler

Jim Winkler — Sat, 29 Apr 2017 19:00:55 +0000

That is a great question! I have to start by saying that I am neither a Lawyer, nor a resident of New York, so I cannot say with certainty what the law there states, but I can help you figure this out. Let's start by agreeing that having life insurance for yourself protects your child as well as yourself. Let's also agree that perhaps that means there's more expense there than you'd like to bear. So here are a couple of suggestions you might want to look at. 1.) Are you covered by a group policy at work? If so, will proof of that coverage work for the agent you are attempting to purchase your child's insurance from? Or, can you/have you added the child to your work policy? Not the best option if you were to leave work, but coverage nonetheless. 2.) Knowing that most companies are going to want to sell you a policy first, perhaps you look at securing a term policy for yourself - one that will not break your budget, but satisfy the requirements needed to be able to purchase the policy for your child. If you look at an ROP (Return of Premium) term policy, you might even be able to structure it in a way that helps you out with permanent coverage as well. Either way, a term policy will be a short term, less expensive way to cover the both of you. 3.) You might look at getting a policy for yourself, and adding your child on a rider (a clause added to the contract that provides additional benefits) to insure them as well for a period of time. That way you provide protection for your child, and provide coverage for them as well. 4.) You could take a few moments and look at your State's Department of Insurance website, and see what exactly the minimums/requirements are (good luck with that, maybe the coffee hadn't kicked in yet, but I found New York's fairly unhelpful). Then work between them. I would look for an independent agent, and run your needs by them. I would be very open about your desire to seek a second opinion if the agent cannot come up with a viable solution for you. I promise you there is one. Thank you for asking your question, and for looking into providing for your child in a responsible and loving way. You rock! Good luck, and don't hesitate to contact me if you need any help.

Answer on Is There Any Way To Find Out If A Deceased Parent Had A Life Insurance Policy? by Jim Winkler

Jim Winkler — Sat, 08 Apr 2017 17:29:21 +0000

That is a great question. I am sorry for your loss, and I pray that you find comfort in our Lord. On every insurance policy sold, there is an agreement that you sign off on allowing a company called MIB (the Medical Information Bureau) to do a search of your insurance records. MIB acts as a repository for all insurance related claims. Insurers from Geico to Lenscrafters to Met Life use MIB to look at your insurance claim history to help assess the rate on your policy. They also have a department that helps search through their databases for folks that are seeking to know if their loved one had a policy. I think it costs around $75 to initiate the search, but it may be worth the expense. Go to mib.com, and on their home page is a link to "finding a lost policy". You can easily find your way from there. They can look at over 400 companies for a trace of your parent's policy. Thank you for asking, and again, my sympathies on the loss of your loved one. If you need anything else, please do not hesitate to contact me, okay? I'll make the time for you. Good luck!

Answer on How Can I Find Out If My Mother Had Life Insurance With A Company? by Jim Winkler

Jim Winkler — Fri, 31 Mar 2017 13:35:02 +0000

That is a great question, and one that we get a lot. My prayers and sympathies are with you and your family. Some other ways to see are to go through her old receipts, safety deposit boxes (if she had them) and her close friends - they might have discussed it at some point. You may also have luck contacting MIB (Medical Information Bureau) - they are a clearinghouse for insurance information used by insurers to gather claim information, and they have a "lost policies " section that may help you in your search. They are the industry giant, so it is very likely they can be helpful. Try them, okay? Thank you for your question; I pray your heart is comforted and held by our Lord in peace, and I pray you are successful in your search. Happy hunting!

Answer on How Much Is My $250,000 Term Life Policy Worth? I Am 67 In July by Jim Winkler

Jim Winkler — Fri, 31 Mar 2017 13:26:56 +0000

That is a great question with a not so great answer...I know that you have enjoyed the smaller premiums with your term policy, knowing how much more the whole life premiums were, but there was always a catch to getting something cheaper. In this case, it is that your policy will have no cash value or worth once the term has expired. You may have the option to renew it, at a much higher cost, one that will continue to become more expensive each year, or as Mr. Robbins said, there may be an option to convert your policy to a paid up whole life policy, but your face value will be dramatically smaller. My suggestion is to contact your agent, and have them explain to you what your policy will allow you to do. I got into the insurance business in part because I felt taken advantage of by an agent who sold me a policy without explaining anything other than "it was cheaper, and would cover me as well as the expensive one", and I sincerely hope that was not a case similar to yours. Contact your agent, have them explain, and then go from there. The bright side is that you are still young, and there are a ton of options out there for you. Thank you for asking, and I pray you find a solution that works well for you!

Answer on If An Insurer Made A Material Mistake On A Policy After 18 Months What Will Happen? by Jim Winkler

Jim Winkler — Wed, 22 Feb 2017 14:59:59 +0000

That is a great question! Without having any details, there is not much in the way of concrete answers I can give you. I can tell you that there is a given dispute period (in life insurance policies it is usually two years, look at your policy and see what your company defines yours as) and once that period has ended your contract terms are set. If you have found an issue in the policy terms or values contact your agent and get it resolved before that dispute period runs out, because after that you are bound by the policy's terms. Good luck, and thank you for asking!

Answer on What Options Protect The Insured From An Unintentional Policy Lapse For A Nonpayment Of Premium? by Jim Winkler

Jim Winkler — Wed, 22 Feb 2017 14:47:39 +0000

That is a great question! And As Ms. Mace pointed out so well, the greatest protection is awareness. But the system is not built with many protections for the owner of the policy, and that can really be an issue. I see it often when a parent has passed and the children are looking at the policies, only to learn that at some point when the parent became ill there was a payment missed and the policy lapsed without anyone realizing it. It is heartbreaking to have that conversation, and contributes to the grief in a very unneeded way. But there are things that you can do to help prevent this from happening. The writing of the application and the company selected are the best places to start. We look at several cars before making a purchase, looking for the one that fits and protects us best; we do the same looking for apartments or homes. We should absolutely do the same with our life insurance! There are companies out there that have built in protections for the policy owner. I write for one that upon lapsing, converts the whole life policy to term coverage, the face value (the amount paid upon death) stays the same and the length of the term is determined according to how much has been paid in before the policy had lapsed. This allows the owner a chance to either keep the paid off term policy, or to keep coverage until the policy can be reinstated as a whole life policy. Ask the agent you are dealing with what the lapse policy is, and how you are protected before agreeing to buy the policy. Other companies will offer the option of allowing a missed payment to be paid from the accumulated cash value in the policy. This will require you checking or signing off on this option, so be certain to ask your agent if this is available before purchasing the policy. As Ms. Mace pointed out, this can be a case of "good thing/bad thing", as the payment is treated as a loan against the policy's value, and if not taken care of in a timely manner can eventually bankrupt the policy, or greatly reduce the death benefit paid when the claim is filed. The insurance company will also charge interest on your payment loan, so it can become a big problem if not watched, but a life saver if needed. Some other great prevention methods are to write down all of your payments, account numbers, and due dates. Keep them and computer passwords in a safe spot, where family members can access them in the event that you are unable to make your payments due to illness or hospitalization. Have a system in place to notify a family member if you are unable to make these payments - a secondary billing address, or a regularly scheduled visit or call that will allow you to stay in contact, and aware of issues. This is really your only protection against the lapsing of a term life policy, as they have no cash value to borrow against if needed. It is really unfortunate that lapsing insurance policies are like repossessed cars; there today and gone like smoke overnight, along with everything you had ever paid on it. But knowing is half the battle, and prioritizing the health of your policy prioritizes the gift you leave behind to those you love. Thinking of it that way, as opposed to just another expense can really save some heartache later. Thank you for asking your question, and if there is anything more that I might help you with, please do not hesitate to reach out and contact me. May God bless and keep you!

Answer on If A Beneficiary Dies Before The Insured, Who Collects? The Insured Family Or Beneficiaries? by Jim Winkler

Jim Winkler — Tue, 31 Jan 2017 13:21:40 +0000

That is a great question! As Mr. Goldenzweig mentioned, the contingent beneficiary would be next in line to collect the proceeds of the policy. The owner of the policy (I am assuming the insured) can contact the HR department and name a new beneficiary if there was no contingent beneficiary named, or if that choice has changed over time. It is important that a beneficiary is named, as it can get messy when the proceeds fall into the estate, as opposed to the generally smooth payment to the named beneficiary. Taxes and court costs can eat a big piece of estates, especially if there are differences of opinion on how that estate was to be divided. Changing one's beneficiary is a very simple process, usually just filling out a simple request form, and can be done as often as one might wish. You did well to recognize the issue, and react quickly to it. I see often when the named beneficiary was a relative or ex that was never changed when they passed or were divorced, and the mess that the oversight creates is always an extra grief that isn't needed. If you need help, or have any further questions, please do not hesitate to contact me, okay? Thank you for asking!

Answer on Why Should I Have Variable Life Insurance? by Jim Winkler

Jim Winkler — Mon, 02 Jan 2017 19:08:12 +0000

That is a great question! A better one might be "why was this option recommended to me?" As Mr. Robbins points out, this is not the best product to offer you, in truth, it would offer you little advantage at all. I am thankful that you asked your question, and did not blindly trust the guidance of whomever offered this as an option. There are unfortunately a few bad apples out there that are either not up to date on the best practices/best solutions offered, or sadly, more interested in profit than service. Not saying that the person who offered this was one of them, but again, perhaps you take Mr. Robbins' advice and seek an alternative adviser for a more balanced outlook on how to safeguard or grow your assets. Thank you for asking, and I pray you have an awesomely blessed 2017!

Answer on Hit A Car And Owner Calls Me 4 Months Later. Do I Have To Pay For It? by Jim Winkler

Jim Winkler — Thu, 15 Dec 2016 16:32:40 +0000

That is an interesting question. Are you asking if it is okay to not be responsible for your actions if there is a passage of time, or if there is the question of additional damage done to the other vehicle, and you are possibly going to be used as the scapegoat? If it is the former, you need to own up to your responsibilities. If it is the latter, that may be a different story. It is always wise to document any accident, by picture, handwritten notes, or police report. The documentation is very helpful in a case like yours where time has passed, and memories of damages may not be as sharp. Without that documentation, the claims for damages can get a little fuzzy. You admit to hitting the other car. Morally, you now have an obligation to repair the damage that you did (if any) to the other vehicle. How much, or precisely what that damage was now becomes the question. Has the other driver told you what repairs they are seeking done? Do they match what you remember seeing done? That is where the rub will come, and you will have to work it out together. You have no way of knowing why the repairs weren't sought earlier, and perhaps that is worth knowing also. In any event, a friendly negotiation beats a contentious court battle any day. That said, you would probably do well to contact your lawyer, and seek their legal advice on what your obligations legally would be, and proceed from there. I hope that you can work it out in a way that satisfies you both. Good luck, and thanks for asking!

Answer on When I Call The Insurance Company To File A Death Claim (20 Yr Paid Life), I’m Told They Have No Record Of The Policy Number. What Happens To Old Policies? by Jim Winkler

Jim Winkler — Thu, 15 Dec 2016 15:55:07 +0000

That is a great question - but it raises a few more. You mention that they are twenty year paid life policies, are they term life policies? If they are, and the twenty year period has been completed and time has passed since then, the policy would have ended, the money and coverage gone, and the company rightfully telling you that they have no record of the policy being active or in force. Term policies only cover the specified time period, and then end. If there have been premiums paid consistently up to the passing of your loved one, then that money has to have been going somewhere, and Mr. Robbins is right in referring you to a customer service rep. Perhaps it is one of those things where one insurance company absorbed yours, and the older policy is still listed under its previous policy number, and not under the parent companies numbers. The customer service rep should be able to help you sort it out. If not, contact (if possible) the agent listed on the policy, and see if they can help - probably a long shot, but if the office/agent are still around, they may be able to help also. I'm sorry for your loss, and hope you get this sorted out soon. May God hold you and comfort you in your time of sorrow. Thank you for asking your question.

Answer on Should I Take Out A Reverse Mortgage Or Withdraw From My Retirement? by Jim Winkler

Jim Winkler — Fri, 07 Oct 2016 16:03:59 +0000

That is a great question! There are a few big issues with doing either, and you would need to be careful and thoughtfully consider each before choosing your path. This is truly as Solomon said, an opportunity to "consider a matter wisely." The first thing I'd need to know before giving you any advice would be the reason that you are looking to borrow, and then why these methods, instead of a more traditional means. I am assuming that if you are asking about the risks of borrowing from your retirement that you are not of age where you are receiving mandatory withdrawals; and I assume that you must have some amount of equity in your home that would seem to be worth borrowing against. Since I have no real solid information to work from, I will give you the dangers of your choices given. The reverse mortgage is not a returning of your money to you. It is a loan, will come with fees (often very steep) and the loan must be repaid once you sell your home, permanently move out, or the borrower passes away. So this can become a major problem if you are needing this money for a reason like paying for a nursing home expense, for example. If the equity money runs out before the nursing home stay does, then you have lost all borrowing leverage, the opportunity to sell your home, and you are still saddled with the debt. If the spouse who borrowed the money passes, and the other spouse is nursing home bound, or lives elsewhere, the loan becomes due, and that could become a major issue. This may not be a good option if you have issues maintaining the upkeep of your home, or may at some point consider moving. You must also own your home outright, or have a balance small enough that the balance can be paid off in the closing with the proceeds from the loan - which may significantly lower the amount you expect to get out of it. Borrowing from your retirement can be just as risky. 401k loans must be repaid very shortly after leaving your job, so if you are not planning on working at the job until the loan is paid off, you must be prepared to repay that balance. Removing a chunk of your retirement fund hurts the growth long term of your investment. There may also be fees and penalties, depending upon what your retirement vehicle is. I would love to be of more assistance, but without specifics, I am hesitant to recommend anything. I would also like to know what other borrowing options you have considered, as there may be others available that you might not have considered. I do appreciate you asking, it is a good question, and one that really requires a good idea of what you see your future looking like to you and your family. I pray that God bless you and guide you in your thinking. Thank you for your question, and please do not hesitate to ask if you need more information!

Answer on Can Creditors Go After Life Insurance Policies In A Revocable Trust? by Jim Winkler

Jim Winkler — Thu, 25 Aug 2016 14:19:16 +0000

That's a great question! While the two previous gentlemen did a great job answering your question, I couldn't help but notice that you mentioned the "whole term" life policies - you may wish to go back and be certain what type of policies they are. Term and whole life are two entirely separate types of coverage, (one ends, one doesn't) and while it may have been a typo on your part, it's worth looking into if it's not. You may find Mom-in-Law isn't as covered as you think, if it's term insurance. I'd recommend that you discuss this also with the family legal beagle, I live in Texas and cannot say I would have the vaguest ideas of what California tax law or debt collection procedures are, so I couldn't provide you with the direction that your lawyer could. Thank you for asking such a great question, and good luck!

Answer on Will My Renters Insurance Cover Hotel Expenses? by Jim Winkler

Jim Winkler — Thu, 25 Aug 2016 14:08:19 +0000

That is a great question! I am sorry to hear you have been put into this situation, I know how hard it is to try to live life when things are so unbalanced; but remember "this too shall pass", just be strong in your faith that this too will get resolved. That said, your policy may very well cover a hotel stay, but it may not cover it for as long as it sounds like you might need. Unfortunately, without seeing what your policy says, I really can not tell you what it covers. My advice would be to contact your agent that you got the policy from, and find out exactly what the policy will and won't cover. Once you know that, then you will know better what your options are. I hope that helps, be strong and gracious, your landlord might have been misled on how "handy" her handyman was also...Thanks for asking such a great question!

Answer on If Donald Trump Is Elected President Will Obamacare Go Away? by Jim Winkler

Jim Winkler — Thu, 25 Aug 2016 13:53:12 +0000

That is a great question! And just about every insurance company and agent would love to know the answer as much as you do...The health care segment right now is really in a state of transition, and it's difficult with all of the 'behind the scenes' maneuvering to see with any clarity how it will play out. But here's kind of a snapshot for you: The major insurers took a guess at what the average newly insured client would look like and set their initial prices accordingly when the Law was rolled out. As it turned out, many of the people that the insurers had excluded from coverage because of expensive to treat (read:"not profitable to insure") issues were the first to enroll. Therefore they found that the initial years have eaten away at their profits far more than they expected. For whatever the reason, political or otherwise, the thought was that people with issues would be outnumbered by healthy people enrolling, and thus the costs would be moderated, and profits excessive as usual. At the same time as this, pharmaceutical companies are seeing the impending legislated regulations for them also looming on the horizon , so many of them (Epi-pen being the latest) have jacked their prices up by hundreds of percents, hoping to reap as much profit as possible in the meantime (Epi-pen was raising their price 15% twice a year at one point - 30% more a year for something that didn't cost any more to make). So there is a fierce behind the scenes battle between insurers, drug manufacturers and marketers, The AMA and other medical provider organizations, lobbyists, and the Government. (The daughter of a West Virginia Senator is the CEO of Epi-pen, responsible for the price hikes, and for getting some major legislation pushed through Congress that greatly increased profits for her company - Heather Bresch, if you like to Google) There is a whole lot of money being passed around, a whole lot of unhappy Americans who can't afford their needed meds and services, and a whole lot of unhappy executives who are struggling to keep their salary increases and shareholders happy. When it's all sorted out, will Congress repeal Obamacare? I guess that depends upon who has the most money, or the loudest voice. My personal opinion is that the one thing that our elected representatives desire most is to keep their seat at the never-ending buffet of Congress, and there are many millions of Americans who now have health insurance who didn't before. They vote, and so keeping them at least partially happy is a must. I don't believe that it will be repealed, but I certainly expect to see some changes. There is a serious problem brewing here between ethical affordable treatment and profitability, and it is very rare that compromise occurs, so your guess is as good as anyone's as to who comes out ahead in this one...let's hope it's us. Thanks for asking such a great question!

Answer on What Rights Do I Have To Dismiss A Claim If My Insurance Company Never Informs Me Of It? by Jim Winkler

Jim Winkler — Wed, 20 Apr 2016 14:31:15 +0000

That is a great question! It sounds as if you remember the original incident, and I hope that you had documented it with pictures or some kind of statement at the time, as that will really help you now. Unfortunately, you have no recourse but to follow through. Ignoring it will not make it go away, and denying it happened will not either. The best thing that you can do is contact her insurance company and contest the claim. With luck and the proper documentation, it is possible that they will either settle or drop the claim against you. Work with your agent, and allow them to help you work through this. Good luck, and thank you for asking.

Answer on If I’m In A Single Vehicle Accident That Caused No Public Property Damage, But Totaled The Vehicle – Do I Need To File A Police Report? by Jim Winkler

Jim Winkler — Wed, 20 Apr 2016 14:25:04 +0000

That is a great question! It sounds from your description of the events that there was just you, a tree, and the car involved, and that you are taking responsibility for the accident. Since there is no one else involved, and no property damage claims involved, a police report isn't needed, unless it is a requirement in your State/town (Your insurer will know). In most case, the police report is used to verify facts when settling the claims, but since it is just you and your insurer, there's not much point. I would take pictures to document the scene, road conditions, and the car's damage just in case, but it sounds pretty cut and dried, accident/claim/settlement. I'm glad that you are okay, and able to ask your question. God was certainly watching over you. Thank you for asking, and I pray everything works out well for you.

Answer on What Percent Of Income Should I Spend On Whole Life Insurance? by Jim Winkler

Jim Winkler — Tue, 19 Apr 2016 16:20:45 +0000

That is a great question! I'd like you to think about the insurance expense as a function of the amount needed for coverage, not as a percentage, and here's why: Everyone will have different needs. So while a blanket statement like "housing costs should be no more than 30% of your income" might be a good rule of thumb, that same type of statement would not work when describing insurance coverage costs. For example, if I'm a young college student with no car, living at home, and without many possessions, my only insurance expenses are health and life policies (assuming Parent's aren't covering those too). But as a Father, homeowner, family, business owner, and husband, my insurance needs are going to be quite a bit more costly. Even in a situation where there are several exact people like me, our insurance needs will differ, based on the homes, cars we drive, amounts of life insurance we want, our health situations, credit ratings, etc. My percentage could be much higher than yours, and certainly much lower than the one the struggling minimum wage college student would be paying, if we were to compare incomes and expenses. So it really boils down to what your needs are, what you can safely afford to spend, and how much coverage you can get on the amount you are willing to spend. The best advice I can give you is to meet with an agent or agents, and look at the different options available to you. I really hope that helps you, and thank you for asking!

Answer on My Husband’s Car Slid Down Our Icy Driveway And Hit Mine. Will He Get A Surcharge? by Jim Winkler

Jim Winkler — Wed, 17 Feb 2016 14:46:08 +0000

That is a great question! As far as your insurance company is concerned, it will make no difference who caused the damage that resulted in your claim, the fact that they have to pay out on it is what matters. If the claim is filed listing your husband as the cause of the damage, then it is a pretty good bet that one of you will see a rate hike, if not both (if you are on separate policies - one a work vehicle, paperwork not completed, etc.). That said, there are some things to consider. Your policy may have a "first accident forgiveness" clause, and assuming that this is his/your first accident (many companies now offer this) you may not have any change in your rates. Another thing to consider is whether the damage done to your car will cost less to fix than your deductible amount is. If the repairs are $500 and your deductible is $1000, you would end up paying for the repairs yourself anyway. At that point, does it make sense to report the accident at all and risk the rate hike? I'd suggest that you review your policy and look for the forgiveness clause, and see if that would work for you. I'd also get an estimate or two, and compare them to the deductible you would end up paying. If you have the forgiveness perk, and the damage is extensive, I'd file the claim. If the damage is less than the deductible, I'd probably skip filing the claim, and just get the damage repaired. It might work best if you contact your agent and ask them how they recommend you proceed as they would know much better your policy and driving records than I would. I hope that helps, and that you find a pleasant outcome to your unpleasant problem! Thank you for asking!

Answer on My Wife Totaled A Car On A Shared Policy. Insurance Check Was Sent In Both Spouses Names – Do Both Spouses Need To Endorse The Check? by Jim Winkler

Jim Winkler — Tue, 20 Oct 2015 14:50:11 +0000

That is an interesting question! The easy answer, and I think you know it already, is that your bank will most likely require both signatures endorsing the check before they will process it. You can see if they will do a "for deposit only" endorsement, or you may need to have the insurance company reissue the check in halves, (if they'll do that, and I'd expect some fees to be involved, if they do). It is my prayer that your wife was unharmed and that no one else was injured, that the only loss you will suffer is the loss of the vehicle, and that the negative feelings that you are experiencing at the moment are long gone and resolved by the time you read this reply. Good luck, and thank you for asking!

Answer on If Donald Trump Becomes President Is It Possible That He Can Get Rid Of Obamacare? by Jim Winkler

Jim Winkler — Mon, 28 Sep 2015 14:53:11 +0000

That is a great question! Let's assume for a second that Mr. Trump (or someone from his party) becomes our next President. We all know that his party was never much in favor of Obamacare, (even though many, like Ted Cruz, have it) and would like to see it thrown out. Doing so, however poses a couple of challenges. The first is that there are millions of voters who received health insurance for the first time because of the Act. These folks might not take kindly to threats of removing the care they are finally being able to get. Unless there is a well thought out plan to allow them to keep their newly-gained insurance and health care services, (which to my knowledge no candidate had laid out, or even suggested exists), there is a fair chance they vote against the party that suggests taking that care away. The second is that their main points of attack have been upheld by two separate Supreme Court rulings. That would require some serious rewriting of the Act to enable changes to pass Congress, and at this juncture, it appears that Congress, and the party of Mr. Trump, are so dysfunctional that they couldn't pass go, let alone a finely crafted bill that would require a majority on one page. That said, I certainly believe that there will be attempts to change how it's funded (though it has actually saved money overall, and lowered costs) because we seem to have a Government that favors those who have a lot already, at the expense of those with little. Whether those attempts pass will be decided by how the Congress is made up after the election. The President alone can not pass anything on his own, or make changes, so it will be up to Congress to decide. If this is a concern for you, I would highly advise that you take the opportunity to let your voice be heard, and speak with your vote. If you do not exercise your right to speak when it is your chance, you give away your right to complain about it later, you know? Great question, thank you for asking it!

Answer on How Much Can 2 People Save On Auto Insurance If The Get Married And Combine Policies? by Jim Winkler

Jim Winkler — Sun, 27 Sep 2015 19:38:20 +0000

That is a great question! The answer really depends upon your insurance companies, and their discount rates. Shop both yours and your spouses, and ask. Also, if there are multiple policies already with one carrier, it might make for a deeper discount with them. Since I don't know who your policies are with, I'm sorry but I can not give you a dollar or percentage amount specifically. Best answer, call them and see! Congratulations, I pray many years of happiness and blessings for you!!! Thanks for asking!

Answer on How Much Life Insurance Should I Have On A Nurse’s Salary? by Jim Winkler

Jim Winkler — Sat, 26 Sep 2015 20:40:40 +0000

That is a great question! One that is kind of hard to answer though, (to be best for you) without some more specific information. Things that would be helpful to know to give you an accurate idea are physical, like age, sex, smoking preference - smoking/non, health history, and family health history, for example. A 22 year old woman with no health issues would have different options than say a 44 year old man who smokes and has high blood pressure. Other things to consider are more financial planning type things -for example, do you have dependents that you wish to provide for, are you looking to just cover expenses, would you like to transfer wealth? These are considerations that a good agent would want to cover with you. I'd strongly suggest that you look up a good independent agent in your area (independent means they are not tied exclusively to a brand name, allowing them to have several companies to use for comparing) and walk through your scenario with them. You are certainly welcome to contact me, I would be happy to help if you would like. Think these things over either way, so that you have answers, and set an appointment with an agent or two before you decide. I'm sorry that I could not give you a solid number, but it would not have been the right thing to do. Thank you for asking!

Answer on Why Should I Buy Life Insurance On A Newborn Baby? by Jim Winkler

Jim Winkler — Sat, 26 Sep 2015 20:29:27 +0000

That is a great question! There are a couple of good reasons, one that is nicer to think about than the other, but both valid. The nicer one is that the cost of life insurance is a set price for whole life insurance. That means that if you purchase a policy for let us say, $5 a month for your child, they will still be paying $5 a month when they are 25. The price never changes, despite whatever health issues arise. The other reason is that it is unfortunate but true that children die also. And their funerals are expensive also. If it would be a hardship for you to be able to bury your child, then that $5 a month is a really good hedge. Another reason is the one I alluded to above - if there is a health issue that surfaces that could impact significantly your child's health throughout their life, then getting the affordable coverage before the issue arises is a huge blessing. Many companies have been forced by the slowed economy to increase premiums on policies for the less healthy, and to cut back on what they will accept as healthy. It's a possibility that you may never have to worry about this (God willing, and I sincerely hope so), but if there are health issues in your family lines, it might be a good thing to consider. You would want to look for a good independent agent in your area to look for the right policy for you. If you would like more information, please feel free to contact me, and we'll go over your questions offline. I appreciate your asking, and if you do have a newborn, congrats!!

Answer on Will Obamacare Go Away If A Republican Gets Elected As President? by Jim Winkler

Jim Winkler — Wed, 02 Sep 2015 14:59:02 +0000

That is a great question, and I am certain that you are not the only one wondering...I think that for all the fuss and bluster made about the ACA (Affordable Care Act- or "Obamacare") that both parties realize that there are now roughly 18 million people enrolled in the program, and a good chunk of them would be uninsured without the Act. With every vote coming at a premium (lol, no pun intended) that is a number too large to gamble with losing. The Act has not been the budget busting, death camp creating nightmare that was so loudly forecasted, and other than a few disgruntled industries that had to cough up some bloated profits, and folks in some locations that did see premium prices increase, it has actually been fairly well received. The figures show that it has lowered overall healthcare costs substantially, and forced healthcare providers to improve in the quality of provided care and reduce overhead and inefficiencies. Forecasted healthcare costs by the Government's measures without the Act in place are much higher than they are with the Act, and if Medicaid measures were adopted by those States that chose not to opt in, those costs would be even lower. So any fiscally responsible politician treads a thin line there in choosing publicly to repeal the Act. The fact that the Supreme Court has now twice upheld challenges to the Act also makes the repeal of the Act more problematic than it would have been had the Court struck down one or both of those challenges. When you tack on the generally favorable (over 80%) approval rating the healthcare provided has generated, repealing the Act seems like a very risky idea if one wants to get re-elected. That said, there has been so much political time, money and hot air invested in reviling the Act that it seems unlikely that the ones banging that drum would willingly just abandon it. While it is possible, (there have been no serious alternatives to the act proposed or presented) for the plan to be repealed should a Republican Majority and Presidency occur, it is much more likely that any changes to the Act would be directed at what was the true rub for the most vocal opponents - the guaranteed subsidies, and the mandatory enrollment clauses. Since these were the targets of the legal challenges, it seems likely that there would be a belief that the newly acquired majorities would enable the changes to be made legislatively. Re-writing those portions of the Act would bypass for a time (until the inevitable ensuing legal challenges worked their way to a conclusion) the upheld judicial provisions. So in summary, repeal is unlikely, but I would look for a renewed assault upon certain provisions. I hope that helps clear up this very muddy water for you, and I thank you for asking!

Answer on Am I Liable If Someone Gets Hurt In My Timeshare? by Jim Winkler

Jim Winkler — Mon, 31 Aug 2015 15:15:43 +0000

That is a great question! The short answer is it depends. If I assume correctly that this is a points based timeshare arrangement, one of those "vacation club" kind of things, then it typically falls upon the resort management's policy. But if you've traded, sold or otherwise allowed someone else into your space on your time, then you may possibly be liable, depending upon the terms of the contract that you signed. If this is a property that you are an owner of for a specific number of years, then the liability issues may be more yours than the true property owners. Again, it will depend entirely on the policy exclusions that were in the contract you signed at purchase. If you own the property, most likely it's you. My recommendation is to take a look at your contract and see, and if you cannot find it, contact the company and have them send you a copy. You will have a better idea where you stand after looking at the terms. Good luck, and thank you for asking!

Answer on Why Is A Flexible Premium Life Insurance Policy Better Than Fixed Premium Permanent Life Insurance? by Jim Winkler

Jim Winkler — Mon, 31 Aug 2015 14:57:10 +0000

That is a great question! The deal is that it really boils down to how well you manage your money, in my opinion. The sales pitch for a flexible premium policy is that you have the ability to be "flexible" with your payments - you might pay a little more than the premium, skip a payment entirely, or overpay, as you see fit. If you are the type of person that is very closely watching your expenditures, and keeps a sharp eye on your investments, then this policy type can be potentially helpful in the convenience it offers. But...If you are like the overwhelming majority of Americans (77% - an unbelievable 77%!!) that live paycheck to paycheck, part of the 66% without adequate (or any) savings, or the 35% with a bill currently in collections, this may not be a good thing. The Bible tells us that while "All things are permissible, not all things are good." That is solid wisdom, in this case. The temptation here is to believe that the "flexibility" offered here provides you with more wiggle room in payments. While that is true to some degree, the truth is that there is a bottom line cost that has to be regularly covered or the policy goes under and lapses. Once it does, everything that you've paid into it goes under also. Sadly, what happens to those who have problems with cash flow and/or money management is that they make payments that cover those costs for a while, but slowly start underpaying or skipping payments, and the result is that the minimum premium payment goes up, it becomes unaffordable, more payments are underpaid or missed, and the policy goes down like the Titanic, taking all your money with it. So it is generally my opinion and recommendation that having a single, set premium payment policy is generally a safer bet. If the payment is budgeted for, and prioritized, there is far less chance of the policy falling behind and lapsing. The offer of flexible payments is definitely tantalizing, but then again, most of the things that are bad for us generally are...Bottom line? If you are good with your money and keep an eye on your financial matters, there are times when having that flexibility can be helpful. If you feel that money management may be an area of opportunity for you, perhaps the stability of the fixed premium policy would be a safer choice. I hope that helps, if you have any questions, please do not hesitate to inbox me, okay? Thank you very much for asking!

Answer on What Exactly Are Annuities? by Jim Winkler

Jim Winkler — Wed, 29 Jul 2015 14:48:37 +0000

Your comment made me laugh! And yes, I can answer your great question like a five year old, I'm a master of simple! An annuity is a way of putting money aside now to spend later. You get them through insurance companies. Once you put the money in it, you shouldn't touch it. It sits for many years growing and waiting for you. Once you get old and need it, you tell it you are ready to get paid. It will then start paying you every month until you a.) use it up b.) pass away or c.) your surviving spouse passes away (you pick one when you get it). They are a way of making sure you have money during your retirement. They are not a good idea for everybody - (like riding a bike without training wheels for the first ever bike ride) some people have trouble with their bills, and setting aside lots of bill money could be a bad thing, so they have to do what is called a 'suitability study' first. It will help figure out if it is a good thing. If the person you talk to doesn't do one, they are bad -run away! And some of them are filled with hiding fees and costs, that eat away like bad bugs at your money while it is away, so you have to be careful and ask 'pacifically what the costs are in total for the annuity. If it doesn't cost too much, it is a good thing. There are lots of types, so ask about all of them and take notes before you even think of giving them your money, k? I hope that helps, please realize that is greatly simplified. But the bottom line is that the right annuity can be a great part of your retirement plan. Please feel free to contact me for more details, or to answer any lingering questions, okay? Thank you for the 'funnest' question I have ever gotten to answer here!

Answer on How Can I Be Sure My 401(k) Will Still Be There For Me In Retirement In 30 Years? by Jim Winkler

Jim Winkler — Tue, 28 Jul 2015 13:48:42 +0000

That is a really good question! And trust me, you're not the only one asking it...There are really very few certainties in life, but we all seek to find as many as possible. Knowing that we have a safely protected retirement certainly ranks up near the top. While we can not guarantee that our retirement fund will last, there are some things that you can do to help ensure it: 1.) Have a clear picture of what retirement means to you - does it mean travelling and dining out often? If so, your fund will need to be large enough to accommodate that. If it looks more like fishing and working part time, then perhaps your fund can be a little more modest, and still be fine. But if you do not know, "People without vision perish," as the Proverb goes. 2.) Pay close attention to how your 401k is performing. If you don't know what it is doing, you are right to worry. While I do not recommend knee jerk reactions to losses, trends are worth paying attention to, especially if they are negative, precipitous, and lengthy. 3.) Know your spending habits. Have a very good grip on your budget process, and where you can squeeze out a little more to invest. Having good habits and keeping debt low entering retirement helps with the life of your investment also. 4.) Do not put all of your eggs in one basket, or as you more commonly hear, diversify. Start a Roth IRA to balance out your taxable 401k; Purchase an annuity or two to ensure a steady income stream that will not run out. Purchase some property that you can earn an income from during retirement; invest in bonds and low maintenance mutual funds. 5.) Plan for the inevitable medical expenses that come with age. The Law allows for a dedicated retirement account used exclusively for health care to be non-taxable, if health issues are likely, start one. Look at a life insurance policy that includes living benefit provisions, or look into long term care protection. If your company offers an HSA, enroll, and start paying into it. 6.) Save, save, save. Find high yield savings accounts, and be certain to have an emergency account. Having one allows you to be able to not have to make withdrawals from your retirement funds, or acquire more debt. Having one allows you to be able to make investments that otherwise would only be dreams. The best way to alleviate worry is to trust; Faith in the One who provides for us, and being a good steward of what we're given allows us to sleep at night. Hopefully there are ideas here that will help you. Please feel free to contact me if you would like a more personal analysis of where you sit. A great question, and one I'm glad that you asked. Thanks!

Answer on I Have 2 Roommates In An Apartment. Do All 3 Of Us Need To Get Renters Insurance? by Jim Winkler

Jim Winkler — Wed, 22 Jul 2015 16:16:45 +0000

That is a great question! Yes, is the short answer. Your roommates insurance company will not pay you for your stuff, or house you, if something were to damage the apartment enough to force you out of it. They will only pay for whomever has the policy, and whatever they have covered under their policy. The rest of you would be out of luck. Nor would they cover your part of the expenses if it was from your apartment that the fire, smoke, water, etc. damage originated. Only the person with the liability coverage will be helped. Protect yourself, and get a policy. They are relatively inexpensive, and can be a Godsend should there be a problem in your home, or with your stuff. Thank you for asking!

Answer on Can An LLC Own A Vehicle And Use Personal Auto Insurance? by Jim Winkler

Jim Winkler — Wed, 22 Jul 2015 16:10:04 +0000

That is a great question! You certainly could, but I do not think I would want to be in your shoes should you (God forbid) ever have to file a claim. The majority of insurers will differentiate a vehicle used for obvious business purposes (a vehicle filled with tools, having attached advertising, or damaged during the work activity will generally get them to consider the vehicle as being used commercially in most cases) versus private usage. That may not keep them from paying the claim, but it may allow them to contest it, or delay payment during an investigation of the claim. You may very well want to look into the alternative of purchasing a commercial coverage policy, especially if you will be transporting things of value in the vehicle that would be costly to replace (tools, files, computer equipment, etc.). Your companies liability part of the policy will protect your family's assets against a claim than your private insurance would also. I'd ask you to get a commercial policy, and write it off as an expense. Thank you for asking!

Answer on A Whole Life Policy Owner Passed Away With Cash Surrender Value Higher Than The Death Benefit. Which Amount Will The Beneficiary Get? by Jim Winkler

Jim Winkler — Wed, 22 Jul 2015 15:59:20 +0000

I am sorry for your loss, and pray that you find comfort during this time. You have asked a great question. I'm going to hazard a guess and say that the policy has been in force for many years. Over that time, the amount paid into the policy has exceeded whatever the face value of the policy is, the company pays the occasional dividend, or both. In any case, the cash value has grown to exceed the stated benefit value of the policy. I have policies that are the same way; my Dad was wise and loved us enough to buy policies for us with what at the time were adequate face values. Over the years, what I've paid on the policy has been supplemented by dividends paid by the insurance company. The cash value is about triple the face value. But if you look at the monthly statement, I will bet you will see what I see on mine - the death benefit is equal to the face value + the excess cash value, minus any unpaid loans or owed premium. My bet is the policy is written with a company that has been fiscally prosperous, and paid steady dividends to the policy. Your loved one made a wise decision purchasing this policy. May God bless and keep you in your time of sorrow, and thank you for asking.

Answer on For Health Insurance, Does The IRS Provide A 31 Day Window For All Qualifying Events? by Jim Winkler

Jim Winkler — Sat, 18 Jul 2015 15:41:54 +0000

That is a great question! Are you asking in regards to whether they are become at risk for losing the tax exemption during that period or afterwards? My understanding is that during that 60 day window the newly uninsured does not incur that risk. They are still considered insured for the duration of the window. As long as the person re-enrolls in an approved plan, or opts for COBRA extension of coverage, they will not incur penalties. I'd imagine that there would have to be a significant amount of time passed as uninsured to become at risk for incurring the tax penalties. Good question, thanks for asking it!

Answer on Will Obamacare Go Away If We Get A New President? by Jim Winkler

Jim Winkler — Sat, 18 Jul 2015 15:14:46 +0000

That is a great question! With the over fifty attempted repeal tries, and the very public stances against it that the Republican party has, you are certainly right to wonder. But for all of the bluster and rhetoric, here's what the reality is - the American public does like the Affordable Care Act (Obamacare), as the uninsured rate is the lowest it's been in decades. The Supreme Court decisions gives the Law solid legal footing. With an election looming, and still stinging from what most in the Republican party thought was going to be a slam-dunk win 4 years ago on a platform of repealing the Act, I think that the wiser leaders of the party know they need to rethink that strategy. As much as they dislike it, the voting electorate does like it, and sadly, many rely on the subsidies to be able to afford their coverage. The adding of Medicaid has progressed slowly but surely, even in the Red States that had spoken out against it, as leaders realize that after the nearly 2 decades of economic pressure, the average American needs the assistance. Even as there seems to be a to tendency to disregard facts in politics, when it comes down to where the votes are coming from, there can be softening or complete reversals of what had been very public stands on issues like health care.With the polling numbers falling solidly in favor of the Act, and the Law being upheld twice in the Supreme Court, I'd suspect you will hear less talk of repealing the Act. That said, I'm certain that each candidate will have an opinion on how he or she will change the Law to improve what doesn't work as well as it could. There is intense pressure from the insurance companies to regain the incredible profits they were making, and other medical companies also would like to push their agenda's, so the parts of the law that kept prices low I'd expect to see attacked. So in short, repealed? No. Changed? Probably, depending upon the outcome of the election, and how the public responds to the proposed changes. A great question, and one we in the industry have been watching closely also. Thanks for asking!

Answer on How Long Does It Take To Pay Out On A Contested Life Insurance Policy? by Jim Winkler

Jim Winkler — Sat, 04 Jul 2015 15:44:46 +0000

That is a great question! One I'm sorry that you have to ask...I'm sorry for your loss. Each Stat's Department of Insurance will have in its codes the specified time limits for filing claims, beginning the processing, and for making the payments. You may want to look there for your answer. The fact that your loved one passed so soon after purchasing the policy is always a red flag for the insurer, their first assumption is that there was a desperate health issue that led to the purchasing of the policy, and perhaps some dishonesty in the application answers. That is certainly not always the case, but that is how they treat it. They will ask for Doctor's statements, coroner's or autopsy reports, police reports, whatever documentation they need to determine if the timing was coincidental, or expected. Once they've received all of the documentation, the process moves pretty quickly. I'd expect the process to take between 6 weeks and 90 days, maybe longer, maybe sooner, depending upon how quickly everything is received. In any case, you will receive a payment for some amount. It will either be for face value of the policy, if they find in your favor, or for what had been paid in premiums over the length of time the policy had been issued, and some amount of interest, if they don't. Should the latter be the case, you do have the right to appeal, but you'll need a good lawyer and some money to outlast the insurer's lawyer and overturn the decision. If you feel that you've been wronged by them, you have the right also to file a complaint with the State. If you do so, be nice to your agent, because unless they advised you to misrepresent the truth, or have you apply fr something that wasn't appropriate, I can guarantee you they had no part in the decision that was made by the company, In fact, they will have been asked for a statement also, and would have had to tell their impression of your loved one's health. I'm sorry for your loss, and I hope everything works out for you. Thank you for asking!

Answer on Can Health Insurance Companies Legally Cancel You With No Explanation? by Jim Winkler

Jim Winkler — Thu, 25 Jun 2015 13:51:29 +0000

That is a great question! Legally, you should have received some sort of notice that your coverage was being terminated. Is it possible that you may have dismissed a letter from them as junk mail, and missed it? Either way, they need to have a valid reason for dropping your coverage, and you have a right to know what their reason is. It may be that they have withdrawn from your market, or no longer offer the plan that you were on; it may be an administrative error (I've seen plenty of those over the years); it may be a mistake on your part that you may not be aware of. I'd recommend that you contact them and find out. Being dropped from your coverage does not mean that you're out of luck, losing your coverage is a qualifying event for late enrollment in another plan. Head over to the www.healthcare.gov website (Affordable Care Act, aka Obamacare) and see if there may be a plan that might be cheaper for you. Who knows, maybe this is a blessing...Good luck, and thank you for asking!

Answer on Should Gun Owners Be Required To Carry Liability Insurance? by Jim Winkler

Jim Winkler — Tue, 23 Jun 2015 03:18:13 +0000

That is a very interesting question! I'd guess that from an insurers standpoint, anything that they can sell a policy for would be a good thing for them. There certainly are statistics that will prove that people with guns are at more risk of gun violence or accidents than those that don't own guns, so you can be sure they could make some money. As to whether they should be able to? That is a stickier question. We require American's to have auto insurance, because the damages were far too high without it; health insurance because of the ever increasing costs of health care. I suppose for me, it would come down to the same principle - does making all gun owners have a liability policy lower the risks or costs for the majority of people like health or auto insurance does? If it deters some one who really shouldn't have a gun because of some burning need to go out and immediately use it, then I'm for it; If it helps lower medical costs/liabilities than maybe; if it doesn't do anything but cost gun owners and profit big corporations, then I'd have to pass. A very interesting question, and one I'm glad you asked. Thanks!

Answer on My License Was Suspended And Has Been Recently Restored. Will This Affect Being Added To My Company’s Insurance? by Jim Winkler

Jim Winkler — Mon, 22 Jun 2015 15:03:49 +0000

That is a great question! And a hard one to answer, for a couple of reasons.The first would be is this a CDL license, one seperate from your regular driver's license? Were all driving priveleges suspended, or just CDL? Some states require all driving priveleges be lost with that suspension, others just the CDL. If you lost one, but not the other, it may make a difference. Another would be the company that you were recently hired by's insurer. They might be really sticky about that, or fairly understanding, based upon how they see the reason for the suspension. They may look at it like, "he got a speeding ticket, and just didn't pay it until years later, and only because he wanted this job, he's probably been driving on that suspended all this time" and go from there, or they might look at only that it had been suspended, but everything was taken care of and it was reinstated, which is good enough. If they check with the other insurance, and see that you've been paying for auto insurance and had a clean record, (which would lead one to assume that you had kept a regular drivers license unsuspended, or that you had moved from one State to another) you could hope that they would be lenient. I hope it works out in your favor. Thanks for asking!

Answer on Will Life Insurance Pay If I Die In A Hunting Accident? by Jim Winkler

Jim Winkler — Mon, 22 Jun 2015 14:39:43 +0000

That is a great question! I have no reason to believe that the insurance company wouldn't pay out, unless they believed there were some reason reason to believe that there was some untruthfulness involved. For example - you take the policy out in May, and have a "hunting accident" while hunting alone here in June. There is a very strong possibility that they will consider this suspicious, and if it is determined that the accident was actually a suicide, you could expect that it would not be paid. If the normal clause in the application refering to dangerous hobbies and occupations was merked as "no" by you, and it is determined that your avid lifelong hobby was hunting mountain goats and grizzly bears, I would expect some issues also. But if your demise comes as a result of a misadventure or a companion with less than stellar hunting skills, and it truly is an accident, I would expect that the company would pay as the contract requires. Be safe, and thanks for asking!

Answer on How Can I Cancel Medicare Online? I Live Overseas. by Jim Winkler

Jim Winkler — Sat, 13 Jun 2015 17:06:40 +0000

That is a great question! I am assuming that you have moved to your overseas home relatively recently, and had spent time up until then living and working in the U.S.? I also assume that when you enrolled in Medicare that you opted for a plan that charges you monthly? (Because if you aren't being billed, I think I would just let it be, honestly) And if you are receiving SSI payments, are they worth keeping? If you are paying for Medicare and not using it, I can certainly understand why you would want to cancel it. Anyway, as frustrating as it can be, it seems as if your only recourse is to do one of two things - give legal authority to someone here in the U.S. to handle your legal affairs and cancel it for you; or continue to spend the money on the 1-800-633-4227 (1-800 Medicare) phone system. I feel your pain, even the website is frustratingly slow and difficult to manuever. I hope that you can get it sorted out. Thank you for asking!

Answer on Which Auto Insurance Company Pays For Injuries If you Are Injured In An Accident As A Passenger? by Jim Winkler

Jim Winkler — Sat, 13 Jun 2015 16:37:41 +0000

That is a really good question! I am glad that your son wasn't badly hurt; God is good! Insurance companies on the other hand are not quite so giving...In a no fault State, the payment for claims is not dependent upon who caused the accident. Each person files with their own company, regardless of who was at fault. Your son's insurance company would therefore be liable for the claim for damages and/or medical expenses, and would pay them according to the terms dictated in the policy. That would include, unfortunately, the deductible and co-pays. They should cover everything over those, but I'd expect them to poke you for the deductible and your son's share of the expenses. You can try to dispute it, and with the help of a lawyer, possibly be able to sue in small claims court the driver (or the other driver, if there was another car that had caused the accident) for those costs. I hope it all works out well for him and you, and that his healing is quick and complete. Thank you for asking!

Answer on Can Homeowners Insurance Ask For Copies Of Renters Insurance Of A Tenant? by Jim Winkler

Jim Winkler — Sat, 13 Jun 2015 16:23:07 +0000

That is a great question! There are a couple of reasons why your homeowner's insurance company would ask for your sister's renters policy. If your Sister filed a claim in conjunction with your Mom, your Mom's company would want to assess what would be covered under the terms of that policy, and what they would be responsible for under theirs. They may also be trying to determine who is responsible for paying for the temporary housing costs, and for how long that coverage extends under each policy. They may also be trying to determine if some household items were listed under both policies, and filed as claims by both Mom and your sister. Neither wants to pay for something that the other will, if they don't have to, you know? It's a pretty standard practice for insurance companies to communicate between themselves as much is as legally permitted, so that they can make the proper determinations on who is obligated to pay for what, and that payments are not duplicated. I would not worry too much about it. Thank you for asking, and I'm glad that neither your Mom or Sister were hurt - that is more important than any of their things.

Answer on I Just Lost My Job, Which Provided Health Insurance For Me. What Can I Do Now? by Jim Winkler

Jim Winkler — Thu, 11 Jun 2015 15:37:20 +0000

That is a great question! I am sorry that you lost your job; I pray that you find a better one very quickly. When your employer provided insurance ends when your employment does, you have a couple of options.The first, and typically most expensive option is to continue with the employers insurance plan. This will be offered to you under the name "COBRA", and by law has to be offered to you once your coverage under your employment ends. You can get coverage for a few months under your old policy, but you will pay both your portion of the insurance, plus what your employer contributed. This can be very expensive, depending upon the plan, and the employers contribution amount. Your second option, and a possibly cheaper one, would be to enroll in a Government exchange (www.healthcare.gov) or an independent health insurer. The loss of your coverage from your job loss is considered a "qualifying event", which allows you to apply for a policy outside of the mandated enrollment period. Qualifying events are major life changes that require a change in coverage, like a birth, marraige, divorce, or job loss. You can either shop for a policy on the Affordable Care Act (Obamacare) site at www.heathcare.gov, or a similar exchange. I recommend the ACA site first, as you may qualify for a subsidy that may help with the cost for you. But act quickly, as it may be that our Government insured Supreme Court may decide that you don't need help paying for insurance, and remove the subsidy. They are debating that even as we speak. Good luck with your job hunt, and trust that God has you covered! Thanks for asking!

Answer on Would My Insurance Company Work With Another Party In An Accident Without Even Contacting Me? by Jim Winkler

Jim Winkler — Thu, 11 Jun 2015 15:22:28 +0000

That is a good question! I would certainly expect that your company would have reached out to you, especially if you have a good relationship with your agent. I would also expect that it would be a stock answer for someone calling in to your insurance company (I'm assuming that you told them who you use) to tell them to get an estimate, so they would know how to proceed. I would also expect that your company would have asked them who their insurer was/is. Without a police report, collecting anything may be like pulling teeth, as there is no solid legal proof that the damage was caused by your accident. That said, I wouldn't expect this to just go away, either. I'd call your agent, and tell them what happened. ask if a claim had been filed against you, and eplain why you didn't report it. If your damage was negligable, or would cost less than your deductible, they will understand why you did not report it. You want some sort of support if the people who are seeking damages start getting persistant about it, and your agent can be infinitely helpful if that becomes the case. I hope it works out well for you, thank you for asking!

Answer on Do Life Insurance Exams Test For Valium? by Jim Winkler

Jim Winkler — Thu, 11 Jun 2015 15:13:07 +0000

That is a great question! Your testing may or may not be affected. It depends upon several things. The valium dosege of the pill you took, your metabolism, and the length of time between ingestion and it passing through your system may make it possible that little or no traces are found. You have said that you have no prescription for it, so if it pops up, there may be an issue, so I'd strongly suggest that you tell the paramed what transpired, so there is no hint of dishonesty. Most of what they will test you for will have to do with your kidney, liver and heart functions, whether you smoke, and if there are narcotics in your system. Depending upon the company, and the amount of insurance you are applying for, they might be very strict, or they may not be. If you are applying for a very large amount of insurance, expect them to be. Again, just be honest with the paramed when they come to take your sample. They will make a note that will explain the trace amount should it flag. I hope that helps you, thanks for asking!

Answer on Is It Possible For An 89 Year Old Male To Find Life Insurance? by Jim Winkler

Jim Winkler — Thu, 11 Jun 2015 14:55:36 +0000

That is a great question! It is possible, but I will not mislead you, it will be difficult. The majority of insurers will cap policy writing at 80-85; so you will need a good independent agent who can search multiple companies for you to find one that will write at his age. The second hurdle will be his health. It would be very difficult to find a company that will write if he is in a nursing home, receiving home health care, or has had any major health issues within the past couple of years. Many will decline if he's wheelchairbound. Again, you will need a good agent that can seek out the company that will write for you. The last hurdle will be the cost. Even if you can find the company that will write his policy, it is very likely that it will be too costly to afford. I'd hazard a guess that it would be in the hundreds of dollars a month price range, unless his health is excellent. Life insurance is one of those things where the earlier you buy it, the cheaper it is, and it hurts me to say that far too many people either through their fault or not, end up waiting far too late to buy it. Far too many wait until there has been a scare, and then it is too late, either due to health or financial concerns. You may be able to find a policy, look for an independent agent (one not tied to a specific brand name) and have them go through your options. It is my prayer for you that you can find one that fits. If you have further questions, please feel free to contact me, okay? Thank you for asking!

Answer on What Factors Lead To Different Auto Insurance Rates In Different Provinces? by Jim Winkler

Jim Winkler — Thu, 04 Jun 2015 14:55:21 +0000

That is a great question! There are many factors that go into determining rates charged by insurance companies in their auto policies. Remember that their focus is always on the risk that you might have to file a claim, and get paid. Since that is the focus, the more risk, the higher the premium they will charge you (so it doesn't cost the company as much when they do have to pay out. It seems wrong, but trust me, you would much rather have insurance if God forbid you are in an accident than not...). Things like accident rates where you live, the number of claims filed annually, theft rates, number of uninsured motorists, and average vehicle cost will all be factors in what they will charge you. If your province is heavily populated and there are a lot of cars, accidents, and crime it is wise to expect that your auto insurance rate will be higher than if your province is fairly rural, and crime and claims are low. It really is all about the risk. Thank you for asking!

Answer on Should Our 18 Year Old Son Have His Own Car Insurance Policy? by Jim Winkler

Jim Winkler — Tue, 02 Jun 2015 16:04:25 +0000

That is a great question, and one every parent asks, I think! Here's the deal. While we want to set our kids up so that they can be independent, there are some things that might not really be best to set up for them. Savings accounts, retirement vehicles, a credit card with low credit limits, and life insurances, those are great choices. Auto insurance maybe not so much. Here's why: Your son's age group is the highest at risk group for an auto insurer. As such, that means they are much more likely to have an accident, get a ticket, or cause major damage to themselves or others.That risk means that the insurer will hedge their chances of having to pay out by charging much higher rates for them. If he's a safe and careful driver and the company offers safe driver discounts, he may come out ahead, but if there's an issue, his rates would increase even higher. By putting him on your policy, he gets the advantage of better coverage than what he could afford, and lower rates, as he's listed as a driver under your policy. If that's affordable for you, perhaps it would work out better to keep him there until he moves away, or has a couple of safe driving years under his belt. That said, maybe the responsibility of having to pay for himself might be impetus enough to be careful and safe... I hope that gives you something to work with as you try to decide. You know your son better than anyone, and I'm certain that you will make the best choice for him. Thanks for asking!

Answer on If My Life Insurance Policy Is With Globe, Why Does My Payment Go To CMFG? by Jim Winkler

Jim Winkler — Tue, 02 Jun 2015 15:43:05 +0000

That is a great question! Globe Life is a subsidiary of Torchmark, A Fortune 500 financial services company. they were originally Liberty National Insurance company until 1980 when they acquired Globe Life, and formed the torchmark holding company. My best guess would be that they have a portion of that company that handles their banking, that most likely goes through CUNA, (Credit Union National Association), the marketing group for your mysterious CMFG (CUNA became CMFG in 2012). Or CMFG bought a part of Globe's life business, which is a fairly common practice - The big financial companies buy/sell blocks of mortgages and other investments that may include life insurance policies in order to earn more money themselves. It may be that the CMFG people (who sell services to credit unions and consumers) bought a chunk of Globes business, with yours in it. I'd call Globe, or drop them an email to their customer service people and ask them why, and make sure you know who owns your policy, so you know who to contact/collect from. It can be very confusing when high finance starts swapping assets, and we little folk try to keep track...I had a mortgage that was sold 4 times that I know of! Good luck, I wouldn't worry too much, just be sure. Thanks for asking!

Answer on I Got Into A Car Accident Due To Someone Else Cutting Another Driver Off. Can It Be Considered My Fault? by Jim Winkler

Jim Winkler — Wed, 27 May 2015 14:47:56 +0000

That is a great question! I'm very sorry that you had to ask it, and I hope that you and the other driver and your passengers (if any) are okay. It sounds as if you were in a bad place at the wrong time. The insurance company will most certainly have their claims investigators look at this case. While thay will surely do their best to help out everyone involved, they will also try to ensure that everyone who had a part in the accident is shown to the insurers. Your statement said you hit him at 65mph as you "were about to exit." You may be at fault in their eyes if that is above the posted speed limit, or deemed to be too fast for conditions. If there was not a reasonable opportunity for the other driver to pull into your lane safely because of your speed or closeness to the vehicle in front of you, you may very well be legally at fault. Generally speaking, if you hit someone from behind or the backsides of the car, you are going to be found at fault, as you should have had time to react and avoid them. Generally, not always. I hope that it works out for you, and again, I'm glad no one was hurt. Thank you for asking.

Answer on Does Every Driver In The Household Have To Be Listed On Our Auto Policy? by Jim Winkler

Jim Winkler — Wed, 27 May 2015 14:38:53 +0000

That is a great question. The short answer is they do if they want to drive one of your cars. Your family coverage will only require that the drivers are named as drivers in your household. There are always very unpleasant consequences when uninsured drivers are caught, so whatever the added expense is, I'd bet it's less than the price you'd pay otherwise...Add them, and don't take the chance. Thank you for asking!

Answer on How Much Can Money Can You Save On Your Insurance Costs Once You Get Married? by Jim Winkler

Jim Winkler — Wed, 27 May 2015 14:35:17 +0000

That is a great question! There are some really important decisions for you to make when it comes to your insurance policies now. Here are some things to consider: 1.) Don't forget to change the beneficiaries on your life insurance policies to reflect your new spouse. If something were to happen to you, wouldn't you want them to get the money? 2.) Look at your auto insurance policies - shop both companies and see who will offer the cheaper rate for you, if your spouse were to be added to your respective policy. Consider the advantages of consolidating your renters/homeowners policy there also, to gain bigger discounts. 3.) Your marraige qualifies as a life event that allows you to switch your health insurance coverage. Whose policy is cheaper to add the other to? Check into that also. You can save a bundle, with just a few phone calls. I hope you find that true for you. Congratulations, and may God bless and keep your marriage! Thanks for asking!

Answer on Do I Need Life Insurance Now That I’m Getting Married? by Jim Winkler

Jim Winkler — Sat, 16 May 2015 22:05:26 +0000

That is an excellent question! One of your primary duties as husband or wife is to protect your spouse in the event that something were to happen to you. If you were to pass away, would your spouse be able to afford your funeral expenses, the loss of your income, and the debts you'd leave behind to them? If you are like most of us, that answer is no. That is where a life insurance policy becomes important. There are several policies available to you, and they run a range of prices. After the honeymoon is over, the two of you should sit down and work out your new budget. Once you have worked out what your income will be, and your monthly expenses, look at what disposable income you have left. Then look for an affordable life insurance policies for the both of you. Whole life policies are more expensive, but offer the advantages of level premium costs, coverage that you can't outlive, and the safety net of having an available source of quick, tax free cash in the future if needed. The money paid out when you pass is tax free to your spouse. Term life policies are a good option if money is tight. They are also the more affordable way to guarantee a higher amount of coverage for replacing an income. The advantage and the drawback to this type of policy is that the coverage ends at a specific point in time, and then you need to start over. Depending upon your age and health at the time, that may not be a problem, or it could end up costing you more for coverage after that point. There are also universal or variable life policies that promise great income growth and death benefits, but I urge you to be extremely cautious if that is the route that you decide to take. The more hype and eagerness on the agents part to sell it to you, the more risk you will have, so beware. I am not a fan of these policies. I'd advise you to look at combining your policies auto, home, (or renters) and life under one roof if possible, to take advantage of the discounts that will be available, and shopping for a reputable independent agent is always a wise thing to do. Congratulations on your marriage, may God bless you both with many years of happiness, and health. contact me if you have questions, and thank you for asking!

Answer on Why Is It A Good Idea To Get More Life Insurance After Getting A New Mortgage? by Jim Winkler

Jim Winkler — Sat, 16 May 2015 21:44:45 +0000

That is a great question! If you increased your mortgage, and there is a chance of leaving that debt behind, then it might be a really good idea to add a policy or increase your coverage to hedge against that risk. Knowing that your new mortgage is probably putting a dent into your available funds, I'd suggest that you look into a term life insurance policy in an amount that would cover the amount of the new mortgage cost. Term policies will be much cheaper than a whole life policy would be, and there is really no reason for the extra expense of the insurance once the mortgage is paid off. A term policy lasts for a specified period of time, and then ends, which makes it perfect for this kind of need. Look for a straight term, or decreasing term policy to cover the mortgage debt. I'd advise you to find a good independent agent in your area, maybe your homeowners or auto insurance people are a good place to start, if it will earn you discounts on those policies also. Any reputable life insurance agent can hook you up also. If you have any questions on term policies, please feel free to contact me, okay? I'm happy to help. Thank you for asking!

Answer on What Is The Best Way To Decrease Insurance Premiums On A Land Rover? by Jim Winkler

Jim Winkler — Sat, 16 May 2015 21:34:58 +0000

That is an excellent question! The best answer is be a safe driver, but that said, there are some things that you can do to help lower your cost. You may consider raising your deductible, as the lower your deductible, generally the higher your cost; you may also consider lowering the limits of your coverage. In addition to those, you can see what options are available to you by the insurer for discounts, safe driver, monitoring systems, things like that that they may offer that you've not taken advantage of. There also are discounts for having multiple cars or policies, so you may want to consider adding your other insurance policies under the one insurers roof. You may also just plain ask for one, tell them it's too expensive,and see if they will work with you. Good luck, and thank you for asking!

Answer on What Is The Best Auto Insurance For Newly Graduated High School Students? by Jim Winkler

Jim Winkler — Sat, 16 May 2015 21:28:13 +0000

That is a great question! Honestly? Your parents' policy will be far and away cheaper than any that you might purchase for yourself. The 16-21 age bracket is the most risky for insurers, and they will most certainly charge you accordingly for that risk. Your parents will get breaks on their insurance that you won't, and by adding you to theirs, they should get another one. If that really isn't an option for you, my suggestion is that you do your homework and shop for the best rate. You want to look for a deductible amount (the highest amount of money that you could scrape up if you needed to) that is affordable, and the most coverage that you can afford. a comprehensive policy is best, if you can find one that you can easily afford. Be a safe and conscientious driver, and that will help out tremendously also. Good luck, and Congratulations on graduating. That is really something to be proud of. Thanks for asking!

Answer on How Soon After Moving Do I Need To Get New Rental Insurance? by Jim Winkler

Jim Winkler — Sat, 16 May 2015 21:20:34 +0000

That is a great question! Your current renters policy should allow you some amount of grace period to allow for safe relocation. You want to contact them and find out how long exactly that period is, and what they'll cover during that period. You may be able to keep your coverage with them in your new apartment, but expect to pay a different premium (who knows, maybe it will even be less!) if you do so. By all means make sure that you tell them that you've moved, since they will certainly deny any claim you'd file from a differing address than the one on your policy. Honesty is always the best policy in every case. Good luck with your move, and thanks for asking!

Answer on What Renters Insurance Company Is Best? by Jim Winkler

Jim Winkler — Fri, 17 Apr 2015 03:42:09 +0000

That is a great question! The answer to your question is pretty simple - the one that gives you the most coverage for the least price. There are many good companies out there that have very similar renter's policies, so it really comes down to which one in your area provides the most coverage for the least cost. Ask for "replacement cost" coverage, and have a very detailed list of everything that will go into your apartment - serial/model numbers and pictures of all electronics, and pictures and count sheets of everything else. Use a value calculator (most renters insurance companies will have one on their site, I happen to like Liberty Mutual's, as it is simple,and quotes your price as you go) to help you get an idea of the value of your stuff, and the amount of coverage needed. Since the cost of coverage will vary greatly from neighborhood to neighborhood, and even apartment building to apartment building, it's hard to give you a company name to look at. Most apartment complexes can refer you to a preferred insurer, Thank you for asking!

Answer on Can paid for life insurance be canceled? by Jim Winkler

Jim Winkler — Tue, 14 Apr 2015 16:45:53 +0000

That is a great question! My advice would be to contact the company and ask where they sent the cash value for the policy, and /or if it could be reinstated. If it was indeed a whole life policy, and not a term policy, there should be a sizable amount of cash that is due to your father (assuming he'd not borrowed from it) and they would be obligated to return it to him. If it was a term policy, there would have been no cash value, and the policy would have ended. If they will reinstate it for you, there will be a bit of paperwork, and back-owed premiums that will have to be paid, and please understand that for whatever reason, insurance companies are much more brutal about reinstating than they are just issuing a new policy. It may not hurt to have an attorney... Good luck, and thanks for asking!

Answer on What Is The Role Of The Investment Advisor In A Mutual Fund? by Jim Winkler

Jim Winkler — Sat, 11 Apr 2015 17:48:41 +0000

That is a great question! The role of the adviser is supposed to be as a guide to helping you select the best funds for your desired goals in your portfolio. They are to work with you in selecting funds that are a fit for your goals in risk allowance, growth potential, and fee structures. They are supposed to be experts in identifying well performing funds, trends, and emerging investments. Many of them are very good, and have clients that are well prepared for retirement. There are many of them that are paid by their brokerage house for the specific funds they want sold, and for the commissions and profits earned for the brokerage. Their focus may not then be so much on your needs as it is theirs, and that's been the industry rub. The high fees hidden in the fund structure has led to an increasing number of investors switching to indexed funds (like Vanguard) or moving away from the brokerage houses and purchasing their leading stock investments themselves, and eliminating the fees and middlemen. Nobody likes to see that the person who is supposed to be making you money is making more off you than you are making. If you choose to invest in a mutual fund that has an adviser, please be sure to meet with them face to face. Interview them before investing. Ask about how they are paid, what the fees are for the fund, and real life performance on the fund, not projections. Ask how often the stocks within the portfolio are exchanged (anything close to 100% is risky for you - they make money for the brokerage on the exchanges,increasing fundholders' expense). Shop for your mutual fund very wisely, before investing a penny. For all the touted returns, according to a recent DALBAR report, the average equities investor has only realized a 4.4% return (for a 20 year study concluded in 2007), under-performing the S&P by more than 7%, and after inflation, returning only 1.44%. Do your homework, and look carefully before investing, okay? Please do as we do - if the interview leaves you with more questions than answers, if you had a bad feeling about it, or if you felt that the adviser was elusive in their answers, thank them for their time, and move on. Again,like in any business, some are good, some not so much; but it's your future and your money, not theirs, so treat it accordingly. Please feel free to contact me if you have any specific questions, okay? Thank you for asking!

Answer on Can You Use Roth IRA Money To Buy A House? by Jim Winkler

Jim Winkler — Wed, 01 Apr 2015 03:48:58 +0000

This is a great question!!! The answer is yes - Roth IRA rules allow for first time home buyers to be able to withdraw up to $10,000 tax free to help purchase their home. This is true regardless of your age, the 59 1/2 age requirement is waived, and so is the five year rule (your account must be opened for a minimum of five years to avoid taxes and penalties). I am a big fan of Roth's, and this is one of the reasons why. Go see your plan administrator, and happy house hunting! Thanks for asking!

Answer on What Is Paid Up Whole Life Insurance? by Jim Winkler

Jim Winkler — Thu, 26 Feb 2015 14:08:29 +0000

That is a great question! I have a great answer - it means that there is no more cost for your coverage, it is paid off! There are a couple of ways that you have reached this great place. You might have purchased a policy that was structured to have higher premiums for a period of time, allowing the costs of the policy to be paid off more quickly than the traditional whole life policy would normally have. These policies are more expensive than the traditional whole life policy, but are perfect for someone who may be working, and not want to carry that monthly expense into retirement, yet still wants whole life coverage. For someone who wants to maximize retirement money, this may be a great financial decision. The other way that you might have gotten here is by converting an expiring term life policy. Often when a term policy reaches a point near its end date the option to convert your premiums paid over the life of the policy to payments on that company's whole life policy that would most closely match your term policy in price. If you choose that option, then the company considers what you have paid on the term as the purchase price for a single payment on a whole life policy, and the face value is determined by that price. For example, I have a client whose $100,000 term policy allows him the option to convert it. If he chooses to do that, the premiums he would pay on the policy over the life of the term would purchase about $43,000 worth of whole life insurance that is paid up free and clear. He would have that coverage and not ever owe another penny on it. If you have any further questions, I hope you feel free to contact me and ask, I'm happy to help. Thank you for asking your question!

Answer on Can I get life insurance with high blood pressure? by Jim Winkler

Jim Winkler — Mon, 26 Jan 2015 00:12:59 +0000

That is a great question! Many people think that with a health issue like high blood pressure or diabetes that they will be denied coverage, or that it will be prohibitively expensive. Fortunately, that is rarely the case. Most companies will overlook diabetes and high blood pressure if they are controlled, and managed well by medications and a healthy lifestyle. In cases where they are more of an issue, there are still policies that are easily qualified for. Find a good independent agent near you, and have them walk you through the process of finding the best policy for you. Thanks for asking!

Answer on Can I get life insurance with a DUI? by Jim Winkler

Jim Winkler — Mon, 26 Jan 2015 00:08:24 +0000

That's a great question! There will definitely be more hardships after having your DUI, but finding a life insurance policy won't be the worst of them. There are companies out there that don't ask questions, they're generally more expensive, and don't have high death benefits, but they'll insure you. Be aware that all guaranteed issue policies will come with a period of time (2-3 years, usually) where the death benefit is limited to premiums paid, and some interest. Best thing for you to do is get yourself back on track, and pick up one of these policies to be safe. God bless you, and thanks for asking!

Answer on How Can I Make Sure That I Don’t Run Out Of Money In Retirement? by Jim Winkler

Jim Winkler — Wed, 07 Jan 2015 04:14:15 +0000

That is the million dollar question for sure! You are definitely not the only one asking that question, or losing sleep worrying about it, I promise you. There are a few ways that you may want to consider. The easiest is to invest in some annuity products, so that you can receive an income for your entire life. Wise timing for taking your Social Security benefits can help also - the later you take them, the higher the benefit amount. Investing in an IRA, like a Roth, can also help provide a source of income - Roth's are good, because you aren't required to start withdrawals from them, so you can let them grow for as long as you can before tapping into them. Start investing and saving early; reduce whatever debt that you will be heading into retirement with; and have a solid idea of what retirement looks like to you, so you know how much you will need to have put away to make that retirement vision a reality. I hope that helps, please feel free to contact me if you need more help, okay? Thanks for asking!

Answer on Is There Any Life Insurance That Will Cover Someone With A Stroke And Diabetes? by Jim Winkler

Jim Winkler — Wed, 31 Dec 2014 05:24:35 +0000

That is a great question! There are a lot of people out there that are afraid that their health issues will keep them from being able to get life insurance. It's something that sadly keeps many from even looking. I'm really glad that you were brave enough to find out. There are definitely insurance companies out there that will write a policy for you, don't worry. The trick is to find the one that will do it the cheapest, and with the best terms. Insurance companies use a "look back" period, and they will vary from company to company. I have some I work with that go back 5 years, and some that go back 2. The severity of the diabetes weighs more heavily with some than others also, (especially if it was a contributing factor to the stroke, or any other health issue that you might have) depending upon the type and how it's regulated. The agent will help you find a policy that will work for you. There are 3 basic categories of insurance - immediate issue (premier, ultra, etc.) that allows for the whole death benefit to cover as soon as it's issued; a 'graded or modified' policy will have a period of time where the death benefit is limited (most often 2-3 years, and usually just what you've paid in premiums and maybe a little interest); and 'guaranteed issue' (also a graded policy, but with no health questions at all, and generally the most expensive, since they cover almost everyone). A good independent agent can help you find the best of these for you. I hope that helps- thanks again for asking!

Answer on Does Car Insurance Cover Driving Abroad? by Jim Winkler

Jim Winkler — Tue, 16 Dec 2014 19:35:21 +0000

That is a great question! While you are able to drive in any State with your coverage, once you've crossed the border, it's not a safe bet that you are. Check with your agent before your trip, and find out exactly what is allowed. Canada might not be so much of a problem, but traveling to Mexico might be. And outside of the Continental borders will almost certainly be a no on coverage. Check with your agent, okay? Thanks for asking!

Answer on What Happens If Your Auto Insurance Lapses? by Jim Winkler

Jim Winkler — Wed, 03 Dec 2014 17:22:54 +0000

That is a great question! First off, it becomes illegal for you to drive in most States. The process to reinstate the policy is usually fairly straightforward, you show proof of insurability (you didn't get into an accident, get DUI'd, or ticketed in the interim, have a major health issue, etc), and pay the back owed amount. If that is an issue, sometimes the insurer will be willing to prorate the back owed amount over the new premium, until it is repaid. Sometimes, it is easier to just get a policy with a new company, but expect to get questioned as to why your policy was allowed to lapse, and pay a higher premium. I hope that helps, thanks for asking!

Answer on Can I Sell My Whole Life Insurance Policy? by Jim Winkler

Jim Winkler — Mon, 10 Nov 2014 06:25:06 +0000

That is a great question! There are companies out there that make a living off of other people's hardships, and there are certainly ones that would buy your policy. I have to ask you why you are even considering this. They will not pay you near the face value, and you will be without coverage if you sell it. If you need cash, have you considered taking a loan out of the cash value? Your coverage continues, and the process of getting the cash is very simple, and quick. Please consider talking this decision over with someone before acting upon it, okay? Thanks for asking!

Answer on What Are The Advantages And Disadvantages Of Term Life Insurance? by Jim Winkler

Jim Winkler — Mon, 10 Nov 2014 05:28:31 +0000

This is a great question! I'll give you the two minute breakdown, but if you'd like a longer version, please feel free to look up my Facebook page, Winkler Financial Group, and scroll back a week or so, where we discussed life insurance types, and their pro's and cons. Term is cheap. (pro) Then it ends. (con) If you wish for it to continue, it becomes prohibitively expensive horribly fast. (con) It is perfect for protection from a short term debt, that allows for cancellation of the policy when the debt is paid. (pro) It has no perks, cash value, or extras. (con). That's a quick look, and I hope that it helps. Thanks for asking!

Answer on How Do You Shop For Life Insurance Online? by Jim Winkler

Jim Winkler — Wed, 17 Sep 2014 20:03:21 +0000

That's a great question! You google "local independent insurance agents". Then work your way down the list until you find one you like. I am not a fan of trusting my financial future or the protection of my family to anyone that I don't know. If I have a problem, I want to know the person that will handle it, and who will be returning my call. I also know that internet sites are set up to give you "best case" prices when you shop, that can turn out to be different in reality. A live agent can give you an exact premium price, and details on any reasons why there might be difficulties in getting the best rate. I also am leery of hackers getting all of my information, and am not a fan of putting it out there in the cloud for the picking. There are a lot of things that are good to buy on the internet, but in my opinion, life insurance isn't one of them. Thanks for asking!

Answer on What Is Group Term Life Insurance? by Jim Winkler

Jim Winkler — Sat, 13 Sep 2014 22:40:37 +0000

That is an excellent question! Group policies are those offered to a segment of the insured pool, like your company, for example. Your policies through work are group term policies, with a term of one year. Each year in the fall, you either renew the policy, or switch to a new one. The cost of the policy is lower generally for your employer if the group of you is generally healthy and claim free, and a larger group. Another type of group policy is like the type that companies like AAA or AARP will offer. They are also spread across a large pool, but theirs are based on your "age band", and increase in cost each time you progress into the next "age band" (typically every 5th year). In their case, the term period lasts until you turn 80, when they will end. I hope that helps, thanks for asking!

Answer on How Much Coverage Should You Get For Renters Insurance? by Jim Winkler

Jim Winkler — Wed, 30 Jul 2014 22:00:34 +0000

That is a great question! The amount of renters insurance you will need will depend upon the value of what your belongings are, for the most part. The best way to determine that is to see if the company has a value calculator, that will give you a solid idea. If they don't, then estimate based off of receipts and comparable items. Remember to price everything from mops to garbage cans, because if there were a fire, you'd have to replace them too, right? Keep your list in a safe place, and include pictures or serial and model numbers of everything electronic. I hope that helps, thanks for asking!

Answer on Can I Have Multiple Term Life Insurance Policies? by Jim Winkler

Jim Winkler — Mon, 21 Jul 2014 13:31:54 +0000

That is a great question! The answer is yes, and many people do, but there are limits. It is very common for people to increase their coverage as their lives change. Insurance companies recognize those needs, and will issue additional policies. They will limit what you can add though. Since the purpose of life insurance is to protect against loss, and not to get rich, the companies will limit the amount of coverage that you can ask for. I'd love to know more about your situation, and why you want to add more term coverage, if you inbox me, I'll tell you why. I hope that helps, thanks for asking!

Answer on Does A Single Man Need Life Insurance? by Jim Winkler

Jim Winkler — Sun, 20 Jul 2014 23:30:02 +0000

That is a great question! I guess the answer really depends upon you, and your view of your future. I'm assuming that though you aren't married, that you still have family that is alive, and that may be burdened with the expense of your funeral arrangements? If so, you might think about a policy to spare them those expenses, they will be burdened enough with their grief. Are you planning one day to marry? If so, then you've already taken steps to provide for your future wife and children. I hope that helps, thank you for asking!

Answer on Can You Borrow Against A Fixed Annuity? by Jim Winkler

Jim Winkler — Tue, 08 Jul 2014 16:10:31 +0000

That is a great question! Take a look at your contract, or contact your agent. Most annuities will allow for withdrawals if you need some cash, and those withdrawals aren't penalized. They are not considered loans, so you do not have to repay them. Please be careful with what you take out, it can have drastic effects upon what your annuity will earn for you. I do not know what annuity you have, so I cannot make concrete suggestions for you, other than to contact your agent, or someone at the company they work for, and tell them your situation. I'd be happy to help if I could. Thank you for asking!

Answer on Will I Be Taxed On Life Insurance? by Jim Winkler

Jim Winkler — Mon, 07 Jul 2014 03:46:31 +0000

That is a great question! One of the big reasons why life insurance is a good thing to have is that the money paid out ( the death benefit, or face value) is received by your beneficiary tax free. You paid your premiums after tax, so the benefit is not taxable. It does not have to be shown as income. I hope that helps, thanks for asking!

Answer on Does Whole Life Insurance Ever Make Sense? by Jim Winkler

Jim Winkler — Thu, 03 Jul 2014 18:03:02 +0000

This is a really good question! I am glad that you asked it, because it tells me that you've looked at the alternatives. Here's what I tell my clients: If you have the money set aside to cover your funeral expenses, pay your debts, and leave a comfortable income for your spouse or children that you know you won't have to dip into, then it doesn't. If you only need to cover a specific, ending debt like a college expense or mortgage, then it doesn't. However, if you are looking for a way to provide protection no matter how long you will live, ( You cannot outlive this coverage, unlike a term policy) this is your policy. If there is a chance that you may need to borrow money at some point, and your credit rating or history makes it unlikely that you will be able to secure a loan, this may be your policy. If you have a desire to move money to loved ones, or a charity in a way that is tax free to them, and not counted as income, this may be your policy. This kind of policy also makes sense if purchased when you are young, as the premiums are locked in at a low rate, and you are guaranteed coverage at that rate regardless of what health issues you may develop. I hope that helps, feel free to contact me with any questions or concerns that you may have, okay? Thanks for asking!

Answer on How To Apply For Life Insurance? by Jim Winkler

Jim Winkler — Thu, 03 Jul 2014 17:04:15 +0000

That is a great question! There are a couple of things that I'd advise you to do, before applying for life insurance. The first is to look at your budget, and see what amount you can safely afford to spend on a policy. Life insurance is like your car payment - miss a few, and one day you wake up to find it's gone, and so is all the money you've spent so far. Then decide what you want it to do - replace income, cover funeral expenses, be a gift, etc., and how much that amount needs to be. Once you've figured that out, then look for an independent agent ( one not tied to a single brand name) who can help you find the policy that is right for you. If you need help, don't be afraid to drop me a quick note, I'm happy to help you figure it out. Thank you for asking!

Answer on What Age Does Term Life Insurance End? by Jim Winkler

Jim Winkler — Thu, 03 Jul 2014 04:58:19 +0000

That is a great question! Term life policies are usually for a set number of years, and are clearly stated - five, ten, twenty or thirty years, most commonly. There are some, like the ones offered by AARP, or AAA for example, that set the end date as your 80th birthday. If you live to be 80 and a day, your options are very limited, as the price to renew your expired coverage is typically 110% what your previous cost was, and finding other insurance to replace it may be very costly or impossible to get. It is important to speak with a knowledgeable agent before purchasing any insurance policy. Thanks for asking!

Answer on Is A 401K Considered A Retirement Plan? by Jim Winkler

Jim Winkler — Thu, 26 Jun 2014 20:18:27 +0000

That is a great question! In the technical sense, yes, 401k's are a retirement plan. They were not originally designed to be the primary retirement vehicle though. Originally, they were designed to compliment the pension, or company retirement plan that you would receive from your employer. As time has passed, less and less companies offer pension plans, and turned to 401k's as a way to offer a retirement option while not having the risk of paying you after you retire. They contribute a certain amount, but the risk of losses is strictly yours. As a result, many folks have seen their retirement funds disappear when the market has fared poorly. A 401k can be a valuable part of your retirement plan, but should not be the entirety of it. Please contact me, if you would like more details, okay? Thanks for asking!

Answer on What Does Cash Value Mean On Life Insurance? by Jim Winkler

Jim Winkler — Thu, 26 Jun 2014 19:50:54 +0000

That is a great question! Simply put, there are two values to your whole life policy - the face value, or death benefit, which is what the policy would pay should you pass ( minus fees or loans), and the cash value. The cash value is the amount of money that accumulates within the policy as it grows. This is the amount that you can borrow from, or the amount ( minus loans or fees) that the company would pay out to you should you surrender the policy. There is no cash value in a term life policy. I hope that helps - thanks for asking!

Answer on How To Get Very Cheap Car Insurance? by Jim Winkler

Jim Winkler — Sat, 14 Jun 2014 23:30:47 +0000

That is a great question! The absolute best way is to have a great driving record. The other things that you can look at are bundling your insurance needs with one company, and taking advantage of the discounts they will give you for doing so; Look at keeping a higher deductible ( not good, if you can't raise the cash if needed); and limiting your coverage, based on the age and expected use of the car. I hope that helps. Thanks for asking!

Answer on Is Mutual Fund Exempt From Tax? by Jim Winkler

Jim Winkler — Sat, 14 Jun 2014 23:26:53 +0000

That is a great question! The answer depends upon what the mutual fund is invested in. If the fund is involved in municipal bonds, (City , State or Government bonds issued to fund public projects) then you will not pay taxes on the profits that you may see. If your mutual fund is involved with stock funds, then you will pay one or more taxes. If you are paid a cash dividend, then your income taxes will be due on that payment. If the stocks increase in value, you will pay capital gains on the difference. I hope that helps. Thanks for asking!

Answer on Is Life Insurance Included In Gross Income? by Jim Winkler

Jim Winkler — Thu, 12 Jun 2014 16:49:33 +0000

That is a great question! I am happy to tell you that one of the greatest benefits of having life insurance is that very rarely are the proceeds ever taxable. Since the premiums are paid after tax, the benefit returns tax free. Your beneficiary does not have to claim that money on any tax forms. Thank you for asking!

Answer on What Is The Max I Can Contribute To A Roth 401K? by Jim Winkler

Jim Winkler — Wed, 11 Jun 2014 14:00:45 +0000

That is a great question! In 2014 you can contribute a maximum of $5500, and if you are over 50, you can contribute what is called a "catch up" amount of $1000, so a total of $6500 if you are 50 or older. You must have an income of below $114,000 if you are single, and under $181,000 if married, and filing jointly. Both you and your spouse can have a Roth, and you both may contribute. The tax code for these things are pretty specific when it comes to earning levels and contributions, so check with your advisor or tax attorney before you contribute, ok? Thanks for asking!

Answer on What Does No Claims Discount Mean On Car Insurance? by Jim Winkler

Jim Winkler — Wed, 11 Jun 2014 02:40:37 +0000

That is a great question! And I have a great answer - a no claims discount is a great thing to get. Your insurance company is giving you a discount on your insurance because you have been a safe driver, and not filed any claims in a specific time period. Good Job! I hope that you get many more of them. Thanks for asking!

Answer on Can A 16 Year Old Get Car Insurance? by Jim Winkler

Jim Winkler — Tue, 10 Jun 2014 14:31:52 +0000

That is an excellent question! I had it when I was 16, because I met all of my State's requirements - I was of legal driving age, and the age of responsibility. I had a car, and was able to make the monthly payment. As long as you are of legal age and have a valid drivers license, and are able to make the payments, you should have no problems either! Thanks for asking!

Answer on What To Do If Auto Insurance Claim Is Denied? by Jim Winkler

Jim Winkler — Fri, 06 Jun 2014 16:54:27 +0000

That is a great question! If your claim is denied, the first thing to do is find out why. If all that is needed is a police report, or something easily fixed, then you can get that accomplished, and resubmit the claim. You can always appeal the decision also, but if you need the car fixed top drive it, be aware that sometimes appealing can be a lengthy process. Get with your agent, and have them help you get the issue resolved. Good luck, and thanks for asking!

Answer on Is Medicare Only For Old People? by Jim Winkler

Jim Winkler — Wed, 04 Jun 2014 18:42:57 +0000

That is an excellent question! Though I think I'd be careful, I've seen some senior citizens that get testy when you call them old! But to answer your question, yes, you cannot enroll for Medicare until you turn 65. While it is advisable that you enroll when you turn 65, it is possible anytime after your 65th birthday for you to sign up. You can be on Social Security before 65, but not Medicare. Thanks for asking!

Answer on Who do I get to pay my deductible? by Jim Winkler

Jim Winkler — Wed, 04 Jun 2014 17:55:57 +0000

Ouch! I had a similar experience once, and I know how frustrating it can be. Have you tried calling the police officer who investigated the case? Sometimes a little push can re-energize a slow case. The rental company should also have this driver's info, unless it was falsified. They may not give it to you, but may to your agent. If you have a family lawyer, sometimes a nice letter from them can make a world of difference, as no one likes the idea of lawyers getting involved. And unfortunately, if for some reason they aren't able to track this person down, they will treat it as a hit and run, and as the damages are less than the deductible, you will be obligated for the cost. I'm sorry, but you are at the mercy of the investigator's pace. Good luck, thanks for asking!

Answer on Can I Get Car Insurance Over The Phone? by Jim Winkler

Jim Winkler — Sun, 01 Jun 2014 23:40:10 +0000

That is a great question! Yes, you certainly can, but I don't know really that I would. Maybe I'm old fashioned, but I like to know the people that I am going to trust the safety of my family to. I want to be able to put a face to the name, and know something about them. I have found that things work a little more favorably when my agent is my friend, and I'm not just another name. Thanks for asking!

Answer on How To Apply For Health Insurance With A Pre Existing Condition? by Jim Winkler

Jim Winkler — Sat, 31 May 2014 18:21:20 +0000

That is a great question! One of the really great things about the Affordable Care Act (Obamacare) is that health insurers can no longer deny you coverage because of a pre-existing condition. You find a policy at the www.healthcare.gov site that you like, (go there first, because another great perk of the ACA is that if you qualify, you get help paying for it!) and enroll. Another really good thing that Obamacare has done for you? It is made the insurance companies remove the lifetime caps on how much they will pay for your health care. Thanks for asking!

Answer on How Quickly Can I Get Auto Insurance? by Jim Winkler

Jim Winkler — Fri, 30 May 2014 20:15:53 +0000

That is a great question! If you have shown up at the agent's office with all of the information that you need, and a blank check, you can walk out of the office insured. It is a pretty speedy process, all you need to have is information and money to complete the process. Thanks for asking!

Answer on Does Renters Insurance Make Sense? by Jim Winkler

Jim Winkler — Thu, 29 May 2014 17:40:39 +0000

That's a great question! You know, in most situations, it really does. If you are living at home and paying rent, maybe not, but in almost every other case I'd recommend it. It is relatively inexpensive, and can be a total lifesaver if someone breaks into your apartment, or a neighbor catches the place on fire. Please find a good agent, and get a policy. Thanks for asking!

Answer on Where To Get Renters Insurance? by Jim Winkler

Jim Winkler — Thu, 29 May 2014 17:37:24 +0000

That is a great question! There are many companies that offer renters insurance. You want to look for one that has a good reputation, and the money to back it up. You can look for an independent agent (one not tied to a brand name), and often your complex managers can refer you to a company ( and often a discount!). Good luck, and thanks for asking!

Answer on What To Do When Homeowners Insurance Drop You? by Jim Winkler

Jim Winkler — Wed, 28 May 2014 02:48:24 +0000

That is a great question! I hope that it never happens to you, but if it does, you do have options. First I'd see if the company that dropped you will allow you to be reinsured, if you make some changes in the policy - maybe you agree to a higher deductible, or lower coverage, for example. Many times the mortgager will offer an emergency coverage, until you can get another company to insure you. In the worst case, many States offer a last chance insurance policy, and you can see if your State is one of them. Good luck, and thanks for asking!

Answer on What Is Business Owned Life Insurance? by Jim Winkler

Jim Winkler — Wed, 28 May 2014 02:12:49 +0000

That is an excellent question! There are times when an employee is so important to a business that if they would pass, the business would suffer, and possibly fail. To help guard against that, there are policies that the business can purchase to provide in the event of that employees death. For example, two people own a business. One passes, and the policy provides enough money for the remaining partner to buy the deceased partners share of the business. Or a company insures its best technician, because should they pass, the company would have a loss when they have to hire and train a replacement. The tech and his family see none of the money, it stays with the company. I hope that helps. Thanks for asking!

Answer on Can I Get Life Insurance If I Have Hepatitis B? by Jim Winkler

Jim Winkler — Tue, 27 May 2014 03:28:26 +0000

That is an excellent question! The short answer is yes, you can. The longer answer is that the type of policy available to you will most likely depend upon your medical history, and current condition. I would strongly advise that you find a good independent agent (one not tied to a specific brand) that can help you sort through a few companies to find your best bet. If you would like help, please feel free to contact me, okay? Thanks for asking!

Answer on What To Do If Life Insurance Is Denied? by Jim Winkler

Jim Winkler — Tue, 27 May 2014 03:11:26 +0000

That is a great question! But don't worry, there are insurance companies out there that will insure you. Without knowing which company you applied with, and why you were denied, I can tell you that even between companies there can be a great difference between who would issue, and who would deny over the same medical issue. Please contact me, and I'll be happy to guide you to someone who will write you. Whatever you do, do not apply to several companies, you will send out red flags that will work against you. Ok? Thanks for asking!

Answer on How Does Health Insurance Exchange Work? by Jim Winkler

Jim Winkler — Wed, 21 May 2014 18:04:46 +0000

That is a great question! To answer it simply, the exchanges either set up by the State, or by the Affordable care Act ( Obamacare) are an online marketplace where companies can choose to offer health care plans. The are private exchanges also, and they can be very similar, or offer very different plans, as long as they all include the basic requirements. The ACA exchange is good, because it offers help with paying for the policy if you qualify. Thanks for asking!

Answer on Do I Have To Carry Car Insurance On A Car Not Being Driven And Parked On A Private Owned Lot? by Jim Winkler

Jim Winkler — Wed, 21 May 2014 14:47:39 +0000

That is an excellent question! If the car is registered, then most of the time there will be a minimum amount of insurance that has to be carried. If you don't register the car, and don't plan on driving it return your plates, and drop your coverage. If you plan on driving it periodically, ask your insurance company if they offer a limited use policy, or a one day policy that will allow you to legally drive it. I don't know where you live, but if there is a chance that the vehicle might get vandalized or damaged, you may want to keep a minimal cost coverage on the car. Thanks for asking!

Answer on What Do You Need To Know About Life Insurance? by Jim Winkler

Jim Winkler — Wed, 21 May 2014 01:59:28 +0000

That is an excellent question! There are a couple of things that you should know about life insurance. One is that the price is based on a number of things, such as your age, gender, health, and smoking preference. The younger and healthier, the cheaper, generally. The amount of coverage is also a factor - the higher the policy, the higher the price. The other is that there are basically two types of insurance - term, and whole life. Term lasts for a period of time, and then ends, A whole life policy lasts as long as you do. They each have their advantages, and suited purposes. The best thing that you can do is sit down with an agent and ask them to help you find a policy that is right for you. If you would like to contact me privately, I'd be happy to help. Thank you for asking!

Answer on Does My Insurance Cover A Borrowed Car? by Jim Winkler

Jim Winkler — Wed, 21 May 2014 01:27:57 +0000

That is a great question! The answer is call your agent and see what if any of your coverage would cover you in the borrowed car. You would want to make sure that you have coverage enough in case something bad were to happen. Check first, just to be safe. Thanks for asking!

Answer on Does Medicare Ever Cover Dental Services? by Jim Winkler

Jim Winkler — Tue, 20 May 2014 16:39:49 +0000

That is a great question, with an unfortunate answer. Medicare covers a lot of things, but dental isn't one of them. There are many places that you can purchase a dental plan to go with it, but I'd suggest the Affordable Care Act (Obamacare) site www.healthcare.gov when open enrollment comes around, as the Act provides those who qualify ( and many do ) discounted insurance coverage. Thanks for asking!

Answer on How Much Does Car Insurance Increase After An Accident? by Jim Winkler

Jim Winkler — Sat, 17 May 2014 16:19:39 +0000

That is a great question! I sincerely hope that you never need to find out. That said, it will depend entirely on your policy, what your past driving record has been, and the amount of your claim. Some companies will give you a break on your first claim, or a claim after not having one in a long while. The amount that they will have to pay out can be a factor also. If it's minor, probably not as big a hike as if your car is totaled. Call your agent, and get the specifics on your policy. Good luck, and thanks for asking!

Answer on Can You Claim Health Insurance On Taxes? by Jim Winkler

Jim Winkler — Sat, 17 May 2014 15:39:27 +0000

That is a great question! There are circumstances that will allow you to deduct your health insurance premiums on your taxes. Being self employed, medical payments that are a significant portion of your income, being a couple. With any question about taxes, I strongly encourage you to seek the advice of a tax professional who can give you the right advice for you. Thank you for asking!

Answer on How Can You Lower The Cost Of Auto Insurance? by Jim Winkler

Jim Winkler — Sat, 17 May 2014 15:32:39 +0000

That is a great question! Absolutely you can. The best way is by being a safe driver, and not having claims or dings on your driving record. Then you can see about adding or combining policies - insurance companies love to have all of your business, and some will give great discounts for getting it. The other way, and I am always careful when I suggest this, is to raise your deductible. It won't do you any good to save $10 a month if you can't raise the deductible if you need it. Yes, you will save money, but if you are spending what you've saved, and can't afford to get your car fixed, what did you really manage to do? Another option is to shop around, and see if there is someone who will beat what you are paying now. Good luck, and thanks for asking!

Answer on Why Is Health Insurance For Young Adults Important? by Jim Winkler

Jim Winkler — Wed, 14 May 2014 18:15:38 +0000

That's a great question! It is important because young adults are exposed to a great number of health risks. They are new drivers, and their risk of being injured in an accident is higher; They are involved in sports and activities in school, which often lead to injuries; And they are exposed to many passed bugs in their school environments. They often are working first jobs, and trying new things. In such an atmosphere of change and risk, health insurance just makes sense. thanks for asking!

Answer on Can A College Require Health Insurance? by Jim Winkler

Jim Winkler — Wed, 14 May 2014 13:47:46 +0000

That is a great question! Many colleges require a minimum amount of health requirements, especially when it comes to immunizations. We are required by the Federal Government to have health insurance coverage, and because so many people don't have coverage, yes, many colleges do require it. The last number I saw was approximately 35-40% of Colleges require health insurance coverage (ACHA 2008 study, if I remember correctly - I have kids in college). That number may be higher by now. Having the requirement allows the school to lower their liability, and helps protect the student body. If you need insurance, please feel free to contact me, I'd be happy to help. Thank you for asking!

Answer on What Do You Pay For Health Insurance? by Jim Winkler

Jim Winkler — Wed, 14 May 2014 13:39:42 +0000

That's a great question! With your health insurance there are usually 3 parts that you pay - The premium, the deductible, and the co-pay. The premium is the amount that you pay monthly for the insurance. The deductible and co-pay are portions of the cost of the medical service that you share with the insurance company. The cost of your premium will normally increase with a low deductible, and decrease as you accept a greater part of the cost with a higher deductible. The actual cost of what you will pay will depend upon the company, policy, and amount of deductible and co-pay that you choose. When open enrollment comes back around this fall, go to the Affordable Care Act (Obamacare) site, and see if you can qualify for a subsidized policy on the site. Millions have found that they can get affordable coverage there. Thank you for asking!

Answer on Can A Minor Receive Life Insurance Proceeds? by Jim Winkler

Jim Winkler — Wed, 14 May 2014 02:09:03 +0000

That is a great question. The answer will depend upon whether your policy allows it, some companies will require a beneficiary that is of legal age. Others will require that the benefit be paid into a trust, or that there be a guardian to manage the funds. Check with your agent to be sure. Thank you for asking!

Answer on Can You Get California Life Insurance Quotes Online? by Jim Winkler

Jim Winkler — Wed, 14 May 2014 01:57:08 +0000

That is a great question! Yes, you absolutely can, BUT I really don't recommend that you put a ton of weight behind them, and here's why: Quote engines are designed to give you a very simplified and cheap rate. When you actually start going through the application with the faceless person on the other end of the phone, you very often find that your actual rate is quite different than the initial quote. ( Kind of like those TV advertised policies) Please find an experienced local agent who can look at several policies with you and help you find one that is best for you. Whatever you do, do not fill out multiple applications! The insurance company will red flag you, and you will have a much harder time. For more details, please feel free to contact me, I'd be happy to set some time aside to talk to you privately. Thank you for asking!

Answer on Does Estate Tax Apply To Life Insurance? by Jim Winkler

Jim Winkler — Wed, 14 May 2014 01:49:32 +0000

That is a great question! The answer lies in the size of the estate that you will leave behind. If you are leaving less than the 5.25 Million dollar threshold, then you don't have to worry. I'd suggest that you consult a good tax attorney, or estate planner, and have them help you set up a plan to avoid it in any event. There are several ways to do that, and those people can help. thank you for asking!

Answer on How Cost Effective Is Medicare? by Jim Winkler

Jim Winkler — Wed, 14 May 2014 01:35:31 +0000

That is a great question! I'll answer it in two parts. It is very effective for you, especially if you have combined it with a Medigap plan. The Part D can make a world of difference in affordability of your prescriptions. That said, the other part of the answer? There are several parts of the program that are slated for cuts under the Affordable Care Act (Obamacare) that will not affect anyone's coverage or benefits, but are designed to pare some administrative excesses. These cuts are to be reinvested into the system, and if done to plan, should extend the Medicare trust fund through 2029. There was a lot of pork and fraud in the system, because it was not policed very much, or very well. Thank you for asking!

Answer on Who Can Buy Medicare? by Jim Winkler

Jim Winkler — Wed, 14 May 2014 01:26:00 +0000

That is a great question! The vast majority of people get Medicare when they are turning 65. The program will allow people under the age of 65 to enroll under certain conditions, like kidney failure, or if you have been on disability for a designated amount of time. The program is designed to help Senior Citizens afford health care, so unless you meet the exceptions, you will need to be 65 or older to enroll. Thanks for asking!

Answer on Can A Person With Lupus Get Life Insurance? by Jim Winkler

Jim Winkler — Wed, 14 May 2014 01:20:21 +0000

That is a great question. As the fine folks above me have said, your luck at finding a policy may depend upon your Lupus. I really think that finding an experienced independent agent can make the difference for you. An independent agent can shop several companies for you, and find a better fit. The problem for you will lie in the Guaranteed issue policies, if that is the route you end up having to take. Some can be pricey, and the trick is to find the shortest grade with the highest possible return for you during it. If you would like some more help, please contact me, and I'll make some time to go over this privately with you. Good luck, and thanks for asking!

Answer on What Is The Best Insurance Company For Home And Auto? by Jim Winkler

Jim Winkler — Tue, 13 May 2014 22:13:33 +0000

That is a great question! There are a lot of solid , well respected companies out there that you can be safe working with. I do not like naming them specifically in forums like this, as it can be taken as an endorsement, or ad, and that is not something that I want to do. I will say that what you want to do is find an agent who will listen to what you want, and then help you find a company and policy that fits you. Shop around, and do your homework first. If you would like some help, please feel free to contact me, I'd be happy to help. Thank you for asking!

Answer on What Is A Deductible In Renters Insurance? by Jim Winkler

Jim Winkler — Tue, 13 May 2014 21:55:23 +0000

That is a great question! In the insurance world, the part that you have to pay to help limit expenses for the company is called a deductible. It has kind of a dual purpose - it lets you have some "skin in the game", almost like a deterrent to being careless - if you know that you have to pay up front first. The second part is to help lower the cost of the policy, by sharing the costs. Thanks for asking!

Answer on Who Offers Renters Insurance In Connecticut? by Jim Winkler

Jim Winkler — Tue, 13 May 2014 21:44:05 +0000

That is a great question! You will not have any shortage of companies who would like you to purchase a policy from them. What I'd tell you to do is find an independent agent (one not tied to any specific brand name) and have them do some comparison shopping for you. A bit of advice? Have them give you quotes with replacement cost also. If you would like to know why, contact me, and I'll tell you. Thanks for asking!

Answer on Is Renters Insurance Worth The Cost? by Jim Winkler

Jim Winkler — Tue, 13 May 2014 21:39:28 +0000

That is a great question, and one I get asked a lot. This is always my answer: Unless you have a great big pile of money hidden somewhere, and can afford to replace all of your things, should they be destroyed or stolen, and cover any potential lawsuits, yes , it is worth the cost. Your landlords insurance won't cover your things, and if you ever have to use it, your policy will pay for itself quick. Contact me, and I'll tell you why you want to ask for replacement value when you do. Thanks for asking!

Answer on Does Renters Insurance Cover Falls? by Jim Winkler

Jim Winkler — Tue, 13 May 2014 21:34:02 +0000

That is a great question! Your answer will be found in your homeowners policy, and the details of the accident. If the fall was due to some fault of yours, on your property, then hopefully your liability portion of your policy has you covered. But not all policies are the same, so you may want to contact your agent and have them give you your answer. Good luck, and thank you for asking!

Answer on How To Get Health Insurance Through Obamacare? by Jim Winkler

Jim Winkler — Tue, 13 May 2014 03:15:36 +0000

That is a great question! The easiest way is to go to the Affordable Care act (Obamacare) website at www.healthcare.gov website during the open enrollment period. If you need it before then, you may be able to qualify for a short term plan, but I'd be careful, and read the fine print. Not all off marketplace policies will come with subsidies, and may cost you a lot more in the long run. Thanks for asking!

Answer on Why Have Health Insurance Premiums Increased? by Jim Winkler

Jim Winkler — Tue, 13 May 2014 03:10:27 +0000

That is a great question. The simple answer? Because the costs of health care are rising, as are the costs of insuring an increasingly aging population. We have nearly 10,000 people a day turning 65, and often as they age, they have more health issues. Our population is also increasingly overweight, and suffering from the effects of that. There are a lot more reasons, but those are the best few. Want to discuss more? feel free to contact me. Thank you for asking!

Answer on What Is No Claims Car Insurance? by Jim Winkler

Jim Winkler — Tue, 13 May 2014 03:03:38 +0000

That is a good question! Do you mean a no claims discount? Many companies will offer a discount or bonus if you have a period of time where no claim has been filed. It is considered proof that you are a safe driver, and thus deserve to be rewarded! Ask your agent if your policy includes that clause. Thanks for asking!

Answer on Can Felons Get Car Insurance? by Jim Winkler

Jim Winkler — Tue, 13 May 2014 02:58:57 +0000

That is a really good question. It is going to be difficult, and may depend upon what your felony was. If it had to do with a car and there were intoxicants, or deaths, you may not find a company that will insure you. If your felony involved something that didn't involve a motor vehicle, and is deemed "low risk", ( mind you, it's still a felony, and thus a high risk by any measure) then there may be a very high priced policy out there for you. Best bet? Find an independent agent that is willing to look around for you. Good luck, and thanks for asking!

Answer on Why Is American Car Insurance Cheap? by Jim Winkler

Jim Winkler — Tue, 13 May 2014 02:51:27 +0000

That is a really good question, but begs the question - compared to where? There are probably a great many people here that would complain that their insurance is too expensive. Where are you comparing the price here to? And if I misunderstood your question, and you are asking why insurance on American made cars is so cheap, maybe the answer lies in the sticker prices and repair costs of the foreign models. Thanks for asking!

Answer on What Happens When Your Life Insurance Lapses? by Jim Winkler

Jim Winkler — Tue, 13 May 2014 02:46:08 +0000

That is a great question! Generally what happens is that if it can be addressed relatively quickly, the agent can request a reinstatement form. The applicant and the agent then fill out the application, and resubmit for coverage. That is the good news. The bad news is that the client will need to submit the premium that is back owed, plus generally two months in advance. That can be pretty pricey. The reinstatement process can take anywhere from 30-60 days. Thanks for asking!

Answer on Who Offers The Cheapest Life Insurance? by Jim Winkler

Jim Winkler — Tue, 13 May 2014 02:25:14 +0000

That is a great question! There are a great number of inexpensive policies on the market, offered by a great number of companies. The price of a policy depends on a lot of things,( as Jason listed above) and because of all the variables, it is impossible without more information to steer you to a company that would do the best for you. If you would like to email me more details, I could give you a better idea, otherwise your best bet is to find a local independent agent (one not tied to a single brand name) and have them take a look for you. Thank you for asking!

Answer on Who Can Own A Life Insurance Policy? by Jim Winkler

Jim Winkler — Tue, 13 May 2014 01:56:49 +0000

That is a great question! Anyone who is not a legal minor in your State can own a policy. The owner can be the insured, or they might not be. A parent can be the owner of a policy insuring a minor child, for example. In some cases, the adult child might be the owner of a policy insuring their elderly parent. An owner is often the insured. All there has to be is an insurable interest. Thank you for asking!

Answer on What Does The Average Life Insurance Agent Make? by Jim Winkler

Jim Winkler — Tue, 13 May 2014 01:22:30 +0000

That is an excellent question! The answer will depend upon the agent. If you are looking for a career in the insurance industry, there are a couple of things that you should know. You can make a great living, if you have the following traits: A thick skin, (there is a lot of rejection) a genuine desire to help your clients ( if they sense that you are looking at them like they are this month's rent, you've lost the sale and you don't know it yet), and a great drive to be out in the field working. If you are looking for a steady paycheck kind of job, unless you are always on the go, and very good at sales, this isn't that kind of career. There will be good months, and some not so good months. The company that you work for, and the commission that you earn for their policy types will also play a big part in your earnings. If you would like some more insight, please drop me a line, I'd be happy to discuss this with you. Thanks for asking!

Answer on I Was Given The All Clear 10 Years Ago From Leukemia. Will This Affect An Application For Life Insurance? by Jim Winkler

Jim Winkler — Tue, 13 May 2014 01:15:08 +0000

Congratulations!! That is a great question! The simple answer is that it depends upon the amount of insurance that you would want for coverage, and the company that you choose to have insure you. I'd suggest that you find an independent agent (one not tied to a single brand name) who can look for a policy that will not count your past illness against you. If you would like, I'd be happy to help, just drop me a line. Thank you for asking!

Answer on Can I Keep Life Insurance On Ex Husband’? by Jim Winkler

Jim Winkler — Tue, 13 May 2014 01:11:17 +0000

That is a great question! There are a lot of exes who have gotten a windfall because the other spouse never changed the beneficiary. The answer really depends upon your divorce decree, and the State where you live. Whatever your Judge decreed as far as your insurance goes, is what you have to do. Some States will automatically dictate what has to happen, others don't. Please contact your agent, or your divorce lawyer to find out what laws will apply to you. Good luck, and thanks for asking!

Answer on Can A 70 Year Old Get Life Insurance? by Jim Winkler

Jim Winkler — Tue, 13 May 2014 01:02:02 +0000

That is a great question! Absolutely you can. In fact, there are probably more policies available for people aged 50-75 than there are any others. Younger people don't believe that their ends will ever come, while age brings wisdom, in many cases. There are a ton of great options, and a good agent can help you find an affordable policy with the coverage that you can safely afford. If you'd like some more details, please feel free to contact me, okay? Thank you for asking!

Answer on What Is A Life Insurance Rider? by Jim Winkler

Jim Winkler — Tue, 13 May 2014 00:57:11 +0000

That is a great question! A "rider" in insurance lingo, is a clause that is attached to the body of the original policy. It "rides" along on it. Some life insurance policies will allow for the addition of a term insurance policy as a rider to cover a spouse's or children's life insurance needs. The applicants life insurance policy will now (for an additional cost ) insure their life, plus the person/s named in the rider (for however long the rider is in force). Accidental death and dismemberment policies are popular riders also. Need more info? Feel free to drop me a line, I'm happy to help. Thanks for asking!

Answer on Who Can File A Claim For Life Insurance? by Jim Winkler

Jim Winkler — Tue, 13 May 2014 00:50:01 +0000

That is a great question! The insurance companies give a little leeway when it comes to filing the claim. They realize that the beneficiary may be grief stricken, and unable to handle the call. So the claim can be filed by almost anyone. Our Funeral home (we've always used the same one) has typically done that for our family as a courtesy. The details of the claim will have to be taken care of by the beneficiary when filling out the paperwork and submitting it. Thank you for asking!

Answer on How Much Life Insurance Does A Person Need? by Jim Winkler

Jim Winkler — Tue, 13 May 2014 00:44:03 +0000

That is a great question! The amount that you will need depends upon what you want the policy to do. If you just want it to cover your funeral expenses, you will not need anywhere near as much as if you wanted to leave a few years worth of salary for your spouse. Please contact me, and we'll go over this question in a little more detail, so I can direct you on what to look for. Thank you for asking!

Answer on My Mother Doesn’t Have Enough Insurance To Bury Her. Can I Take Out Life Insurance On Her To Help Pay For Expenses? by Jim Winkler

Jim Winkler — Tue, 13 May 2014 00:39:05 +0000

That is a great question! There are a couple of things that would determine the answer. If your mom is over the age of 85, it might be really difficult to find a policy . Same for if her health is really bad. You might be able to find a policy, but it may be more expensive than you'd like, and most of those policies are going to have a period of time where they won't pay anything but what you've paid in, plus some interest. If she's fairly young, and in relatively good health, you won't have a problem. Either way, if you would like to discuss the details, I'm sure that I could help you find an answer. please drop me a line, I'd be happy to help. Thank you for asking!

Answer on Can My Fiance Be On My Health Insurance? by Jim Winkler

Jim Winkler — Tue, 13 May 2014 00:32:10 +0000

That is a great question! Unfortunately, the answer is not so great. In the eyes of the insurance company, there is no guarantee that you will end up marrying your fiancé. Because of that, they are leery of adding someone to a policy that might end up getting cancelled. To prevent that, they have some pretty solid rules about who can be listed on your policy. Sorry, but thank you for asking!

Answer on Where To Get Travel Health Insurance? by Jim Winkler

Jim Winkler — Tue, 13 May 2014 00:24:09 +0000

That's a great question! There are several companies out there that will help you with a policy when travelling. You are wise to consider it! Before you sign on the dotted line for lost baggage or trip cancellation riders, check with your airline as their add on fee for insurance may be cheaper than the rider may be. It may also be covered by your credit card agreement. A good place to look? www.insuremytrip.com is a favorite. Have a great trip, and thanks for asking!

Answer on Does Auto Insurance Cover Tire Theft? by Jim Winkler

Jim Winkler — Mon, 12 May 2014 23:50:03 +0000

That's a great question! A terrible thing to happen, and I sincerely hope that you are just asking. If your policy includes a comprehensive section, then you are covered. If your tire and rim cost more than your deductible, then you might want to file a claim, if they don't, you are going to have to pay for it anyway, and it's smarter to not file. good luck, and thanks for asking!

Answer on Can You Drive A Car With Someone Else’s Insurance? by Jim Winkler

Jim Winkler — Mon, 12 May 2014 14:12:02 +0000

That is a great question! The answer depends upon your companies policy. Some companies will require the drivers to be listed on the policy, some will extend driving privileges to all members of the household. Some will go so far as to allow anyone that you give permission to. Check with your agent first, and find out their rules. Thanks for asking!

Answer on How Long Can I Go Without Auto Insurance? by Jim Winkler

Jim Winkler — Mon, 12 May 2014 14:05:20 +0000

That is a great question! The answer is until you want to drive the car. The minute you set foot into the car, you need to be insured. The penalties for getting caught as an uninsured driver are steep, and will affect your drivers record and ability to get insurance for a long time. Please don't even consider driving without it. There are several inexpensive policies that you can purchase. Look for a local agent, and have them help you find one.Thanks for asking!

Answer on Can You Get Car Insurance With A Suspended Drivers License? by Jim Winkler

Jim Winkler — Mon, 12 May 2014 13:44:30 +0000

That is a great question! While it will be difficult to get insurance, it is possible. What you will need to do is contact your agent, and find out what they will need to issue you a policy. In most cases, that will mean satisfying the requirements to get your license reinstated - fines paid, classes taken, whatever was required of you. Having your license suspended is bad, but it will be infinitely worse for you if you get caught driving on it, and you are uninsured. Please don't even consider it! Good luck, and thanks for asking!

Answer on Why To Get Renters Insurance? by Jim Winkler

Jim Winkler — Sun, 11 May 2014 23:31:57 +0000

That is a great question! Renters insurance is designed to help you replace your things if they are stolen or damaged while living in a place that you don't own. The landlords insurance will cover his building, but not your things. If you have the money to replace all of your things, or cover yourself from lawsuits should someone be injured while in your home, you really don't need it. Unfortunately, most people don't, and that is why an affordable renters insurance policy is such a blessing to have.

Answer on How Is Nicotine Tested For Life Insurance? by Jim Winkler

Jim Winkler — Sun, 11 May 2014 23:19:55 +0000

That is a great question! On most simplified issue or final expense policies with low face values, there typically isn't a test. They will ask, and expect an honest answer. If you are not honest, expect the company to deny your claim, should your death result from a smoking related disease. For higher value policies, it is usually a swab or urine test. Thanks for asking!

Answer on When Is The Best Age To Buy Life Insurance? by Jim Winkler

Jim Winkler — Sun, 11 May 2014 23:12:40 +0000

That is a great question! One of the best bits of financial advice I can give you is to buy life insurance as young as you can afford it, and start saving for your retirement as soon as you can also. Life insurance is cheaper when you are young, and in great health, and if purchased when you are young enough, will often allow you to increase the coverage periodically without medical exams. The low price is locked, and never changes. Saving for your future allows more time for your money to work for you, and help secure a better funded retirement. If you would like to know more about this, please contact me. Thank you for asking!

Answer on Can I Take Out Life Insurance On My Grandparents? by Jim Winkler

Jim Winkler — Sat, 10 May 2014 22:35:39 +0000

That is a great question! You can, as long as they are able and willing to agree, and sign the applications. You also will want to be sure that they will qualify for whatever health and age restrictions may apply with the company that you are applying with. Find a good local agent who can help you with the right policy. Thanks for asking!

Answer on Will You Be Forced To Have Health Insurance? by Jim Winkler

Jim Winkler — Sat, 10 May 2014 15:17:17 +0000

That is a great question! No one can force you to do anything that your heart is set on doing. That said, they can make it very uncomfortable for you, and this is the case with the health insurance. The idea is that the more people that have insurance, the less the rest of us have to pay for the treatment of the uninsured. So there are penalties for not being insured that increase over time. It comes down to which option is least uncomfortable for you - being insured against the inevitable sickness or injury, or paying the fines for not having it, and the medical costs you will incur. Thank you for asking!

Answer on What If Both Spouses Have Health Insurance? by Jim Winkler

Jim Winkler — Sat, 10 May 2014 15:12:28 +0000

That's a great question! The good thing is that you both have coverage, the bad thing is you are probably paying too much, and will create paperwork headaches for your insurance companies. The suggestion I'd make is that you both compare plans, and ask your HR or plan administrators who benefits most by adding their spouse, and then drop the lesser option. Thank you for asking!

Answer on Can I Get Health Insurance If I Have Lupus? by Jim Winkler

Jim Winkler — Sat, 10 May 2014 15:08:16 +0000

That is a great question! One of the great things about the Affordable Care Act (Obamacare) is that insurers can no longer deny you coverage for "pre-existing conditions". All insurers must offer you policies. I suggest that you check out the www.healthcare.gov site when you are ready to shop, and see if you qualify for help in paying for your policy (another benefit of the law is a subsidy that helps pay for the policy if you qualify). Another plus the law gives us? No more lifetime caps on your treatment expenses. Happy shopping! Thanks for asking!

Answer on Why Is Car Insurance Legally Required? by Jim Winkler

Jim Winkler — Sat, 10 May 2014 15:00:32 +0000

That is a great question! The answer lies in the amount of potential damage that can be done in an automobile accident. The damage done to the cars is very expensive to fix; if the cars damaged someone's property, those repairs will need to be paid for also. And God forbid, if there are injuries? We all know how expensive healthcare is. Then let's add a lawsuit to that pile. To avoid having that kind of risk, Auto insurance was made a requirement . The penalties for driving uninsured were made very stiff to help put teeth into the law. I hope that explains it for you. Thank you for asking!

Answer on When Do I Need Renters Insurance? by Jim Winkler

Jim Winkler — Sat, 10 May 2014 14:50:44 +0000

That is a great question! The simple answer is anytime that you put your belongings into someone else's property, and that person isn't willing to help replace it if it's damaged or stolen. Most landlords are going to be insured for their building, and not the things that you put there. You are responsible for replacing everything that is damaged or destroyed, and that can be prohibitively expensive. That is a great reason to have insurance! Thank you for asking!

Answer on Why Renters Need Insurance? by Jim Winkler

Jim Winkler — Sat, 10 May 2014 14:41:02 +0000

That is a great question! Why would you need renters insurance? The answer is simple, to protect the investment that you have in your belongings, and to provide protection against lawsuits from someone who may be injured while in your home. The landlords insurance will not cover you; if something were to happen you are liable for the expense of replacing everything that is lost. That is a great reason for having insurance, especially since it is relatively inexpensive. Thanks for asking!

Answer on Which Life Insurance Has Cash Value? by Jim Winkler

Jim Winkler — Sat, 10 May 2014 14:23:12 +0000

That is a great question! There are basically two types of life insurance policies, term and whole life. term policies last for a certain amount of time, and then end. They have no benefits after that point. The other type, whole life, lasts as long as you do. These policies have a feature that allows the policy to accumulate a cash value. That cash value is available for borrowing, or helping defray the cost of the insurance policy. I hope that helps, if you would like more information, pleas feel free to contact me, okay? Thank you!

Answer on What Happens To Car Insurance When Someone Dies? by Jim Winkler

Jim Winkler — Sat, 10 May 2014 00:54:55 +0000

That is a great question! A lot of the answer can be found in a section of your policy called the "statement of benefits". That is where your policy will spell out the specifics of who, if anyone can drive the car, and for how long. Generally if it is a spouse, and both are named on the policy, then the deceased spouse is removed, and the policy carries on with the surviving spouse. If there is an executor of the estate, and the deceased was the one insured, the policy may allow the executor limited use of the vehicle for a short time until the estate is settled. If there is no executor, and no one else was named as permitted to drive the vehicle, it ends with the deceased. Thanks for asking!

Answer on How Does Auto Insurance Work? by Jim Winkler

Jim Winkler — Sat, 10 May 2014 00:46:28 +0000

That is a great question! Auto insurance is designed to protect you from a number of potential risks. Every driver is expected to have insurance before getting behind the wheel, and the penalties for not doing so are pretty stiff. The costs of the policies can vary widely, based on the coverage package and the amount of deductible that you choose. Thanks for asking!

Answer on How Can I Reduce My Car Insurance Quote? by Jim Winkler

Jim Winkler — Sat, 10 May 2014 00:39:31 +0000

That is a great question! But let's be clear - a quote is just an estimate of what your premium will be. It can change based on underwriting, or other factors after the agent has given it to you. That said, some ways to lower your auto insurance costs are to raise the amount of your deductible - a higher deductible generally reflects in lower premiums. You can also try getting your policy through a company where you have other policies - often insurers will give discounts for multiple policies. Best way? Be a safe driver, and make your payments on time. Thank you for asking!

Answer on How Old Do I Have To Be To Get Medicare? by Jim Winkler

Jim Winkler — Sat, 10 May 2014 00:02:27 +0000

That is a great question! While there are some circumstances that will allow you to enroll earlier, the vast majority of people sign up when they become eligible at age 65. There is a 6 month window that runs from before your actual birthday to shortly after. Most people will enroll when they sign up for Social Security. Thank you for asking!

Answer on Is Homeowners Insurance Compulsory? by Jim Winkler

Jim Winkler — Fri, 09 May 2014 23:05:29 +0000

That's a great question! Many mortgage lenders will require that you have some form of proof that they can get paid in the event your home were damaged or destroyed before they were fully paid off. That is usually done through your homeowners insurance or private mortgage insurance (pmi). So while it isn't mandatory to have insurance, most lenders are going to want to know that their money is safe, and will require insurance before lending you their money. And unless you are very financially secure, it always is wise to have a way to cover the risks of losing your belongings, home, or protecting against being sued. Thanks for asking!

Answer on What Is A Homeowners Insurance Deductible? by Jim Winkler

Jim Winkler — Fri, 09 May 2014 22:55:25 +0000

That is a great question! In insurance, the deductible is the amount that you have to pay before the insurance company starts paying. Generally the higher the deductible ( your responsibility) the lower the premium that you will have to pay. If you are a safe driver, and do not have much risk for an accident, then a high deductible might save you a ton of money over the life of your policy. If you have a high deductible on your health insurance, and have frequent health issues requiring doctors visits, a high deductible might be a more expensive way to go. The best thing to do is to balance out your risk tolerance and ability to come up with the deductible with the affordability to safely make your payments. Have your agent run a couple of examples for you with different deductibles so you can see the difference in the premiums. Thanks for asking!

Answer on How Much Is Homeowners Insurance For A Townhouse? by Jim Winkler

Jim Winkler — Fri, 09 May 2014 22:43:25 +0000

That is a great question! I'd love to give you a concrete number, but there are several things that can make a difference. The first is the area where your townhome is located. The costs of rebuilding or repairing homes in your area helps determine the price. So do crime statistics, weather threats, (hurricanes, flooding, or tornado's for example), and home prices. The premium will also depend upon the amount that you want insured, and the deductible amount you can afford. I'd recommend that you contact a local agent or agents to give you some accurate quotes to choose from. Thank you for asking!

Answer on Why Can’t I Buy Health Insurance Out Of State? by Jim Winkler

Jim Winkler — Fri, 09 May 2014 15:21:36 +0000

That's a great question! The main reason is that the cost of your coverage is very much based on the providers and services offered in your area. The costs of services in a largely rural state will be much different than those in a heavily populated, more urban state. Most plans are based on using those local service providers, and they get paid accordingly also. Thanks for asking!

Answer on How Long Is A Child Covered Under Health Insurance? by Jim Winkler

Jim Winkler — Fri, 09 May 2014 15:11:33 +0000

That is a great question! Thanks to the Affordable Care Act (Obamacare), your children can now be covered until they reach the age of 26. The extension of the age limit really helped young people who were struggling with getting started and dealing with college expenses by allowing the parents to carry the burden of the insurance.Thanks for asking!

Answer on How Much Does It Cost To Have A Baby With No Health Insurance? by Jim Winkler

Jim Winkler — Fri, 09 May 2014 15:06:35 +0000

That is a great question! In almost every case, the cost of having health insurance will be greatly cheaper than the cost of carrying and delivering a full term baby, especially if the baby has special care needs. It is a much wiser decision to have insurance coverage, and with the Affordable care Act (Obamacare) giving help in paying for the insurance if you qualify, ( Go to www.healthcare.gov to see if you qualify) it is in many cases more affordable than ever. Having insurance coverage may allow you to provide much better care for you, and your baby, than you could afford otherwise. Thank you for asking!

Answer on How Much Does Full Health Insurance Cost? by Jim Winkler

Jim Winkler — Fri, 09 May 2014 15:00:09 +0000

That's a great question! The cost can vary widely, depending upon where your coverage is purchased. An employer based plan can vary in price depending upon what the employers contribution is; A private plan can vary widely based upon whom you purchase it from, or whether by going to the Affordable Care Act ( Obamacare) site, www.healthcare.gov you found that you qualified for aid in paying for your policy. Take a few minutes and shop around in your area to get a ballpark figure.Thanks for asking!

Answer on Term Or Whole Life Insurance Which Is Best? by Jim Winkler

Jim Winkler — Fri, 09 May 2014 14:42:26 +0000

That is a great question! Both of these types of policies have things that make them good choices. But they also have features that may not make them the best choice. That will depend upon your need. A term policy will be better for covering a short term need, or if money is very tight. A whole life policy is better if you want long term coverage, and want the option of having cash available should you need it. If you would like to find out which one might be a better fit, please contact me, and I'll help you figure it out. Thanks for asking!

Answer on Who Can Cash In A Life Insurance Policy? by Jim Winkler

Jim Winkler — Fri, 09 May 2014 14:27:43 +0000

That is a great question! The insurance companies will only allow the person who owns the policy to make certain decisions. The owner is the only one who can name or change the beneficiary, and the only one who can cancel, or surrender the policy. Please be aware that the insured may or may not be the owner of the policy. Thanks for asking!

Answer on Can I Get Health Insurance If I Have Hepatitis C? by Jim Winkler

Jim Winkler — Fri, 09 May 2014 13:55:55 +0000

That is a great question! Thanks to the Affordable Care Act (Obamacare) the insurance companies are no longer allowed to deny coverage to people with "pre-existing conditions". This is a great blessing to folks that would not have been able to get help with their medical needs before. Some insurers and the politicians they support would like to have the act repealed, and unfortunately should that happen, then people would again be denied care. If you go to the www.healthcare.gov website during the next open enrollment period, you can choose a plan, and may find that you qualify for help paying for it. Thanks for asking!

Answer on Who Is Covered By Health Insurance? by Jim Winkler

Jim Winkler — Fri, 09 May 2014 13:42:37 +0000

That's a great question! The answer is that because of the Affordable Care Act ( Obamacare) everyone is now eligible to obtain health insurance coverage. Before the passing of the Act, insurers had the right to deny you coverage if you had an illness before applying for their policy. Calling it a "pre-existing condition", one that you already had, they weren't obligated to assume responsibility for paying for it, and would deny you. That practice was outlawed under the ACA.Each person who wants health insurance that is unable to get it through an employer can now go to the www.healthcare.gov website, and find a plan for them. There is an enrollment period each year in the fall when you can shop for and purchase your policy. If you need help, please feel free to contact me, okay? Thanks for asking!

Answer on How Much Should I Pay For Life Insurance? by Jim Winkler

Jim Winkler — Fri, 09 May 2014 13:33:59 +0000

That is a great question! The price can vary considerably from policy to policy, because the company bases the cost of each policy on several variables that are unique to you. Your age, your gender, and whether or not you smoke can make your cost much different than mine. Your particular health history, and what prescriptions you take are factors. The type of policy itself, and the amount of coverage also help determine the price. If you would like to contact me directly, I can give you a better idea of what your can expect to pay. Thanks for asking!

Answer on Can I Change Car Insurance In The Middle Of A Claim? by Jim Winkler

Jim Winkler — Fri, 09 May 2014 13:10:23 +0000

That's a great question! You can, but unless you really need to, it might make more sense to wait until the claim is settled. As long as you are a client during the claim process, the company pushes things through for you in a timely fashion. It might make sense to wait. Thanks for asking!

Answer on Does A DUI Affect Life Insurance? by Jim Winkler

Jim Winkler — Fri, 09 May 2014 13:00:22 +0000

That is a great question! I sincerely hope that you are just asking out of curiosity. Insurance companies do not like risk. The higher the risk, the less likely they are to insure, or the more they will charge. Driving under the influence is a massive risk, and thus something that insurers are very much against. Every insurer (except those policies called "guaranteed issue", they ask no questions, but cost more and contain a period where the death benefit is greatly reduced to what you've paid in plus a little interest) asks about your drinking and drug use, and can deny coverage as a result. Everyone makes mistakes; some are worse than others and carry worse results. DUIs are one of those mistakes. If you need help, please feel free to contact me, okay? Thanks for asking!

Answer on What Does A Medigap Policy Cover? by Jim Winkler

Jim Winkler — Fri, 09 May 2014 12:51:26 +0000

Great question! Medigap plans are designed to help people with the deductibles, co-pays, or coinsurance costs that Medicare doesn't cover. There may also be some services provided that your Medicare policy doesn't cover. You must have both A&B, and cannot have a Medicare Advantage plan. These plans are sold by private insurers, and can vary in price and coverage, so find an agent who will help you find the plan that is best for you. Thank you for asking!

Answer on Does Medicare Cover In Home Care For The Elderly? by Jim Winkler

Jim Winkler — Fri, 09 May 2014 12:43:56 +0000

That is a great question! The answer is a little complicated. If your in home need is for help with cleaning, cooking, eating or dressing, the answer is no.Medicare will not cover long term home care, either. If it's for skilled rehabbing, therapy, or medical equipment needed and prescribed by a doctor to recover from an illness,, then the answer is yes. Under part A and part B there is coverage. There may be some coverage under your part C , but you will want to contact your plan provider to determine which part will cover what, and how much they are going to pay. There are several conditions that must be met to qualify for coverage, so be sure to discuss this with your doctor and your provider. If you need more help, I'll happily make time for you, just contact me. Thank you for asking!

Answer on What Happens If I Cancel Whole Life Insurance? by Jim Winkler

Jim Winkler — Fri, 09 May 2014 12:31:17 +0000

That's a great question! First thing is there is no coverage for you, should something unfortunate happen to you. That would be the worst thing. If you've had the policy for a while, there may be some cash value that could be lost, or have tax consequences, depending upon how you cancelled the policy. If it is just a matter of price, ask to reduce the coverage to an amount that is more affordable, or ask to convert to paid up insurance, and keep some coverage at no cost. If you really need money, and there is a cash value in the policy, consider taking a loan out of it before surrendering ( That's the word you want to use with your agent when you call) the policy. I would be happy to help you, if you'd like more help. feel free to contact me, okay? Thanks for asking!

Answer on Can You Cancel Life Insurance? by Jim Winkler

Jim Winkler — Fri, 09 May 2014 03:14:59 +0000

Great question! You can, but I would advise you to think about why you want to first. There can be some consequences to cancelling your policy without another one in place, especially if you were to pass away. There would be no coverage for your final expenses. If it is a matter of cost, you can ask for reduced, or paid up coverage, and thus lower or eliminate your payments, and still have coverage. It may be difficult to get coverage at a lower or equal price, especially if you have aged significantly, or had issues with your health since the policy was purchased. If you would like to discuss this further, please contact me, I'd be happy to make time to walk you through your decision. Thanks for asking!

Answer on What Should My Deductible Be For My Home Insurance? by Jim Winkler

Jim Winkler — Fri, 09 May 2014 03:03:25 +0000

That is a great question! The answer really lies with your level of risk tolerance and where your level of affordability lies. The higher the deductible, the cheaper your premiums will be, but if the deductible is set to a point where you couldn't raise that amount in an emergency, then it's not good either. You want to have a deductible that you can safely come up with, but yet allow you to safely afford the premiums. Thank you for asking!

Answer on Does Homeowners Insurance Cover Defamation? by Jim Winkler

Jim Winkler — Fri, 09 May 2014 02:58:22 +0000

That is a really great question! You actually may be covered by the liability section of your homeowners coverage. The liability section (and you want to check with your agent to be sure of your specific coverage and limits) can cover a range of legal issues, and can help cover costs for your defense costs, settlements, and damages. Thank you for asking!

Answer on How Important Is Homeowners Insurance? by Jim Winkler

Jim Winkler — Fri, 09 May 2014 02:52:43 +0000

That's a great question! Let's answer it this way: How would you be financially if you purchase your home, take out a big mortgage to pay for it, buy new furniture and appliances to fill the house, get all of your belongings in it, and then it catches fire and is gone? Would you be able to start from scratch and repay the mortgage? Or how about if a visitor fell down some steps in your home, and had to be hospitalized. Would you be able to pay the bills and possible law suit damages that you are liable for? These are two really good reasons why homeowners is important, and most lenders will not sign off on your mortgage unless their investment is protected somehow. I hope that helps you decide to insure your home. Thank you for asking!

Answer on What Is Health Insurance Rescission? by Jim Winkler

Jim Winkler — Fri, 09 May 2014 02:45:09 +0000

That is a good question about a bad thing. Rescission is the action taken by an insurance company when they retroactively cancel a policy due to fraud on the applicants part. Before 2010, an insurer could do it if they found errors or omissions on your application, but in fall 2010 the law was changed to require provable fraud. It makes no difference if your policy is paid to date either. I hope that you never have to find out. Thanks for asking!

Answer on Is Homeowners Insurance Increasing? by Jim Winkler

Jim Winkler — Fri, 09 May 2014 02:39:20 +0000

That is a great question! Unfortunately, they probably are. The price for homeowners depends in part upon the cost of building and repairing homes near you, so as construction costs rise, so do premiums. The price can also rise if a number of claims have been filed near you, and if the company is trying to recapture lost profits. Your best bet is to contact a local agent who can help you compare prices, and see if there is one that might be more affordable. You can always gamble and raise your deductible also. Thank you for asking!

Answer on How Much Can I Expect To Pay For Life Insurance? by Jim Winkler

Jim Winkler — Fri, 09 May 2014 02:31:02 +0000

Great question! To give you an accurate answer, I'd need a lot more information - age, sex, smoking or non-smoker; The status of your health currently, and over the past few years; How much coverage you would like, and whether you have an occupation or hobby that puts you at risk. All of those things will affect the price of your policy. I can give you a better idea if you'd like to contact me with details, otherwise I'd advise you to contact a local independent agent who can give you an idea. Thank you for asking!

Answer on Can You Get Renters Insurance On A Mobile Home? by Jim Winkler

Jim Winkler — Thu, 08 May 2014 21:19:30 +0000

That is a great question! Yes, there is renters insurance available even if you are renting a mobile home. The policies are comparable in price to an apartment renters policy, and the coverage is also comparable. I would recommend that you find a local agent who can help you find a policy that fits your needs, and price range. Thank you for asking!

Answer on How Much Is It To Cobra Health Insurance? by Jim Winkler

Jim Winkler — Thu, 08 May 2014 21:08:56 +0000

That is a great question! The unfortunate answer is that it is much more expensive than what you are paying now. The rule is that you pay the full price for your coverage, your part plus what your employer had paid, and then another 2% on top of that. If you were on a family plan, each person looking to extend on the plan will also pay their own 102%. It gets pretty steep pretty fast. I hope that you are just asking, and don't have to find out for yourself. Thanks for asking!

Answer on Is Medicare Or Medicaid For Old People? by Jim Winkler

Jim Winkler — Thu, 08 May 2014 19:23:09 +0000

That is a great question! I guess the answer depends upon what your definition is of old. Medicare is a program that was designed to provide seniors 65 or older the opportunity to receive affordable health care. There are instances when you can receive it before turning 65, but that is the usual standard. Medicaid is different. It is a program designed to help elderly or low income people find affordable health care. Medicaid differs from Medicare in that it is State run, not Federally, so there can be great differences from state to state in costs and benefits. I hope that answers your question, if you would like more detail, contact me, I'm happy to help. Thanks for asking!

Answer on How Good Is Life Insurance? by Jim Winkler

Jim Winkler — Thu, 08 May 2014 19:13:37 +0000

That's a great question! The answer can be measured in peace of mind - how priceless is that? A life insurance policy ensures that your family won't have to "pass the hat" at your funeral, and have the inevitable hurts and fights that come with that. You know that you can provide money for your spouse, so that they do not have to struggle to replace your lost income. You know that you can give a tax free gift to someone that you love, and leave behind. That is how good life insurance is. If you need help finding the policy that is right for you, please do not hesitate to contact me. Thank you for asking!

Answer on What Is 10 Yr Term Life Insurance? by Jim Winkler

Jim Winkler — Thu, 08 May 2014 19:07:18 +0000

That is a great question! A ten year term policy is one that provides you with the specified amount of coverage for the ten years as defined in your policy. On the day your policy expires, you have no more coverage, and no cash value or benefit to take from it. You can renew your policy, but it will dramatically increase in price. Typically a policy like this is to insure against a short term loss, like covering a college career, or a mortgage, or to provide a cheaper form of life insurance when money is tight. If you would like more details, please feel free to contact me, okay? Thanks for asking!

Answer on What Happens When I Cancel My Car Insurance? by Jim Winkler

Jim Winkler — Thu, 08 May 2014 19:02:03 +0000

That is a great question! The first thing that happens is that you are no longer covered if you are involved in an accident. Any damages, injuries, or loss of life will be your financial responsibility, with no help from the insurance company. The second thing that happens is that you now can no longer legally drive. The penalties for being an uninsured driver are stiff, and will leave a black mark on your record that will make it difficult or impossible to get reinsured in the future. Please do not consider dropping your coverage until you have another one in place. Thanks for asking!

Answer on Where To Report Group Term Life Insurance On 1040? by Jim Winkler

Jim Winkler — Thu, 08 May 2014 18:01:47 +0000

That is a great question! Fortunately, if your coverage is less than $50,000, you do not have to do anything. If your coverage is more than that, whatever premium expense will have been included as wages earned on your W-2, and again you do not have to do anything. You can look on the back of your W-2 copies, on one of them it will explain, or you can go to www.irs.gov for more details. Thanks for asking!

Answer on Can One Buy Medicare? by Jim Winkler

Jim Winkler — Thu, 08 May 2014 15:19:19 +0000

That is a great question! Unfortunately, the answer is no, you cannot just purchase Medicare. The program was set up to ensure that senior citizens would have the opportunity to have access to affordable health care, and thus has age and income restrictions. If you are below the age of 65 an are seeking help with your health insurance, I suggest that you look at the www.healthcare.gov site, as there are subsidies given to folks who qualify. I read a story just a few minutes ago on Google about a woman who had been paying $120 a month for a prescription that now cost her $1 thanks to her plan purchased through the Affordable Care Act (Obamacare) site. If you need help, please feel free to contact me, okay? Thanks for asking!

Answer on Is Group Life Insurance An Erisa Plan? by Jim Winkler

Jim Winkler — Thu, 08 May 2014 14:03:47 +0000

That is a great question! To be an ERISA plan, the group policy has to be paid for by the company and the employees - not an insurance company. It is A Federally regulated plan, so there has to be a defined plan in place that specifically states what is covered, and what you pay. This type of plan is not very popular these days, as the employers cost is becoming increasingly expensive, and as employees age and file more claims, more and more unprofitable, and in many cases, underfunded as the amounts determined by employers back in the day weren't enough to keep up with the rising costs of health care. As a result, most plans offered by employers are not this type of plan. If you would like more specific information, please feel free to contact me, I'm happy to help. Thanks for asking!

Answer on What Is FSA In Health Insurance? by Jim Winkler

Jim Winkler — Thu, 08 May 2014 13:53:13 +0000

That is a great question! An FSA, Flexible Spending Account, is a part of a companies benefits package that allows you to take a portion of your pay before being taxed and put it in a dedicated account used to pay for medical expenses. It is a good thing to have, if prescription costs in your home are a regular expense, for example. The thing to be aware of with this kind of account though, ids that there are caps to what you can put into it, and whatever you contribute has to be spent by years end, or it disappears. Talk to your HR person, or plan administrator, and get some more details about this benefit, and what it will pay for. Thanks for asking!

Answer on How To Report A Car With No Insurance? by Jim Winkler

Jim Winkler — Thu, 08 May 2014 13:46:47 +0000

That's an interesting question - do you mean a driver with no insurance? It is perfectly legal to own a car without having any insurance on it. It is really really not smart, but if there is no intention to ever drive it, it doesn't have to be insured. What is required is that anyone driving the car be insured. That is what you want to know. If indeed the driver/s of the car are uninsured, a dime dropped to your local police department would be your option. Thanks for asking!

Answer on How Long Will An Insurance Company Provide A Rental Car? by Jim Winkler

Jim Winkler — Thu, 08 May 2014 13:40:29 +0000

That is a great question! The answer will depend upon your company, and the policy restrictions. It may cover for a specified number of days, it may cover until the repairs to your vehicle are completed. A couple of years ago my car was hit, and the driver at faults insurance covered my rental car. After a week, they notified me that they were no longer going to cover the rental car, and it would be my expense. My car wasn't finished, and the insurance company had not been in a hurry to see it get finished. After discussing the situation with them, they agreed to pay until my car was completed. They weren't happy, but were liable. If you would like some details on that discussion, contact me, and I'll share them with you. Thanks for asking!

Answer on Is Car Insurance Federal Law? by Jim Winkler

Jim Winkler — Thu, 08 May 2014 13:34:15 +0000

That is a great question! It isn't a Federal law, but it is in most States, Counties, and Cities. The damage and expense of uninsured motorists is something no one wants, so it is pretty much everywhere that you will find a law about having insurance if you want to drive. The penalties for driving uninsured are very high, and it is so much more worth it to spend the money on the policy. Please do not consider hitting the road without it. Thanks for asking!

Answer on Why Are Home Insurance Premiums So High? by Jim Winkler

Jim Winkler — Thu, 08 May 2014 13:23:44 +0000

That is a great question! Insurance premiums are set based on a couple of things: The companies need to cover costs and make a profit; The amount of coverage and risk involved in insuring you; and the statistical risk of a claim and costs to rebuild in your area. It is really advisable to find an independent agent (one not tied to one brand name), or to shop around to find the one that works best for you. If you would like some tips on how you can lower your premium amounts, please contact me, I'll happily share them with you. Thanks for asking!

Answer on Does Renters Insurance Cover Camera Equipment? by Jim Winkler

Jim Winkler — Thu, 08 May 2014 00:37:08 +0000

That is a great question! If the camera equipment was damaged or stolen from your apartment, it should be covered. Was it specialized equipment? If so, you hopefully had kept model and serial numbers, and had it mentioned under your coverage. Contact your agent to be certain, but you should be fine. Thanks for asking!

Answer on What Will Life Insurance Pay For? by Jim Winkler

Jim Winkler — Thu, 08 May 2014 00:31:11 +0000

That is a great question! Life insurance can pay for the expenses of your funeral, your left over expenses, and possibly the income you had earned is replaced for some period of time, depending upon the amount of your policy. It will pay out only when you pass, and unless you named a trust with instructions on what you wanted done with the money, your beneficiary is free to do whatever they want with the money. I hope that helps. Thanks for asking!

Answer on How Does Having A Dog Affect Home Insurance? by Jim Winkler

Jim Winkler — Wed, 07 May 2014 20:18:53 +0000

That is a great question! The answer is no, if your dog has been professionally trained, is not a breed known for violence, and you never have a claim filed because of him or her. The answer is yes, if you have a dog that falls underneath your company's specified category for dogs at risk for claims from bites. Or worse, if you file a claim because your dog has bitten someone. It is always a good idea to call your agent before purchasing the dog, and find out if the dog can be covered, and to what extent. I hope that helps. Thanks for asking!

Answer on Does Homeowners Insurance Cover Legal Fees? by Jim Winkler

Jim Winkler — Wed, 07 May 2014 20:13:58 +0000

That is a great question! The answer is typically yes, though the amount of that coverage can vary, depending upon your policy, and the incident itself that led to you being sued. Your policy will have a set limit for what the insurance will pay out, check with your agent for your specific amount. They will investigate, give you their findings, and the amount they are willing to pay as a result. you can help yourself out a lot here if you have good documentation of the incident-witness statements, police reports, pictures, etc. Good luck! Thanks for asking!

Answer on What Does Home Warranty Insurance Cover? by Jim Winkler

Jim Winkler — Wed, 07 May 2014 20:09:17 +0000

Great question! Warranty insurance can cover a variety of things from insurer to insurer, so this is one type of policy that it really pays to do your homework on. Most will cover the basics: heating, plumbing,electrical, and built in appliances. As you pay more, the coverage expands from there. I can not advise you enough - find a good independent agent to help you find a policy that will give you the coverage you desire, at a price that is affordable. These policies can vary widely in cost and coverage, and the agent can save you from a lot of heartbreak later on. Thank you for asking!

Answer on Does Renters Insurance Cover Aquariums? by Jim Winkler

Jim Winkler — Wed, 07 May 2014 19:58:14 +0000

Great question! The aquarium itself, and the equipment to keep it running should fall under your coverage, but where you may find it not covered would be the things inside the aquarium. Your insurance company will not be too likely to replace your expensive coral, or the value of the fish you put into the aquarium. You will also want to specifically ask about the coverage should it break, and the water cause damage that could be claimed. I have had friends that have had riders added to their policies to cover their elaborate salt water setups, and happily paid the extra cost. I hope that helps. Thank you for asking!

Answer on What To Know When Getting Renters Insurance? by Jim Winkler

Jim Winkler — Wed, 07 May 2014 19:51:47 +0000

Great question! There are a couple of things to consider, when looking for a renters policy. The first is an idea of the coverage amount that you will need. It will help if you have a list of your items, model numbers, serial numbers, and receipts, if possible. Many insurers will use a scale amount, and if you can show a greater value, then you want the coverage to reflect it. You may have some expensive tastes in electronics, lets say, that might otherwise be undervalued without proof of what they are worth. That leads us to the second point - ask for replacement value, vs. actual cost. The insurance company will pay a claim on the actual cost method by taking the value of your electronics, and subtracting an amount to cover them for the cost of depreciation and wear and tear on those items. Under replacement value, they will take the value as what it would really cost to replace that same, or similar, equipment. You can see that might be a big difference. It may cost you a couple of bucks more, but you will appreciate it if you ever need to file a claim. The third thing to consider is the coverage, and deductibles. You want to get the most coverage with the least out of pocket expense for you. Lastly, find a good local agent that will work with you, and that you will trust. I hope that gives you a better idea of what to look for. Thank you for asking!

Answer on About How Much Is Homeowners Insurance? by Jim Winkler

Jim Winkler — Wed, 07 May 2014 19:31:58 +0000

That is a great question! unfortunately, without knowing where your home is located, how much you wish to insure it for, and what level of deductible you want, it is almost impossible to give you a solid number. The cost for homeowners insurance can vary widely from one zip code to the next, based on home costs in the different neighborhoods, and homeowner demographics. Your best bet is to contact an independent agent in your area that can provide you with more detailed information for you. Thank you for asking!

Answer on What Job Is Cheapest For Car Insurance? by Jim Winkler

Jim Winkler — Wed, 07 May 2014 19:27:55 +0000

Great question! Unless you are using the car for a business purpose, there usually isn't a reason for the rate to be different one way or the other. If you are using the car for business, then you really want to have it insured as a business vehicle, because if you are involved in an accident and the adjuster finds that you had been using it in a company capacity, your family coverage may not be accepted. I know of several cases where the magnetic advertisement on the car caused the claim to be denied. Thanks for asking!

Answer on What Is The Best Health Insurance For A Single Female? by Jim Winkler

Jim Winkler — Wed, 07 May 2014 19:23:47 +0000

Great question! The answer can be found by asking yourself a few simple questions. The first is how healthy am I? do I visit the Doctor only for the occasional check up, or do I have an issue that requires more frequent visits? If you rarely need the doctor, then maybe a plan with a higher deductible, and co-pays is a cheaper and better plan. If you have more frequent needs, then look for a plan that has lower co-pays and deductibles. When the www.heathcare.gov site becomes available for enrolment again, try there, and see if you qualify for help with your plan payments. If you need help, please feel free to contact me, okay? Thanks for asking!

Answer on Is Health Insurance Part Of Child Support? by Jim Winkler

Jim Winkler — Wed, 07 May 2014 15:34:56 +0000

Great question! The answer will depend upon your lawyers and your divorce agreement. Typically, the parent with the primary custody takes responsibility, but I have seen where one parent has access to a better policy, and so the kids were listed under that policy. Others split the costs. Hopefully you can work it out to where the kids are taken care of in the best way possible from both of your opportunities. Thanks for asking!

Answer on Can Police Impound Your Car For No Insurance? by Jim Winkler

Jim Winkler — Wed, 07 May 2014 15:30:42 +0000

Great question! I hope that you never have to find out. I know for a fact that some Police Departments will impound, if you are driving without insurance and are stopped. (I had a family member who learned that the hard way.) They are less strict if you have insurance, and just don't have proof, but either way your record and insurance premium are going to take a serious hit. So will your wallet. Please do not drive without insurance, if not for yourself, then for the other person that you may hurt or kill. Thanks for asking!

Answer on Can You Buy Auto Insurance At The Dealership? by Jim Winkler

Jim Winkler — Wed, 07 May 2014 15:14:59 +0000

Great question! Many years ago I purchased a policy at a dealership in Maryland so that I could drive the car I'd just bought home. Some dealerships will have an agent that works there, (usually in the financing department) but often it is cheaper for you to call your agent, and have the new car added to your policy and emailed or faxed to the dealership while you wait. It can save you a few bucks, and a lot over the long run - like a gas station near the rental car return, they know if you need it, they can charge more, you will spend it. Thanks for asking!

Answer on Does Farmers Do Renters Insurance? by Jim Winkler

Jim Winkler — Wed, 07 May 2014 15:10:45 +0000

Great question! The answer is yes, they do. They are actually one of the top insurers in the business. Call your local agent for quotes and coverage, and be sure to check out a couple of other companies just to compare what they offer. A tip - ask about replacement cost, vs. actual value. If you would like to know more, please feel free to contact me. Thanks for asking!

Answer on Does Renters Insurance Cover Earthquake? by Jim Winkler

Jim Winkler — Wed, 07 May 2014 14:56:53 +0000

Great question! Unless you live in an area that is prone to them, most insurance policies are not going to include earthquake damage in the coverage. Flooding is another natural disaster that is normally not included. If you are worried about earthquake damage, call your agent, and see if there is a rider available to add to your policy. Thanks for asking!

Answer on Can You Drive A Car Off The Lot Without Insurance? by Jim Winkler

Jim Winkler — Wed, 07 May 2014 14:53:44 +0000

Great question! Legally, the answer is no. And you really don't want to, as the penalties for doing so are not worth the trouble. The best thing to do, once you've decided on the car you want, is to call your agent, and give them the information on the car you are wanting to buy. Have them fax or e-mail the amended or newly issued proof of insurance to the dealership, and drive your car home safely, and legally. Some dealerships will also have an agent on premise, but their policies are probably going to be much more expensive than tour agent would be. Thanks for asking!

Answer on How Does Variable Life Insurance Work? by Jim Winkler

Jim Winkler — Wed, 07 May 2014 14:46:46 +0000

Great question! The type of policy you are asking about is called a universal life policy. The difference in this kind of policy lies in the flexibility of your payments, and in its performance. Unlike a term or whole life policy that will have regular, preset premium payment amounts, the universal life policy gives (within limits) you the ability to pay a little more, or a little less on your payments. The way your premium is invested gives you some flexibility also, unlike a more mainstream policy. If you would like more details, please contact me, I'm happy to help. Thanks for asking!

Answer on When Is Mortgage Protection Insurance A Good Idea? by Jim Winkler

Jim Winkler — Wed, 07 May 2014 00:13:38 +0000

Great question! It is generally a good idea to protect your family from any large financial loss, and the covering of your mortgage is certainly one of those. Many lenders will require that you have it when you secure your mortgage loan, to protect themselves, and you in the event of an issue. It is a good idea always to protect your family. If you would like more detailed information, please feel free to contact me, okay? Thanks for asking!

Answer on Will Car Insurance Pay For A Cracked Windshield? by Jim Winkler

Jim Winkler — Tue, 06 May 2014 14:01:09 +0000

Great question, and a great answer, provided that you have comprehensive coverage on your car. Yes damage is covered, and it is wise to look at what the repair will cost, and at your deductible. If the cost to repair it is less than the deductible, it may make more sense to skip filling a claim. You would have to pay the deductible amount before insurance starts paying anyway, and you can avoid possible rate increases down the road. Thanks for asking!

Answer on Can You Backdate Auto Insurance? by Jim Winkler

Jim Winkler — Tue, 06 May 2014 13:57:38 +0000

That is a great question! The answer will depend upon why it is being backdated. There are very few reasons why an insurer will backdate, and the most common is to keep an age based rate lower for you. They are typically really reluctant to backdate, for fear of unclaimed damage suddenly being claimed. Thanks for asking!

Answer on What Does A Health Insurance Policy Number Look Like? by Jim Winkler

Jim Winkler — Tue, 06 May 2014 13:52:36 +0000

Great question! The number generally will have a mix of letters and numbers. That is not always true, however, it depends upon your company. If you are trying to find it, it should be clearly identified on your policy. It generally will be found on the first few pages of the policy itself. If you cannot find it, call your agent, they can provide it for you, after some verification that it is your policy. Thanks for asking!

Answer on Can You Get Health Insurance For Significant Other? by Jim Winkler

Jim Winkler — Tue, 06 May 2014 13:47:48 +0000

Great question! Unfortunately, I would need a little more information from you. Are you talking same sex partner? If so, that would depend upon whether the state you live in recognizes same sex relationships, and the providers stand on the issue. If you are talking common law partner, that also depends upon your State's recognizing of common law marriages. If you are talking boyfriend or girlfriend, it may be wiser for them to get their own policy, and you make the payments. I hope that helps, if you would like more information, please feel free to contact me. Thanks for asking!

Answer on Who Is Required To Provide Health Insurance Under Obamacare? by Jim Winkler

Jim Winkler — Tue, 06 May 2014 13:40:38 +0000

Great question! The affordable Care Act ( Obamacare - and it still amazes me the poll numbers that show people don't realize they are the same thing) mandates that any employer who has 50 or more employees has to offer a plan that provides affordable health insurance. The penalties for not doing so aren't that great, so there will most likely be some employers who will opt to pay the penalty in favor of the expense of providing coverage. I would expect a trend towards an employer plan that creates an incentive for the employee to purchase off the exchange, and relieve the employer of that cost, transferring their risk to the employee, and increasing greatly the companies profit. Thanks for asking!

Answer on Can I Get Auto Insurance With Bad Credit? by Jim Winkler

Jim Winkler — Tue, 06 May 2014 13:30:14 +0000

Great question! In most cases bad credit won't keep you from getting insured, but it can make it more expensive. The good thing is that often we think our credit is worse than an insurer would. If you had a medical emergency, for example, that really hurt you financially, will be considered and forgiven by most financial institutions. Find an independent agent who can help you find a company that will be more forgiving. Good luck! Thanks for asking!

Answer on Can I Drive An Insured Car Without Insurance? by Jim Winkler

Jim Winkler — Tue, 06 May 2014 13:22:10 +0000

Great question! What you need to understand is that it isn't the vehicle being insured that matters, it is the driver. The car itself will not hurt or kill someone, it is the person driving the car that causes the car to hurt or kill. Please do not consider trying to shortcut not having insurance. the penalties will far outweigh whatever it would cost you to have it. Thanks for asking!

Answer on Will My Auto Insurance Cover Vandalism? by Jim Winkler

Jim Winkler — Tue, 06 May 2014 13:09:45 +0000

Great question! I am sorry to hear you need to ask this question. The good news is that if your coverage includes comprehensive coverage, then your damage is covered. Call your agent, and see if the estimate to repair is more than your deductible, if it is, file a claim. If it is less than your deductible, maybe it is wiser to fix it, and skip the claim, as it may result in higher premiums, and you would have had to pay for the repairs anyway. Good luck! Thanks for asking!

Answer on Lost payment, results in cancelation by Jim Winkler

Jim Winkler — Tue, 06 May 2014 13:05:12 +0000

Great question! Was the payment returned uncashed? If so, you will have a difficult time. If your bank shows the payment processed, and the insurer doesn't, you have a better chance. If it was a clerical mistake on their part, they should cover your claim. Good luck! Thanks for asking!

Answer on Does Car Insurance Cover Hitting A Deer? by Jim Winkler

Jim Winkler — Tue, 06 May 2014 12:52:31 +0000

Great question! Yes, hitting an animal is covered under your insurance, assuming that you have comprehensive coverage. You might have to pay a deductible, you may not, depending upon your policy. Call your agent, and have them tell you exactly what it will cost you. Good luck! Thanks for asking!

Answer on Who Is The Largest Auto Insurance Company In The USA? by Jim Winkler

Jim Winkler — Tue, 06 May 2014 12:40:20 +0000

Great question! There are 5 companies that normally insure about half the market, the number one company being /state Farm. The rest of the top 5 will change around periodically, but they are Allstate, Progressive, Warren Buffets insurance conglomerate ( Geico and others),and Farmers. There are several other smaller companies that have a large amount of business , but these are the biggest. Thanks for asking!

Answer on How Much Is Renters Insurance Normally? by Jim Winkler

Jim Winkler — Tue, 06 May 2014 12:30:44 +0000

Great question! The answer is kind of iffy though, as the average where you live may not be the average where I live. A good portion of the cost is based upon the area where you live, and the risks associated with it. I am prone to hurricanes in Houston, you may not be where you live. We also have more issues with flooding than you may have. Folks in California may have a higher fire threat. The cost will also vary with the choice for deductible amount, and amount of things to be insured. The best guess I can give you is that you should be able to insure your things for around $20 a month. ( And that is strictly a budgeting estimate, not a quote!) If you need more details, please feel free to contact me, okay? Thanks for asking!

Answer on Does My Homeowners Insurance Cover My Cell Phone? by Jim Winkler

Jim Winkler — Tue, 06 May 2014 01:48:47 +0000

Great question! Your phone should be covered, especially if it was damaged or stolen while in your home. The bigger question is what will they give you for it - if your policy pays "actual cost", you may not get much for the phone, especially if it is an older model phone. If your policy pays "replacement value", they will pay for the cost to replace the phone. The even bigger question? Does your phone cost more than what your deductible is? If not, you are better off just buying a new phone, and not filing a claim. If you need help, please feel free to contact me. Thanks for asking!

Answer on Does Renters Insurance Cover Food? by Jim Winkler

Jim Winkler — Tue, 06 May 2014 01:42:38 +0000

Great question! The answer will depend on why the food spoiled. If you were the reason that it spoiled, then no, it won't be covered. If you can prove that the food was spoiled as a result of a fire, or some trauma done to the home, then it may be covered. If it is a result of the power being out, then you may or may not be able to get it covered, it will depend upon the specifics of your policy. Thank you for asking!

Answer on What Does A Car Insurance Agent Do? by Jim Winkler

Jim Winkler — Tue, 06 May 2014 01:33:47 +0000

Great question! The agent is the person who should be helping you find the right policy for you, Then being your go-to guy for any issues that may ever arise. The agent should be your advocate, educator, and protector. They should develop a good working relationship with you, one that can last many years. I hope that you find one like that for yourself! Thanks for asking!

Answer on Can A Married Couple Have Separate Auto Insurance Policies? by Jim Winkler

Jim Winkler — Tue, 06 May 2014 01:19:03 +0000

Great question! There are times when you might have separate policies, if there are vehicles that may only be driven by one spouse. An example might be one vehicle is used exclusively for a spouses business. That car would be insured separately from the family car. As Mr. Pipes said, you may also be married, but living apart, and have each vehicle insured separately. Generally, it is cheaper to be together under one policy, unless one spouse has an abysmal drivers record. Thanks for asking!

Answer on Under What Circumstances Will Life Insurance Not Pay? by Jim Winkler

Jim Winkler — Tue, 06 May 2014 01:13:52 +0000

Great question! There are a few reasons why they may not pay. Any kind of misrepresentation, ( A polite way of saying that someone lied, or stretched the truth) can result in the company not paying the death benefit. Many policies will not pay if the death occurs in the committing of a crime, or while under the influence of drugs or alcohol. You will want to read the fine print on your policy to see what circumstances will apply to you. Thanks for asking!

Answer on Can You Use Life Insurance To Pay For Funeral? by Jim Winkler

Jim Winkler — Tue, 06 May 2014 01:08:09 +0000

Great question! Yes, in fact, in many parts of the country, life insurance was marketed as "burial insurance", and in some circles, still is. Many people do not have the money to invest in large life insurance policies, yet want to protect their family from the expenses of their passing. It is very common, and affordable, to buy a policy that is large enough to provide for a funeral, and leave a little behind for the family. If you would like help finding a policy like that, please feel free to contact me, I'd be happy to help. Thanks for asking!

Answer on Who Pays For Renters Insurance? by Jim Winkler

Jim Winkler — Tue, 06 May 2014 00:57:04 +0000

Great question! The renters policy can be owned by one person who pays for it, or it can be owned by one person, and paid for by another. The policy will only cover those who are named on it, and the company will not care overly much where the money comes from, as long as it comes. If I can help in any way, please feel free to contact me. Thanks for asking!

Answer on Can You Get Car Insurance Over The Internet? by Jim Winkler

Jim Winkler — Mon, 05 May 2014 20:28:26 +0000

Great question! It is certainly possible to get quotes, and even sign up for insurance over the internet. I wouldn't advise it though, and here's why: Any decision that you make that will have to do with protecting your family or finances should be made with someone that you can see face to face, and discuss your thoughts and concerns with. A live agent will care for your needs in ways that an impersonal internet cannot. And the agent doesn't cost you even a penny more than the internet does. Thanks for asking!

Answer on Who Established Medicare? by Jim Winkler

Jim Winkler — Mon, 05 May 2014 19:56:23 +0000

Great question! The Medicare program was a part of President Lyndon Johnson's war against social inequality, and was signed into law with bi-partisan support in 1965. He put into place several social safety net programs that were designed to help Americans get out of, or avoid poverty, and many that were designed to eliminate inequality or segregation. Many senior citizens were unable to afford medical help at that time, as costs were prohibitively high for an elderly person, as opposed to a younger one. This program made receiving health care for everyone a possibility. It also helped desegregate many hospitals and providers' offices, as it tied program payments to integration. Thanks for asking!

Answer on Where Should I Keep My Auto Insurance Card? by Jim Winkler

Jim Winkler — Mon, 05 May 2014 19:26:13 +0000

Great question! You should keep it either with you, or someplace easily accessible in your car. If you are pulled over, or are involved in an accident, the officer is going to want to see proof of your current insurance. Be sure to replace the old one with the newer one when you receive it. Thanks for asking!

Answer on What Does Liability Car Insurance Mean? by Jim Winkler

Jim Winkler — Mon, 05 May 2014 19:15:43 +0000

Great question! Your auto insurance covers the damage to your car, under the "collision" part. It covers the damage to the other car, and any injuries that you could be held liable for under the "liability" part. If you had to pick one part to carry, it would be liability - the costs they are going to ask you to pay in most cases would be huge. Thanks for asking!

Answer on Is Life Insurance Marital Property? by Jim Winkler

Jim Winkler — Mon, 05 May 2014 18:51:27 +0000

That is a great question! That will depend on a couple of things - are you living in a State that has community property laws? If so, then the court's decision will most likely hinge upon where the money to pay the premiums came from. If your policy was paid up and you owned it before the marriage, you may get to keep it. If the premiums were paid for out of your communal funds, you may not be so lucky. There are a handful of States that have what is called "the last payment rule" - whoever made the last payment has the ownership of the policy. Check with a family law specialist in your State, and see if they can help you determine the answer. I hope things work out for you. Thanks for asking!

Answer on Does Renters Insurance Cover Hotel Costs? by Jim Winkler

Jim Winkler — Mon, 05 May 2014 18:40:26 +0000

Great question! I sincerely hope that you never need to find out. In many cases, the policy will cover some or all of the relocation expenses when the home is damaged and not useable. They may pay for a couple of days, they may pay until repairs have been completed or until you've found a new place to live. They may not cover it at all. Check with your agent and be certain what your specific policy will or won't cover. Thanks for asking!

Answer on Why Homeowners Insurance Goes Up? by Jim Winkler

Jim Winkler — Mon, 05 May 2014 18:35:54 +0000

Great question! There are a couple of reasons why your policy costs have gone up. The policy you have may have a clause that allows for an adjustment for price each year to match inflation, or rising home values. You may have filed a claim, or cancelled another policy that you had with that company that had allowed a discount, that is now no longer applied. If you live in an area where fires or natural disasters have just occurred, the company may be seeking to recapture lost profits from paid claims. Thanks for asking!

Answer on Can I Get Life Insurance If I Had A Heart Attack? by Jim Winkler

Jim Winkler — Mon, 05 May 2014 18:28:54 +0000

Great question! The answer is yes, you certainly can. The trick is finding the best company to write that policy for you. The companies will all have a "look back" period, and things that happen within that period, like a heart attack, can influence whether they will insure you, and at what cost. I'd recommend that you find an independent agent who can look at several companies to find one that is the most favorable for you! If you'd like help, please contact me, I'll make time to help you. thanks for asking!

Answer on Can I Buy A Life Insurance Policy On My Brother? by Jim Winkler

Jim Winkler — Mon, 05 May 2014 18:24:40 +0000

Great question! Insurance companies will only write a policy when it can be demonstrated that there will be a loss to you, should the insured pass away. So you couldn't write a policy on the guy you met at the office, unless you could prove that you would lose income or assets if he were to pass away. The same would apply to your brother. Unless you can prove a monetary loss, it might be really hard to find a company that will issue a policy. The best way to do it? Like Ms. Mace suggests, have your brother get his own policy, and you make the payments for it. If you need help doing that, please feel free to contact me, I'm glad to help. Thanks for asking!

Answer on Does A Beneficiary Have To Pay Taxes On A Life Insurance Policy? by Jim Winkler

Jim Winkler — Mon, 05 May 2014 18:18:00 +0000

Great question! There are cases where you might be liable for some estate taxes, but as far as income taxes go, no, your windfall from a life insurance policy is not taxable. This is one of the best reasons to own a policy - you can pass along money to help your survivors . Thanks for asking!

Answer on Which is the best life insurance company in the US? by Jim Winkler

Jim Winkler — Mon, 05 May 2014 18:14:38 +0000

Great question! The best company is the one that gives you the best coverage for the best price. There are a lot of really good companies out there, and many that are very good in their particular areas of expertise. If you are looking, some things to look at are their ratings by A.M. Best or Standard & Poor's, for financial stability; The number and variety of complaints that are on record about them, and how clearly worded their promotional materials are - do they make sense? (or just promises?). Hope that helps you, I have a few favorites that I use for specific reasons, if you'd like to discuss them, please contact me. Thanks for asking!

Answer on Why Have Renters Insurance? by Jim Winkler

Jim Winkler — Mon, 05 May 2014 18:08:53 +0000

Great question! You should have a renters insurance policy anytime you are putting your belongings in a place that belongs to someone else, especially if it will be difficult for you to replace those belongings, should they be damaged or destroyed. It is a common mistake to believe that the landlords insurance would cover you if something were to happen. Unfortunately, that is not the case. It is a good idea to get a policy. They are relatively inexpensive, and a lifesaver, if you have to file a claim. If you need help, please feel free to contact me, okay? Thanks for asking!

Answer on How Do Car Insurance Agents Make Money? by Jim Winkler

Jim Winkler — Mon, 05 May 2014 15:11:56 +0000

Great question! In almost every case, an insurance agent makes a living off of the commissions on the products they sell. The insurance company pays the agent a percent of the yearly value of the policy they sell. They may get some small base salary or benefits, but the majority of the income will come from the policies that they sell. Thanks for asking!

Answer on What Happens If Your Car Is Totaled By Insurance? by Jim Winkler

Jim Winkler — Mon, 05 May 2014 15:05:51 +0000

Great question! Your insurance company considers your car totaled when the cost of repairing it is close to, or higher than it's blue book or their estimated value. Once the car is considered totaled, the company will send you a check for the amount specified by your policy, and the adjuster's estimates. The amount they have determined will be minus the amount of your deductible, and any amount that you may owe them. In most cases, the company will own the rights to the car, and will sell it for salvage, or at auction to mechanics willing to repair the vehicle. I hope that you never have to find out, but if you do, feel free to contact me, I'm happy to help. Thanks for asking!

Answer on How Do You Get Health Insurance With A Pre Existing Condition? by Jim Winkler

Jim Winkler — Mon, 05 May 2014 14:30:58 +0000

Great question! Thanks to the affordable Care Act (Obamacare), insurers can no longer exempt you for having a pre-existing condition. Unfortunately open enrollment is over for the year, and unless you have a qualifying event, you may have to wait until the fall enrollment period. ( there are some companies that will sell a sort of temporary coverage, but they can be fairly pricey) Go to the www.heathcare.gov website at that time, and look for a policy that fits you. You may even qualify for help in paying for the costs of the policy! If you need help, take a moment and contact me, I'm happy to help you walk through it. Thanks for asking!

Answer on When Is Medicare Projected To Go Broke? by Jim Winkler

Jim Winkler — Mon, 05 May 2014 14:00:50 +0000

Great question! The answer to that will most likely hinge on the mid-term elections this fall. There is one party that believes that Medicare is a handout, and that it cannot properly be funded, so it needs to be drastically cut. The other party agrees that funding is an issue, and with nearly 10,000 seniors turning 65 every day, and with many of them not covered by insurance through a workplace, it certainly will become a bigger issue. The party that wins the majority of seats in Congress this fall will probably tip the scales in their favor. Assuming things stay the same, Professor Michael Granof, Professor of Economics at the University of Texas says Medicare will be bankrupt by 2023, and Social Security about ten years later. His statistical analysis of retirement aged seniors is quite sobering. If you would like the link to his lecture, please feel free to contact me, I'm happy to share it with you. Thanks for asking!

Answer on How To Evaluate Life Insurance Companies? by Jim Winkler

Jim Winkler — Mon, 05 May 2014 02:04:44 +0000

Great question! When evaluating an insurance company, here are some things to look for: First, their financial stability - Standard and Poors, and AM Best are companies that rate the financial soundness of companies. Look for anything in the "a" range as being very financially stable, and capable of paying your claim. Look at the complaints filed against the company - do they have a pattern of issues paying claims, or denying them? Lastly, are the applications and brochures clearly worded? Do they make sense to you? Are the agents of good quality? Once you get comfortable with these questions, then look at their prices, coverage, and policies. If you would like help, please feel free to contact me, okay? Thanks for asking!

Answer on What Is High Risk Life Insurance? by Jim Winkler

Jim Winkler — Mon, 05 May 2014 01:55:53 +0000

Great question! High risk life insurance is a type of policy that is generally issued to people who have health conditions ( like HIV) or occupations ( firefighter, oil rig wildcat, for example) that are above the normal risk tolerance for the normal insurer. They might also be issued to people that are incarcerated. These policies will generally be more expensive, and will often have a period of time included where the death benefit may only be the premiums paid in, plus a little interest. They are designed to help those that can't find it anywhere else. If you would like more information, please feel free to contact me, okay? Thanks for asking!

Answer on Can You Get Life Insurance On Someone In Jail? by Jim Winkler

Jim Winkler — Mon, 05 May 2014 01:44:42 +0000

Great question! Unfortunately, not such a great answer. Nearly every company will deny someone who is currently incarcerated, or just released from prison. Insurance companies do not like risk, and being involved in activities that would land you in jail, or the being there alone, make it nearly impossible to find a company that will write you. That said, you may be able to find a company that will issue a "high risk" policy, but expect it to come with a very high price tag, and a lot of strings. I'm sorry that I did not have a better answer for you. Thanks for asking!

Answer on What Does Surrender Value Mean On A Life Insurance Policy? by Jim Winkler

Jim Winkler — Mon, 05 May 2014 01:31:06 +0000

Great question! The surrender value is what the insurance company gives you in cash, if you "surrender" the policy to them. That dollar figure can be reduced by what is called a surrender charge, if done in the early years of policy ownership. Once you have surrendered the policy, you no longer have coverage. Some companies will allow partial surrenders, but in most cases, it may be more advantageous to take out a loan against the policy (and keep the coverage)instead. If you would like help, please feel free to contact me, I'm happy to be of assistance. Thanks for asking!

Answer on Where Do I Go To Get Life Insurance? by Jim Winkler

Jim Winkler — Mon, 05 May 2014 01:26:18 +0000

Great question! These days, you don't have to go any farther than your mailbox or your TV to get offers for life insurance. Google it, and you will get pages of responses. I think the best place to find the right life insurance policy for you is through a live, independent agent, and here's why. Some things are great to buy through the internet, because you know exactly what you are buying. You book a hotel room, it's a hotel room. Insurance isn't that easy. First of all, it is the financial security of your family, and you want that to be handled by someone you can see, and talk to. Secondly, there are an awful lot of choices when it comes down to your coverage, and you want someone who could explain them to you, and help you find the right one for your needs. Lastly, an independent agent isn't tied to one particular company, and can shop around for you from several companies. Find one that feels right, and have them walk you through the process. If you would like help, please don't hesitate to contact me, I'd be happy to help. Thanks for asking!

Answer on Would homeowner’s insurance share in tree removal expense to potentially save money and decrease liability? by Jim Winkler

Jim Winkler — Sun, 04 May 2014 00:44:26 +0000

Great question! The answer to the question really lies in the provisions of your specific policy. Most will help pay for the cost of a tree downed by a storm, the cleanup, and even the replacement tree, but a standing tree is another matter. Call your agent, and have them determine what your policy will cover. Another bit of advice - check with your local city or county commission, and ensure that you don't violate any ordinances by cutting it down. You may need a permit first, even if it is on your private property. Here in Houston, you can incur very healthy fines if you cut down or trim one of the great oak trees that share space with any city owned property. If you need help, please feel free to contact me. Thanks for asking!

Answer on Why Buy Whole Life Insurance? by Jim Winkler

Jim Winkler — Sun, 04 May 2014 00:20:43 +0000

Great question! There are a couple of good reasons why a whole life policy might be a better choice than a term policy. The first is to ensure that there is money to pay for your final expenses, no matter how long you live. Many of the popularly advertised term policies end at the age of 80. What happens if you live beyond 80? A whole life policy protects against that. Another reason is that if your health were to seriously decline, a whole life policy stays in effect. The changes in your health may prevent you from getting another term policy, or greatly increase its costs. A third reason would be to ensure the passage of tax free wealth to your survivors. You can outlive a term policy, and have nothing to pass on, where a whole life policy will guarantee that the money passes to your beneficiary. If you have more questions, please feel free to contact me, I'm happy to help. Thanks for asking!

Answer on When Should I Get Car Insurance? by Jim Winkler

Jim Winkler — Sat, 03 May 2014 16:27:06 +0000

Great question! You will need an auto insurance policy if you or anyone else will be driving the car. I would advise that the car be covered if it is not going to be driven, but is in an area where it might be hit or vandalized if it is parked. If you have any risk of having to pay for the damage done to the car, then you may want to have it insured. If you need help, please feel free to contact me, I'm happy to help. Thanks for asking!

Answer on Renters Insurance Who Does It Cover? by Jim Winkler

Jim Winkler — Sat, 03 May 2014 16:21:56 +0000

Great question! Typically a policy, whether it is a renters, health or life insurance policy will only cover the person or persons named on the policy. So if you put you and your spouse, you both are covered. If you name your family, then you all are covered. If it is just you, and you have a roommate who is not named, you are covered, they are most likely not. Check your policy and see who is listed, and who they will cover, or call your agent and have them tell you. Thanks for asking!

Answer on How To Apply For Life Insurance Online? by Jim Winkler

Jim Winkler — Sat, 03 May 2014 16:16:00 +0000

Great question! The easiest way is to go to the webpage of the company that you want, and follow the prompts on the page. I'd really warn you about doing that though.Some things are safe to buy online - tickets, books, things that are "what they are," and you know for certain what you are buying. When it comes to important financial investments or decisions, you do not want to leave them to an impersonal webpage, that will not look out for you, or care about your best interests. When it comes to protecting your family, it is best to have a live agent that can explain in detail to you what you are buying, and if there are alternatives that may better suit you. Please take my advice and go to a live agent first, someone who can give you a solid price, and a better understanding of your risks and alternatives. If you would like help, please feel free to contact me, I'd be happy to help you. Thanks for asking!

Answer on Can I Have Multiple Life Insurance Policies? by Jim Winkler

Jim Winkler — Sat, 03 May 2014 16:05:59 +0000

Great question! Many people will have a policy, and then have a second one that is part of their benefit package at work. It is entirely possible to have several policies, but the insurance companies will limit the amount that you can be insured for. They will not allow you to insure yourself for the purpose of making your beneficiaries rich, but will tie your amount of coverage to your income, and their losses when you pass. I myself have several policies, as my parents bought small policies at separate times for me when I was very young. If you have more questions, please feel free to contact me. Thanks for asking!

Answer on What Do Health Insurance Underwriters Do? by Jim Winkler

Jim Winkler — Sat, 03 May 2014 15:58:43 +0000

That's a great question! In general terms, the underwriter is the person who determines whether or not you qualify for a particular financial service, like a bank loan, or as you asked, insurance. An insurance underwriter will look at your health issues, medical history, prescription records, actuarial tables, and other things like your credit and family history, if needed, to determine the risk of insuring you. From that data, they will determine if you qualify, and if so, for what plan and amount of coverage, and at what rate. If you have more questions, please feel free to contact me, I'm happy to help. Thanks for asking!

Answer on Where Can I Get A Free Car Insurance Quote? by Jim Winkler

Jim Winkler — Sat, 03 May 2014 15:49:30 +0000

Great question! You can get free quotes from any legitimate agent or company. Take internet quotes with a grain of salt, as they will give you "best case" prices every time, and often when the agent gets your complete information, the actual cost is much higher. I recommend that you look for an independent agent (one not tied to a brand name company) who can give you several companies to look at, or spend the time and visit a couple of agents from brand name companies. If you need help, please feel free to contact me. Thanks for asking!

Answer on Can You Pay Car Insurance Late? by Jim Winkler

Jim Winkler — Sat, 03 May 2014 15:44:18 +0000

Great question! In most cases, insurance companies will give you what is called a "grace period". That is a period of time, normally between 15-30 days ( but call your agent to be certain about yours) that allows for late payments to be received or processed. Your coverage will end along with the grace period. In the event that you can't get a payment in to them before then, it may be possible to get your policy back, (reinstated) but you will have to pay for however much time has passed.Call your agent, explain your situation, and see if they can help you out. Good luck! If you need help, please feel free to contact me. Thanks for asking!

Answer on Is Mental Health Covered By Insurance? by Jim Winkler

Jim Winkler — Thu, 01 May 2014 15:11:20 +0000

Great question! One of the great things about the Affordable Care Act ( Obamacare), like it or hate it, is that it increased coverage for issues that weren't covered before. One of these is mental health care. If you have a policy purchased through the exchange, or after the beginning of this year, then there are certain services that are free, and others that have the usual deductible and co-pay requirements. Take a look at your individual policy, or contact the service provider to know for certain what you will be obligated to pay for. Thanks for asking!

Answer on Will Homeowners Insurance Cover Mold? by Jim Winkler

Jim Winkler — Thu, 01 May 2014 15:03:29 +0000

Great question! After the great media "black mold" scare a few years back (yes, black mold is bad, as is most mold and fungi) most insurers quietly cut that coverage out of their homeowners policies. That is especially true in the humid southern states, where mold is difficult to prevent. There may be a small amount of damage that is covered in your specific policy, so it is well worth your time to contact your agent and find out. If your policy has been in force for many years, it may also be a covered item, if the company hadn't amended your policy along the way. Contact your agent, and they can tell you for certain. Good luck, and thanks for asking!

Answer on Where To Purchase Renters Insurance? by Jim Winkler

Jim Winkler — Thu, 01 May 2014 14:54:46 +0000

Great question! There are many insurers that offer renters insurance. The apartment complex itself often will have a company or companies they work with, so ask them. You can also find policies through most major brand name companies. I'd recommend that you look for an independent agent ( one not tied to a single brand name) who will help you find an affordable policy with the best coverage. Another bit of advice? ask for "replacement value" instead of "actual cost". Feel free to contact me, and I'll explain why, if you'd like to know, or if you'd like help.. Thanks for asking!

Answer on How Can I Get Auto Insurance With A Suspended License? by Jim Winkler

Jim Winkler — Thu, 01 May 2014 14:41:20 +0000

Great question! There is some legwork you will have to do, but if you are willing to do it, you'll have insurance. Find an independent agent (one not tied to a specific brand name) who can search for you. There are companies that will write you provisional policies, if you can complete whatever requirements need to be done to reinstate your license within a specified period, usually 30-45 days. Since your license has been suspended, expect that it will be more expensive for you, or very difficult to even get, a policy, especially one that covers more than just liability. Good luck! Thanks for asking!

Answer on Does A Car Have To Have Insurance To Be Parked On A Road? by Jim Winkler

Jim Winkler — Thu, 01 May 2014 14:33:45 +0000

Great question! It doesn't have to, but if someone were to damage the vehicle, either through vandalism or collision, your expense to fix the car is totally yours. It may be worth it to you, especially if you aren't going to be driving it for awhile, to find a policy that is inexpensive, but gives you some protection, especially if it is a heavy traffic road. Thanks for asking!

Answer on Can You Get Car Insurance With An Expired License? by Jim Winkler

Jim Winkler — Thu, 01 May 2014 14:21:45 +0000

Great question! If you try shopping online for insurance without a valid drivers license, it is really hard to get a quote, let alone an accurate one. It is wise then, to contact an agent who can help you find a company that will write your insurance for you. There are circumstances where you can get insurance with no license, ( like an elderly person who owns a car that someone else drives them around in) and there are companies that will write you, if your license is recently expired, and can be renewed within a short period of time, usually 30-45 days. If you do not get it renewed in that period, the insurance coverage stops, and you are back to being an uninsured motorist, something no one wants you to be. If you need more information, please feel free to contact me, okay? Thanks for asking!

Answer on Does Homeowners Insurance Cover Roof Collapse Due To Snow? by Jim Winkler

Jim Winkler — Thu, 01 May 2014 14:09:52 +0000

Great question! The answer is most often yes, if your home has a sloped roof, and your particular policy provides for that coverage. If your roof is flat, that is probably a different story. Typically with a flat roof, the risk for ice or snow damage is greatly increased, so your policy is either much more expensive, or that damage is excluded. Call your agent to be certain in either case. Good luck! Thanks for asking!

Answer on What Is The Meaning Of Home Insurance? by Jim Winkler

Jim Winkler — Thu, 01 May 2014 14:02:54 +0000

Great question! In simple terms, the purpose of any kind of insurance is to protect you or others, from financial hardship as a result of a loss. In life insurance, that loss is obviously a death; in health insurance, your health. Homeowners insurance is designed to protect you, your mortgage company, and your family from expenses that arise from the loss or damage to your home. Like the insurances mentioned above, it is essential to have to protect your financial stability. If you would like more help, please feel free to contact me. Thanks for asking!

Answer on What To Do When You Can’t Afford Car Insurance? by Jim Winkler

Jim Winkler — Wed, 30 Apr 2014 22:29:28 +0000

Great question! That is a tough place to be, but it will be much worse if you get caught driving without it, so please don't do that. The best way is to see if you can be added as a driver on someone else's policy - a parent, or spouse? If not, look for bare bones policies with a higher deductible - and then be a very careful driver! You might also look into getting the policy through a company that you have other insurance with - often they give big discounts when you add policies. There are policies out there that are affordable for almost everyone, find an independent agent (one not tied strictly to a big name company) and have them help. feel free to contact me if you would like help.Thanks for asking!

Answer on How To Find Cheap Health Insurance? by Jim Winkler

Jim Winkler — Wed, 30 Apr 2014 21:58:36 +0000

Great question! Your best bet to find affordable health care is on the Affordable Care Act (Obamacare) site, www.healthcare.gov where the discounted policies are. If you shop on this site, you may qualify for discounts that you may not receive elsewhere. There is an annual enrollment period which has been closed until the fall, but if you have had a qualifying event (married, divorced, etc.) you may still be able to enroll. Look around at other sites, just to be certain that you have found the best policy for you, but I have found the government site to be about the best. Look for lowest deductible and co-pays with highest coverage. If you need help, please feel free to contact me. Thanks for asking!

Answer on Does Homeowners Insurance Cover Death Of Owner? by Jim Winkler

Jim Winkler — Wed, 30 Apr 2014 14:30:38 +0000

Great question! While there are some policies that will cover a few cases of death, the vast majority will not. Many people assume that homeowners insurance covers much more than it does, so I can not stress enough the importance of understanding exactly what the policy does and doesn't cover before purchasing it. There may be cases where Liability coverage may cover, but again, it is a life insurance policy that typically pays as a result of a death, very rarely your homeowners. If I can help you more with this, please feel free to contact me. Thanks for asking!

Answer on Does Obamacare Hurt Medicare? by Jim Winkler

Jim Winkler — Wed, 30 Apr 2014 14:00:06 +0000

Great question! Unfortunately the answer is still kind of fuzzy. Depending upon who you listen to, it is either the death of medicare, or its best friend. The Government gave states the option of adding medicare coverage for millions of seniors who fell into the cracks, and offered to pay for a significant portion of it. Some states added it, and there were seniors who were finally able to get medicare, other states had different ideology, and passed. A major focus of the Act was to trim overblown costs and waste by providers ( The savings in the waste recovery are to help fund the program, so there has been a big push for this) and make the charges more uniform across the industry. As a result, many providers either dropped or limited the services that they had previously provided. So there is a kind of "on one hand" answer so far to your question, and I guess it depends upon which side of the fence you sit as to whether it is helping or hurting. If your parent was able to finally get coverage, you would probably like it; if you are a provider ( or used a provider) who was making a tidy profit off of your medicare billing, who learns that won't be continuing, and drops the service, you probably don't. This will be a great debate for as long as it takes for solid numbers and data to shake out and really be able to measure the success or failure of the act. I appreciate the opportunity to answer, thanks for asking!

Answer on How To Shop For Auto And Home Insurance? by Jim Winkler

Jim Winkler — Wed, 30 Apr 2014 13:46:53 +0000

Great question! There are so many choices out there to choose from, and it is wise to shop around, especially for insurance. The internet can be a useful tool, and many people are relying upon it more and more to help find the option they are looking for. Unfortunately, most advertised quotes are "best case" scenarios, and often are not what you will end up paying. The personal variables of what you need makes it difficult for a machine to figure out what you will really pay. Find an independent agent (one not tied to a single company) to compare prices. Call your existing agent, and see if they will provide a discount for adding coverages ( most will, and the discounts can be substantial). Have an idea what you have to spend, and talk it over before you sign anything. Look for best coverage at the lowest cost, and with the lowest deductible that you can afford. If you need help, feel free to contact me, I'm happy to help. Thanks for asking!

Answer on Can I Go To Jail For Not Having Health Insurance? by Jim Winkler

Jim Winkler — Wed, 30 Apr 2014 03:50:22 +0000

Great question! The answer is no, going to jail for not having insurance is just a scare tactic rumor. What will happen if you don't have a policy is that (unless you have a ton of money - and I mean a TON) if you have a medical issue, you will give an awful lot of that money to your healthcare providers. Then to add insult to injury, you will be assessed a penalty on your 2014 tax filing. It makes sense to go on the www.healthcare.gov website, see if you qualify to get a discounted rate, and purchase a policy. If you need help, please contact me, I'm always happy to help. Thanks for asking!

Answer on Can I Get Health Insurance With HPV? by Jim Winkler

Jim Winkler — Wed, 30 Apr 2014 03:44:11 +0000

Great question! For all the negative things that have been said about the Affordable Care Act, or Obamacare, this is one undeniable positive for people that need insurance that have issues - insurance companies can no longer tell you "no". The "pre-existing condition" cannot be used to deny you coverage. Another nice perk? You may be able to get your coverage discounted by shopping for your policy on the www.heathcare.gov website. If you would like more information, please feel free to contact me, I'm happy to help. Thank you for asking!

Answer on What To Consider When Getting Renters Insurance? by Jim Winkler

Jim Winkler — Wed, 30 Apr 2014 03:38:06 +0000

Great question! You want to look for a couple of things. You want a policy that will provide the best coverage, for the lowest cost. There are many companies that offer renters policies, so the best thing to do is shop around , and preferably find an independent agent who will help walk you through the process. An independent agent is one that isn't tied to a big name company, but has the options of several companies to choose from. They will most times be able to find the best deal for you. A bit of advice? Ask for "replacement value", as opposed to "actual value" when you are looking at your choices. It can make a world of difference if you ever need to file a claim. Any questions? Feel free to contact me for more information, I'm happy to help. Thanks for asking!

Answer on Why Is Car Insurance More For Unemployed? by Jim Winkler

Jim Winkler — Wed, 30 Apr 2014 03:30:44 +0000

Great question! All insurances work off of assumed risk. The higher the risk, the more expensive the rates. The insurance companies use a variety of statistical information to determine the levels of risk. They also make some assumptions that may or may not be true to you personally, but tend to hold true over the general population of the group. For example, the assumption is that if you smoke, your health risks are higher. The mortality statistics bear that out, as do statistics on cancer, and smoking related diseases. Therefore, life insurance rates are higher for smokers. The risk for someone unemployed is similarly higher than someone with employment. Someone who is unemployed will have a harder time making their premium payment, and the risk for the company to lose money is higher. They are going to try to minimize that risk by charging enough to quickly cover their costs. I hope that answers your question, if you would like to discuss it further, please contact me, I'm happy to help. Thanks for asking!

Answer on Why Do I Have To Have Auto Insurance? by Jim Winkler

Jim Winkler — Wed, 30 Apr 2014 03:17:29 +0000

Great question! It is a very common question- why do I need insurance? The purpose of insurance is to protect against risk. To help provide the money that would be needed to replace or repair the vehicles, and to provide for personal or property damages that might be incurred. You need the insurance, to protect yourself first, and to protect the other driver that you may hit. Cars are expensive to repair, and lives are irreplaceable. Even if you haven't had an accident in years, I'm guessing that the minute that you do, you will be very happy that you had it. If you would like to discuss this more, please feel free to contact me, I'm happy to help. Thanks for asking!

Answer on Where To Complain About Home Insurance? by Jim Winkler

Jim Winkler — Wed, 30 Apr 2014 03:08:48 +0000

Great question! Are you unhappy with the policy, something the company did or didn't do, or the agent? If it is the policy, you may be able to get the coverage or price adjusted. If it has to do with a claim, the company will have an appeal process that you can file. If it is the agent, please discuss it with either them, or their boss first, and see if you can resolve the issue. Most times, they will do whatever is necessary to resolve the problem. If the agent or the company were dishonest or misleading, your state will have a department of insurance where you can lodge your complaint. Thanks for asking!

Answer on Is Flood Insurance Included In Homeowners Insurance? by Jim Winkler

Jim Winkler — Wed, 30 Apr 2014 03:00:41 +0000

Great question! You are wise to ask, too many people learn the hard way that flood damage isn't covered. If your home is in a place that is susceptible to flooding, then you really want to add that coverage to your insurance package. I grew up back in Illinois, and I saw over and over every few years when the river would flood people that lost nearly everything because "it will never get this high". Better to be safe than sorry! Thanks for asking!

Answer on Does Home Insurance Pay For Water Damage? by Jim Winkler

Jim Winkler — Wed, 30 Apr 2014 02:55:02 +0000

Great question! If the water damage has occurred within the house, then the answer is yes, you should be covered. If the damage is from flooding, or water from outside of the home, then you may have trouble when you file your claim. Flood damage is typically not covered in your homeowners policy. Call your agent to be certain that your damage is covered. Thanks for asking!

Answer on What Do Life Insurance Agents Get Paid? by Jim Winkler

Jim Winkler — Tue, 29 Apr 2014 14:14:33 +0000

Great question! If you are considering a career in insurance sales, there are a couple of things to consider. The two most important things to know are that you are only paid when you have the application approved, and the policy issued; and that it can be very costly between the time you decide that this is your career, and when you are making enough to break even. If you are a go-getter, and are good at sales, you can make a ton of money, and helping people feel secure is very rewarding. You can also start making a profitable living very quickly. If rejection, long hours, and the lack of a steady paycheck bother you, don't seriously consider this for your career. The fees and costs involved in your training and licensing can also be tough, if you haven't got the money to pay for them, and to develop a client base to work from. I certainly am not trying to be negative about this as a career, ( I enjoy it very much) but I do believe in painting you a very clear picture (something that was not done for me - I had a very gung-ho recruiter who wanted money, and didn't particularly care about how he got it, or what happened to the people he made it off of). I obviously overcame that, but it would have been nice to know going into it what to expect.If you would like more information, hit the "contact me" link, and I'll be happy to give you more detail. Good for you, and thanks for asking!

Answer on Is D&D In Addition To Life Insurance? by Jim Winkler

Jim Winkler — Tue, 29 Apr 2014 13:44:22 +0000

Great question! Accidental death is covered in all insurance policies. Dismemberment however, is not. The kind of policy that you are thinking of is often misunderstood. Some people think that it will serve as good life insurance,thinking that it will provide coverage that it usually doesn't. This kind of policy doesn't cover any kind of death related to illness or health issue, like cancer or stroke. The normal life insurance policy won't cover dismemberment, unless it results in your death. The two policies can be combined by purchasing a life insurance policy with an AD&D "rider" (the policy 'rides' along on the other, bigger policy) for a little more in cost. That provides you with terrific coverage, for most any situation. If you need more information, please feel free to contact me, I'm happy to help. Thanks for asking!

Answer on Does Skydiving Affect Life Insurance? by Jim Winkler

Jim Winkler — Tue, 29 Apr 2014 13:34:38 +0000

Great question! Insurance is designed to hedge against risk, and the more risk, the more expensive the insurance. Skydiving is one of those things that insurance companies consider risky, and so they tend to be a lot less cost friendly when it becomes something you choose to do. If you already have a policy, before your jump, ask your agent to find out exactly what would happen with your policy if , God forbid, something bad were to happen. If you are looking to get a policy, and skydiving is something that you enjoy doing, there are policies that you can get but most will have higher premiums, and more importantly, a period of years where your death benefit is reduced. I wholeheartedly suggest that you find out before the jump, as opposed to finding out after. If you want to discuss this further, please feel free to contact me, I'm happy to help. Thanks for asking!

Answer on How Are Life Insurance Dividends Taxed? by Jim Winkler

Jim Winkler — Tue, 29 Apr 2014 13:22:43 +0000

Great question! The IRS considers dividends paid to you to be an overpayment of premiums, and as such, aren't taxed. You paid taxes on the money for the premiums that you paid , so basically you were just "over paying". That said, there can be situations where you would have to pay taxes if you take out loans and your policy lapses, but as long as it stays within the policy, you are fine. need more detail? feel free to contact me, I'm happy to help. Thanks for asking!

Answer on Can You Get Medicare While Working? by Jim Winkler

Jim Winkler — Tue, 29 Apr 2014 03:43:10 +0000

Great question! You can be enrolled in Medicare while you are working. Medicaid is a different story. To be enrolled in Medicaid, you are telling the government that you have no assets, and no money to use to pay for your medical care. There would be a large amount of trouble if they found you were working. Medicare, however, is perfectly fine. Thanks for asking!

Answer on How Does Health Insurance Affect The Retirement Behavior Of Women? by Jim Winkler

Jim Winkler — Tue, 29 Apr 2014 03:36:28 +0000

Great question! While I do not have a degree in sociology or statistics, I can tell you what I see, working daily with retired, or near retirement aged women clients. Each and every one of them appreciate it. Most of them are no longer working, though almost all of them had expected to be. The ones that still have insurance through work or their spouses work are not burdened with the fear of being unable to get medical services. The rest of them are enrolled in Medicare, or Medicaid. Those ladies also are profoundly grateful to be able to receive medical care that is affordable. Many of those women struggle to balance medical costs with the everyday expenses of heat, food, and electricity though, as the benefits are often not enough even with Social Security to make ends meet. Without health insurance they would be in a very bad way. If this did not answer your question, (And I'll admit I'm not sure what you are asking, since having insurance or not having it probably affects them the same way it would a man, or someone younger) please feel free to contact me, I'll be happy to discuss this with you further. Thanks for asking!

Answer on How To Apply For Obamacare? by Jim Winkler

Jim Winkler — Tue, 29 Apr 2014 03:09:34 +0000

Great question! To enroll in the Affordable Care Act, aka Obamacare, go to www.healthcare.gov. There is an annual enrollment period each fall that allows enrollment. If you missed the enrollment window, several life events will allow you to enroll at any time -a birth, marriage, divorce, or a loss of employer coverage, for example. Thanks for asking!

Answer on Does Health Insurance Count As Income? by Jim Winkler

Jim Winkler — Tue, 29 Apr 2014 02:49:19 +0000

Great question! The only way that it can be considered income is if your employer pays your premium with after tax dollars. Your W2 will show the amount of your share in your wages line, and if so, you can deduct that portion on your Schedule A tax form as a medical expense. If it's not included, (and it usually isn't) your employer has paid with pre-tax dollars, and given you a break on your taxes already. That is the case nearly all of the time. Thanks for asking!

Answer on Can I Deduct Car Insurance On Taxes? by Jim Winkler

Jim Winkler — Tue, 29 Apr 2014 02:30:03 +0000

That's a great question! The answer will depend upon what you are using the car for. If it is your family car, and the family insurance policy, sorry, but probably not. If you are using it for both family and work, then you want to get a tax attorney or tax professional's opinion. You may be able to deduct a portion. If It's a business car, with a business policy, then most likely yes, you can. Two things to remember: Always consult a tax expert when deciding what to claim as a deduction; and if you are using the family car for business, and have it marked in some way to advertise or designate your business and get into an accident, you may get a nasty surprise when you file the claim. Many insurance companies will tell you that since the car was being used in a business capacity, it is not insured unless covered by a business policy and deny your claim. If you would like more information, please feel free to contact me, I'm happy to help. Thanks for asking!

Answer on How To Increase Your Auto Insurance Score? by Jim Winkler

Jim Winkler — Tue, 29 Apr 2014 02:15:44 +0000

Great question! The best way to increase your insurability is to have a clean driving record. Avoiding tickets, accidents and damage claims for an extended period of time demonstrates that you are a careful driver, and that your risks are low. Another thing that will help - keep paying your bills on time, and more than minimum payments if possible. Most insurance companies factor in your credit record into their scores, and a good record there over time demonstrates responsibility also. If you would like more information, please feel free to contact me, I'm happy to help. Thanks for asking!

Answer on Can I Be Denied Health Insurance For HPV? by Jim Winkler

Jim Winkler — Tue, 29 Apr 2014 02:06:59 +0000

Great question! Like it or hate it, the Affordable Care Act ("Obamacare") has done you a great blessing - coverage cannot be denied to you due to your previous health condition. You also will find that lifetime caps on coverage for you have disappeared also. I'd suggest that you try the exchanges first, and see if you qualify for a subsidy to help drop your insurance cost - another nice perk. Hope that helps! If you need more information, please feel free to contact me, I'm glad to help.Thanks for asking!

Answer on Does Renters Insurance Cover Fire Damage? by Jim Winkler

Jim Winkler — Tue, 29 Apr 2014 02:01:31 +0000

Great question! If you are living in an apartment that is damaged by fire, and have renters insurance, you are covered in almost all cases. Water damage if the fire was next door, or smoke damage are usually also covered. Some cases, you may even be covered for the cost of staying somewhere while the damage is assessed. If you need any more help, please feel free to contact me, I'm happy to help. Thanks for asking!

Answer on Why Would You Purchase Life Insurance Rather Than Annuities? by Jim Winkler

Jim Winkler — Tue, 29 Apr 2014 01:55:09 +0000

Great question! Life insurance is used mostly as a way to pass on wealth. You leave a chunk of money behind you to either pay off the debts you've left, provide for your funeral expenses, or to pass on wealth to loved ones. You provide an income for those left behind. Annuities, on the other hand, are a way to transfer wealth to a later date, when you start drawing it out in an income stream. For most people it is a way to pass on income to yourself in retirement, when you need it most. So to answer your question, I'd purchase life insurance to leave behind a legacy for my children, and an annuity to provide an income stream for my wife and I in our retirement. That allows us to live comfortably, and still leave behind a legacy. If you would like more detail, please contact me, I'm happy to help! Thanks for asking!

Answer on Why is my insurance so high? I am a 26 year old female with a clean driving record. I drive an 05 chevy trailblazer. by Jim Winkler

Jim Winkler — Fri, 25 Apr 2014 20:15:43 +0000

Great question! In addition to the things that Mr. Pipes mentioned, there are a couple of other reasons why your insurance is high. Have you recently moved? Or had a problem with your credit? If you've had a serious ding on your credit before the last rate hike, that may be a reason why. Your insurance company factors in your credit score in their rates. If you recently moved, that may play a role also - from a quiet residential neighborhood to a downtown apartment can hike your rates, or if you've moved to a higher crime rate area. Unless it's just to recoup profits on their part, generally rate hikes are a sign of perceived increased risk. I'd advise you to look for an independent agent who can help you compare prices. Good luck, and if you need help, please contact me. Thanks for asking!

Answer on Is Homeowners Insurance Optional? by Jim Winkler

Jim Winkler — Fri, 25 Apr 2014 20:07:49 +0000

Great question! There is no law that requires you to have the insurance, but I do not know of a single lender that will sign off on the loan if there is not a policy in place to protect their investment. You also really want to have a policy, to protect your investment, and the value of your accumulated property. It really is a wise thing to have. Thanks for asking!

Answer on How Can I Compare Home Insurance Quotes In Oregon? by Jim Winkler

Jim Winkler — Fri, 25 Apr 2014 20:02:53 +0000

Great question! The easiest way is to find an independent agent who can run the quotes for you. Internet quote engines are designed to give you an approximate, the agent will be able to give you a more specific idea. An independent agent is one that does not work for one specific company, like State Farm or Allstate. They can run quotes for you from more than one company.Thanks for asking!

Answer on Can A Trust Be The Beneficiary Of A Life Insurance Policy? by Jim Winkler

Jim Winkler — Fri, 25 Apr 2014 16:18:57 +0000

Great question! The answer is yes, absolutely. I actually work with a company that specializes in a trust that is dedicated to providing for your final expenses. The primary beneficiary is listed as the funeral home, and any excess goes to the secondary beneficiary that you name. Many people also pass their money to trusts to hold for minor children, that otherwise would not be able to directly receive it. If you would like more information, please feel free to contact me, I'm happy to help. Thanks for asking!

Answer on Can I Get Life Insurance With Skin Cancer? by Jim Winkler

Jim Winkler — Fri, 25 Apr 2014 16:13:45 +0000

Great question! The answer is absolutely! There are two types of skin cancer, one more serious than the other. If you have the simpler, more common type, it isn't generally anything that will affect your policy. They remove it, and you are cancer free. The other type is a little more serious, and can affect your policy. If you've had this type, you can still get a preferred policy if it was in your past, and you've not had it since. If you are fresh out of it, or had ongoing struggles, there are still policies that you can purchase. They may have a period of time where the benefit paid is reduced, and will be more expensive, but they can be purchased. If you need more information, please feel free to contact me, I'm happy to help. Thanks for asking!

Answer on Who Is The Usual Beneficiary For Life Insurance Policies? by Jim Winkler

Jim Winkler — Fri, 25 Apr 2014 16:05:11 +0000

Great question! The beneficiary is the person or thing (in some cases) that you wish to leave your money to. People typically leave it to a close family member, but there are people that leave it to , trust funds, churches, or charities. I remember not too long ago about reading about the lady in New York City that left her fortune to her dogs...Thanks for asking!

Answer on Does USAA Homeowners Insurance Cover Earthquakes? by Jim Winkler

Jim Winkler — Fri, 25 Apr 2014 15:52:45 +0000

Great question! Most homeowners policies will not include earthquakes in the general body of coverage. Depending upon where you live, assuming that it is a valid concern for you, it will need to be purchased as a rider or separate policy. Floods are another example of the kinds of dangers that are not typically covered that require riders or separate policies. Call your agent to be certain in your specific policy's case. Thanks for asking!

Answer on What Is Hazard Insurance Vs Homeowners Insurance? by Jim Winkler

Jim Winkler — Fri, 25 Apr 2014 13:48:40 +0000

Great question! Homeowners insurance typically covers the home, as well as the contents, and your liability for accidents on your property. Hazard insurance only covers the home itself, and not the contents. Let's say that you had purchased a lot, and were building a home on it. Hazard policies would cover the replacement of the home-in-progress, should it be damaged or destroyed in a fire or natural disaster. Many landlords will use this type of policy, and it is also often bundled into a homeowners policy. A word of warning - look specifically to see if damage from flooding is excluded, especially if your home is in a floodplain, or prone to flooding. Thanks for asking!

Answer on How To Buy Homeowners Insurance For A New Home? by Jim Winkler

Jim Winkler — Fri, 25 Apr 2014 13:38:48 +0000

Great question! The thought process behind buying homeowners insurance is the same that you would use for buying your auto or health insurances. You want to look for lowest cost, highest coverage, and lowest deductible. The amount of deductible will influence the cost, and is the amount that you will have to put out before the insurance starts to pay. You want one that is high enough to lower the price, but low enough that you can cover without too much hardship. You also want a policy that covers as many scenarios and dollar amounts as possible. Again, there will have to be a balance between affordability and payout, so I'd strongly advise that you find a local agent who can walk with you through the process. If you would like more help, please feel free to contact me. Thanks for asking!

Answer on Does Health Insurance Make Sense? by Jim Winkler

Jim Winkler — Fri, 25 Apr 2014 13:32:00 +0000

Great question! Let me ask you one - would you be able to cover the medical expenses if something were to happen and you did not have it? Knowing that without insurance, it will be more difficult to be treated, you will most likely be sent to a clinic/hospital that is dedicated to treating the uninsured, and that a simple overnight visit can cost you several thousand dollars, would it make sense to have it? A sad statistic - catastrophic medical events are the cause of roughly 60% of the bankruptcies in the world (and most had some form of insurance). Please be one of the 40%. Thanks for asking!

Answer on Who Pays For Senators Health Insurance? by Jim Winkler

Jim Winkler — Fri, 25 Apr 2014 13:25:10 +0000

Great question! Lol, we pay for part with our tax dollars ( The Federal Government is their employer, who chips in for part) and they pay for the rest, just like we do at our work, when we are enrolled in their health plans. The ones on Medicare, we pay for with our tax dollars.Thanks for asking!

Answer on Does Health Insurance Cover Skydiving? by Jim Winkler

Jim Winkler — Fri, 25 Apr 2014 13:19:26 +0000

Great question! I'd tell you first of all to check your policies' exclusions (what they won't cover) section to be certain, but if you are being treated for terrible things that happen to you if things go wrong, the emergency medical parts are probably covered. You might also want to look at your life insurance policy also, as they tend to have a dim view of skydiving, and may put up a fuss should your chute not have opened, and a claim filed. I hope that helps. Thanks for asking!

Answer on What To Look For In Auto Insurance? by Jim Winkler

Jim Winkler — Fri, 25 Apr 2014 13:13:09 +0000

Great question! The things to look for are pretty much the same things that you want in your health insurance - the lowest cost, for the most coverage, with the lowest deductible. Everyone understands lowest cost, for the coverage, you want to look for the more things that the policy will pay for, the better. The deductible is the amount that you have to pay out of your pocket before the insurance money kicks in, so the look for the lowest deductible, highest coverage that you can afford. If you need more detail, feel free to contact me, I'm glad to help. Thanks for asking!

Answer on What Is Renters Insurance And What Does It Cover? by Jim Winkler

Jim Winkler — Fri, 25 Apr 2014 12:59:40 +0000

Great question! Renters insurance is like homeowners insurance , but for people who rent, and not own. It is designed to provide protection for the cost of replacing your belongings in the event that they were damaged or stolen. Your landlord will have insurance to cover their building, but it will not cover your things, so it is wise for you to do so. It can make a huge difference if something were to happen to your building, and is relatively inexpensive for the blessing that it can be. If you need more information, contact me, I'm happy to help. Thanks for asking!

Answer on What Is A 5 Year Term Life Insurance Policy? by Jim Winkler

Jim Winkler — Fri, 25 Apr 2014 12:54:21 +0000

Great question! This is a type of policy that fills a short term need - in this case 5 years. Term policies' coverage stops at the end of that period. It then has to be renewed, and becomes much more expensive, so carefully consider what you want it for. Some good uses for this type of policy? You need coverage, but at this point can't afford a whole life policy. Or you want to cover your child's' college expenses for the time they will be in school. If you would like more detail, please feel free to contact me, I'm happy to help. Thanks for asking!

Answer on When Is Renters Insurance Worth It? by Jim Winkler

Jim Winkler — Fri, 25 Apr 2014 04:19:29 +0000

Great question! Renters insurance is worth it the minute you have to file a claim. In the event that your apartment is damaged by fire, or some natural disaster, the claim helps pay for the cost of the things that you had. It will also cover the things that are stolen from your apartment. When you are standing there wondering where you will come up with the money to replace everything that you once had, and where you are going to stay, then you will appreciate the value of the insurance. If you have more questions, please feel free to contact me, I'm happy to help. Thanks for asking!

Answer on How Much Is Renters Insurance Through Allstate? by Jim Winkler

Jim Winkler — Fri, 25 Apr 2014 04:05:10 +0000

Great question! The rates charged for your renters policy will vary, depending upon several factors. The age and size of the apartment complex, where it is located, (city/suburb/state) are part of that calculation, as is your credit rating, and the amount of coverage you want. Your best bet is to contact your local agent, and have them walk you through a quote. Thanks for asking!

Answer on Does Triple A Offer Renters Insurance? by Jim Winkler

Jim Winkler — Fri, 25 Apr 2014 03:59:07 +0000

Great question! Here in Texas the American Automobile Association (AAA) does offer renters, home owners and even watercraft insurance in addition to their Auto insurance policies. They also have life insurance and financial services. I'm fairly certain that your local office will also. Drop them a line and ask them to be sure. Thanks for asking!

Answer on Does Progressive Provide Renters Insurance? by Jim Winkler

Jim Winkler — Fri, 25 Apr 2014 03:53:40 +0000

Great question! I do not deal with Progressive, but I have used them in the past, and I'm fairly certain that their focus is on Auto insurance specifically. You can call and see for certain, but I have never met an agent of theirs that sold anything but auto. Thanks for asking!

Answer on Which Is The Best Renters Insurance Company? by Jim Winkler

Jim Winkler — Fri, 25 Apr 2014 03:45:47 +0000

Great question! There area lot of good companies out there that have good policies. All of the major companies ( State Farm, Allstate, etc) will offer renters insurance. That said, they may not offer the best one for you - based upon your budget, and coverage needs. I'd advise that you shop around a bit, or find a good independent ( meaning not tied to one specific company) agent who can help you find the policy that fits you best. If you need more information, feel free to contact me, I'm happy to help. Thanks for asking!

Answer on What Is An Accelerated Death Benefit On Life Insurance? by Jim Winkler

Jim Winkler — Fri, 25 Apr 2014 03:40:07 +0000

Great Question! It is a rider on your whole life policy that for a fee, will allow you to take a portion of your death benefit early. It is something that I advise my clients to consider carefully before doing, as there are fees, interest charged on the amount forwarded, and possibly large tax consequences. What you might anticipate receiving may actually be much larger than the sum that you do.If you would like more information, please feel free to contact me. Thanks for asking!

Answer on How Much Is A Home Insurance A Month? by Jim Winkler

Jim Winkler — Fri, 25 Apr 2014 00:16:04 +0000

Great question! Unfortunately, not so great an answer. I hesitate to even give you a range of prices to expect, because so many things can have a bearing on the cost. First and foremost, where the home is located, flood history, when the home was built, how well it has been maintained, and how easily it would be to save in the event there were a fire. Part of it will depend upon you - your credit history, claims history, amount of coverage desired - all will be factors in the price. I'd suggest that you shop around in your area, and get several quotes. If there is an agent that you feel comfortable with, have them help you. I'm sorry I couldn't give you a more specific answer, but I appreciate you asking!

Answer on How Does Deductible Work On Home Insurance? by Jim Winkler

Jim Winkler — Fri, 25 Apr 2014 00:08:45 +0000

Great question! The deductible on your homeowners works exactly the same way that it does on your health or auto insurance policies. Whatever amount the deductible is, that amount you are accountable for first. Often people will opt for a higher deductible to keep the monthly cost low, and as long as they have a savings fund to cover the higher amount, or are blessed to not have to file a claim, that is a great strategy. On the flip side, if that isn't the case, and a claim is filed, that higher deductible can be a real problem. It is very important to find a level where the deductible is affordable, as well as the policy. Thanks for asking!

Answer on How To Get Homeowners Insurance With Bad Credit? by Jim Winkler

Jim Winkler — Fri, 25 Apr 2014 00:00:19 +0000

Great question! It isn't a secret anymore that insurance companies base a part of their rates upon your credit history and rating. That said, most of them will still give you a policy, but it will get progressively more expensive the worse your credit is. The bright side? Often we think our credit is worse than it really is, and that businesses don't see us as badly as we see ourselves. My advice is to shop around, and find an independent agent who can help you find a policy that is affordable, and fits your needs. Good luck! Thanks for asking!

Answer on Does Obama Want To Take Away Medicare? by Jim Winkler

Jim Winkler — Thu, 24 Apr 2014 23:44:23 +0000

Great question! I think it is safe to say you would not hear ANY politician go public with his or her desire to remove medicare ( Unless you are supported by the Koch brothers, they have made some statements towards the removal of all government assistance programs in which case their money might trump the fear of not being elected). Politics aside ( and I'm not taking one) just simple mathematics doom our medicare program as it stands. Without a change in spending or an increase in revenue, our current program goes belly up in 2023. Social Security follows about 10 years later. We have approximately 10,000 Seniors turning 65 every day, and most are not prepared to deal with the costs of long term medical care, and are reliant on the Medicare/Medicaid programs. With a shrinking workforce and an increasing user base, something has to give. For a really good explanation of the situation, Google Professor Michael Granof's (Economics Prof. at the University of Texas) lecture "American's- living rich, retiring poor". Pretty sobering stuff. If there is anything I can do to help, feel free to contact me. Thanks for asking!

Answer on Why Are Homeowners Insurance Rates Going Up? by Jim Winkler

Jim Winkler — Thu, 24 Apr 2014 23:28:23 +0000

Great question! Insurance rates go up for several reasons. The main one is due to the payouts they've had to make - years like these past few with several violently destructive tornado's and Hurricanes cause huge payouts on claims. The more they pay out, the more they need to take in. Other, more common reasons are the same rising costs of living that we face - it's more expensive for gas, supplies, wages, etc., so the prices go up to compensate. Thanks for asking!

Answer on At What Age Does Term Life Insurance Expire? by Jim Winkler

Jim Winkler — Thu, 24 Apr 2014 23:17:09 +0000

Great question! Your policy will expire after the number of years the policy states as the term. Most are written for a term period of between 5 and 30 years, and end when that term is up. Some policies, like those offered on TV and like the ones you receive in the mail, will end when you turn 80. Those policies will also typically increase in price every few years. Take a look at your policy, it will very clearly state in the first few pages the expiration date of your policy. You can renew the policy so that it extends, but be aware that the price of it will go up dramatically. If you need help, please feel free to contact me, I'm happy to help. Thanks for asking!

Answer on Insurance Totaled My Car Can I Keep It? by Jim Winkler

Jim Winkler — Thu, 24 Apr 2014 23:11:16 +0000

Great question! Like David said, you can agree to keep the car, I did once, as the insurance companies idea of totaled didn't match mine. I had the car repaired for less than what they had paid me in the settlement, and I drove it for many years afterwards. That said, I'm not sure that today's cars are built as sturdily as they were in "the good old days" of my youth. Thanks for asking!

Answer on How To File A Renters Insurance Claim With State Farm? by Jim Winkler

Jim Winkler — Thu, 24 Apr 2014 22:56:52 +0000

Great question! The first thing to do is contact your agent. The agent will give you a claims form, and if needed, inspect or arrange to have inspected, the damage. If your claim is for theft, be sure to have a copy of any police reports or other documentation available for him/her. It's a simple process, and hopefully will go well for you. Thanks for asking!

Answer on How To Get Discounts On Car Insurance? by Jim Winkler

Jim Winkler — Thu, 24 Apr 2014 22:53:19 +0000

Great question! There are a couple of great ways to get discounts. Having a clean driving record will get you discounts with some companies, better yet, it helps keep your rates lower! You can also consider adding another car to the policy, or bundling other policies (renters/homeowners, etc) as many companies will give discounts for that also. Feel free to contact me if you need more information. Thanks for asking!

Answer on What Is A Chargeable Event Gain From A Life Insurance Policy? by Jim Winkler

Jim Winkler — Thu, 24 Apr 2014 16:12:39 +0000

Great question! Life insurance is designed to provide tax free money to survivors, or in some cases, to provide tax free income through loans taken from the cash value of the policy. If you have a policy that lapses, and has a sizable cash value that you claim, then that money is considered a gain, and is taxable. Managing to borrow more than you've paid in has the same effect. I'd strongly advise that you consult with your agent, financial adviser, or tax attorney to do what you can to prevent this from happening. Thanks for asking!

Answer on Can You Lie On A Health Insurance Application? by Jim Winkler

Jim Winkler — Thu, 24 Apr 2014 16:06:05 +0000

Great question! You can, but it certainly isn't wise to do so. All that will get you is a policy that is rejected, and leave you where you started. I guess the better question is why would you want to? The ACA allows for pre-existing conditions, so that should not be a reason any longer to try to mislead an insurer. Nothing is so bad that you need to lie about it. If you need help, please contact an agent, we are happy to help. Thanks for asking!

Answer on Does Health Insurance Cover Wisdom Tooth Removal? by Jim Winkler

Jim Winkler — Thu, 24 Apr 2014 16:01:08 +0000

Great question! The answer, probably not so much. Hopefully you have a dental coverage included, if you have the policy through your employer as most of the expenses will be billed as dental, and not health. If you have dental , you should be ok. If you don't, some portion of the cost can be covered by your health insurance, but I would expect that most won't be. If that is the case, ask your dentist and oral surgeon if you can set up payment plans with them, so that the work is affordable. If you would like more help, please feel free to contact me, I'm happy to help. Thanks for asking!

Answer on Does Health Insurance Cover Having A Baby? by Jim Winkler

Jim Winkler — Thu, 24 Apr 2014 15:49:40 +0000

Congratulations! Great question! You should check with your insurance company if you got the policy through your workplace just to be 100% certain, but most all policies will cover most, if not all of your maternity claims. The Marketplace policies, if you purchased one there are required to, another benefit provided by the ACA. If you need any help, (except babysitting) please feel free to contact me. Again, Congratulations, and thanks for asking!

Answer on How Does Adverse Selection Affect The Market For Health Insurance? by Jim Winkler

Jim Winkler — Thu, 24 Apr 2014 15:43:59 +0000

Great question! Think of it like this. You buy the first house in a neighborhood. If each neighbor is well behaved and keeps up their homes, your happiness level is good! But if the neighbors are unruly, leave the homes and yards dirty and unkempt, and have regular visits from the police, your happiness level declines. Adverse selection works the same way. If more unhealthy people buy insurance the happiness level of the service providers and insurers goes way down, and costs go way up. If more healthy people buy, than insurers and providers are happy, and costs go down. (theoretically). If you would like more information, please contact me, I'm happy to help. Thanks for asking!

Answer on Can I Pay AAA Auto Insurance With Credit Card? by Jim Winkler

Jim Winkler — Thu, 24 Apr 2014 14:01:49 +0000

Great question! I'd ask you -why would you want to? Unless you are paying off your credit card balances promptly every month ( not many people do, unfortunately) all you are doing is increasing the cost of your payment . If your payment is $100, and the interest on your card is 18%, you effectively just paid $118 for the payment. Add to that the extra $18 next month, and so on until your balance is paid....Please think twice about using your credit for small things. More often than not credit harms more than it helps. If you need help, please contact me. I'm happy to help.Thanks for asking!

Answer on When Should I Cancel My Term Life Insurance? by Jim Winkler

Jim Winkler — Thu, 24 Apr 2014 13:55:30 +0000

Great question! The easy answer? When you have a better coverage, or have filled your need. For example - you took out the term policy to cover a child's college expenses. They finish a year early, and you no longer have that expense to worry about. Cancel it, and be thankful it served its purpose. Or you find a whole life policy that better fits your long term needs, and will provide cash and coverage regardless of future health issues. Hope that helps, if you have questions, please feel free to contact me. Thanks for asking!

Answer on Is It Illegal To Not Have Renters Insurance? by Jim Winkler

Jim Winkler — Wed, 23 Apr 2014 22:29:14 +0000

Great question! Unlike auto and health insurances, there are no laws requiring you to carry this insurance. That said, if you have stuff that you will keep in a building that someone else owns, (who isn't going to replace it for you should something bad happen to it) That is reason enough to have it. Your belongings are not covered under the apartment complex's policy, and there are many people who learn that the hard way. Please consider getting a policy, they are relatively inexpensive, and can make a huge difference in your life if you ever need it. If you need help, please feel free to contact me, I'm happy to help. Thanks for asking!

Answer on Will Private Health Insurance Cover Pre Existing Conditions? by Jim Winkler

Jim Winkler — Wed, 23 Apr 2014 22:21:18 +0000

Great question! One of the biggest changes from the Affordable Care Act was the shelving of the "pre-existing condition" exception that health insurers used to deny coverage. They are no longer allowed to deny you coverage. That doesn't mean that all plans cover all things equally though, so I would recommend that you find a good agent to help walk you through the process to find a policy that is a good fit for you. A bonus? The Act also eliminated lifetime caps on benefits. If you need help, please feel free to contact me, I'm happy to help. Thanks for asking!

Answer on How Soon Does Life Insurance Payout? by Jim Winkler

Jim Winkler — Wed, 23 Apr 2014 22:13:25 +0000

Great question! Insurance companies are required to make quick payments after the claim is filed. That said, they will need the claim filled out and sent in by you, and the death certificate received also, so it is best to get those in as quickly as possible. If there is a question about the circumstances or cause of death, the company may require more time as the death is investigated. In most cases, you will see the funds from a normal death within a couple of weeks. Thanks for asking!

Answer on Will A DUI Affect My Car Insurance? by Jim Winkler

Jim Winkler — Wed, 23 Apr 2014 22:06:48 +0000

Great question! I hope sincerely that you never have to find out. The answer in almost every case is yes. Driving under the influence increases your risk for an accident exponentially and you know that as your risk increases, so does your premium. Some companies will cancel your policy, and getting another policy will be difficult. Thanks for asking!

Answer on How Much Home Contents Insurance Do I Need? by Jim Winkler

Jim Winkler — Wed, 23 Apr 2014 15:12:11 +0000

Great Question! The contents coverage should be enough to roughly pay for the estimated cost of the bulk of your belongings. Take roughly what it would cost to replace your things (and I highly recommend that you ask for "replacement value" in your policy versus "actual cost" as it can make a huge difference for you) and look for that amount of coverage. Some companies will have guidelines and limits, and some things - artwork, jewelry, collectibles, etc. may need riders or separate policies. Your agent should be able to walk you through this. If you need help, please feel free to contact me. Thanks for asking!

Answer on Does Renters Insurance Cover A Stolen Laptop? by Jim Winkler

Jim Winkler — Wed, 23 Apr 2014 15:05:49 +0000

Great question! The answer depends upon a couple of things - your policies coverage, and where the laptop was when it was stolen. If it was taken from your apartment, then it generally will be. If it was in your car, parked in the apartment parking lot, there's a good chance that you can get it replaced. If it was stolen at school, or you left it on a bus somewhere, that might be a whole lot harder to get back. I'd advise you to contact your agent and tell them the story, and see what exactly your policy covers. Good luck! Thanks for asking!

Answer on What Tests Are Run For Life Insurance? by Jim Winkler

Jim Winkler — Wed, 23 Apr 2014 15:00:13 +0000

Great question! The tests are dependent upon the company, and the amount of insurance that you are wanting, usually. For most smaller policies (think $50,000 and below) the usual process is answering the health questions on the application, maybe a short phone interview, and the company checking on your medical history ( the MIB authorization that you okay'd) and their checking your prescription records. Based upon what they find, they can issue the policy as is, modify or rate the policy ( add a period where your benefit is reduced to premiums paid plus interest, and charge a higher premium to cover for the increased health risk), ask for additional records or tests, or deny your coverage. There are policies out there that do not ask any health questions at all, but all are a graded product (reduced benefit for the grade period) and generally more expensive than a regular policy. If you would like more help, please feel free to contact me, I'm happy to help. Thanks for asking!

Answer on How To Start A Life Insurance Company? by Jim Winkler

Jim Winkler — Wed, 23 Apr 2014 14:50:53 +0000

Great question - In addition to the things that Jason mentioned, I'd add a TON of financial experience and degrees and certifications, a TON of really good legal advice and lawyers, and a TON of financial backers. The law requires that you have in cash reserves enough to pay out the total amount of what you promise to pay out. Good luck! Thanks for asking!

Answer on What To Do When In A Car Accident With No Insurance? by Jim Winkler

Jim Winkler — Wed, 23 Apr 2014 14:44:30 +0000

Great question! I'm sorry that you have to ask. If you are the uninsured motorist, you may want to get a lawyer to help you with the impending trouble that you will certainly face. The other motorist will certainly want to have their car repaired, and at the minimum you will be obligated for that. If there were injuries, it will get bad really fast. If you were hit by the uninsured driver, your insurance company will pursue that payment for you. Either way, you will appreciate the value of having the insurance. If you need any further help, please feel free to contact me. Thanks for asking!

Answer on What Could Easily Get You Dropped From Your Auto Insurance? by Jim Winkler

Jim Winkler — Wed, 23 Apr 2014 14:37:38 +0000

Great question! The easiest ways are to falsify your application or claim; stop paying it; Start having multiple accidents, dui's etc. I can't say any of these are really good things to do, and I would ask why you would want to get dropped. Doing so typically has bad results for you on subsequent attempts to get insured, and driving without insurance is even worse. If you want out of your contract, just call them, and tell them you'd like to cancel the policy.Thanks for asking!

Answer on Will Your Car Insurance Rates Rise After Claim? by Jim Winkler

Jim Winkler — Wed, 23 Apr 2014 14:32:27 +0000

Great question! Depending upon the company you are using, the unfortunate answer is usually yes. Some companies however offer "accident forgiveness" benefits for people who have not made a claim previously, so I would advise that you check with your agent first, before filing, and see if that is available for you. Another thing to think about is the cost of the repair itself - will it be equal to or less than your deductible? If so, you will pay that much anyway, it may not make sense to make the claim, and risk the increase in your premium...If you need any help, please feel free to contact me. Thanks for asking!

Answer on Will Employers Drop Health Insurance? by Jim Winkler

Jim Winkler — Wed, 23 Apr 2014 03:22:07 +0000

Great question! Unfortunately , the answer is that it will depend. Your employer probably knows that dropping insurance from your benefit package might be enough to cause the employees to look for other jobs. That hurts the business. On the other hand, that doesn't mean he won't shift more of the cost to the employees, and you see your rates go up. I really think that until the fallout settles from the Affordable Care Act, and insurers start realizing where their profit/loss numbers fall, the whole thing will be a toss-up. That may well be a couple of years. Until then, it's anybody's guess. If there is anything that I can do for you, please feel free to contact me, I'm happy to help. Thanks for asking!

Answer on Can The IRS Seize Life Insurance Benefits? by Jim Winkler

Jim Winkler — Wed, 23 Apr 2014 03:14:17 +0000

Great question! The death benefit is safe, in nearly all cases, but if you are being pursued by the IRS for some reason, it would be my bet that while they may not be able to seize your money from the payment, they will probably seize whatever asset you put it in. Meaning if you buy a car with the money, and they are busy trying to get money you owe them, I'd expect to see your car disappear eventually. (probably sooner than later) Good luck! Thanks for asking!

Answer on Who To Buy Renters Insurance From? by Jim Winkler

Jim Winkler — Wed, 23 Apr 2014 03:06:31 +0000

Great question! Almost all major insurance companies offer some form of renters insurance, so there are plenty of policies to choose from. I'd recommend that you find an independent agent to help you find the best policy for you. A tip? Ask for "replacement value" versus "actual cost" when you look. You will appreciate the difference if you ever need to file a claim. Anything else that I can help you with, please feel free to contact me, I'm happy to help. Thanks for asking!

Answer on At What Age Does Life Insurance Stop? by Jim Winkler

Jim Winkler — Wed, 23 Apr 2014 03:00:16 +0000

Great question! The answer depends on your policy. If your policy is a term policy, it is the end of the stated term ( and please be careful- many people buy life insurance from the TV ads they watch, and are so dazzled by the $19 a month graphic that they miss the "term to age 80" part. If you buy that insurance, and live to be a day over 80, you are going to have problems...). You can renew those policies after they end, but they will become very expensive very quickly. A Whole life policy will last as long as you do, they are going to cover you as long as you keep the policy in force. Other policies, like Universal life, will have a guaranteed period, and as long as they are well funded, will last as long as you keep it in force. If you have more questions, feel free to contact me, I'm happy to help. Thanks for asking!

Answer on Why Is Health Insurance Linked To Employment? by Jim Winkler

Jim Winkler — Wed, 23 Apr 2014 02:52:56 +0000

Great question! Employers offer health insurance as a benefit because it is a way to attract and keep good employees. That is why there are benefit packages, paid vacations, and 401ks. If all they had to offer was wages, people would move from job to job even more than they do already. A good insurance and benefit plan can be a great incentive to stay. The companies buy a policy for the employees,they own it, and often pay a significant part of the employees' costs. That is why when you leave a job, the insurance does not go with you - you don't own it, like you would if you had purchased the policy on your own. Any more questions, feel free to contact me, I'm happy to answer! Thanks for asking!

Answer on What Year Will Medicare Run Out? by Jim Winkler

Jim Winkler — Wed, 23 Apr 2014 02:46:16 +0000

Great question! I just listened to a lecture the other day given by an economics Professor Michael Granof at the University of Texas (Americans living rich retiring poor ) who stated that without a change in funding, Medicare goes under in 2023. Social security goes belly up about 10 years later. The Generation x folks and the tail end baby boomers will be the first generation to pay into Social Security more than they will take out. I cannot emphasize enough the importance of saving early, having long term care and life insurances, and having a good financial plan. If you have questions about your retirement plan, please feel free to contact me, I'm happy to help. Thanks for asking!

Answer on What Kind Of Health Insurance Do The Duggars Have? by Jim Winkler

Jim Winkler — Tue, 22 Apr 2014 14:59:35 +0000

Great question! As Jason mentioned, unless they were to tell you yourself what policy they had, it would be virtually impossible for you to find out. The Patriot Act made protecting your privacy a big deal. I can tell you this about their policy though - It's probably very expensive! Thanks for asking!

Answer on Will Insurance Cover If My Car Is Broken Into? by Jim Winkler

Jim Winkler — Tue, 22 Apr 2014 14:51:39 +0000

Great question! The damage should be covered, but if it costs less to fix it than your deductible is, you may be better off not filing a claim. For example, let's say the damage to repair your window is $200. Your deductible is $500. Your insurance is only going to pay anything over the $500 mark, so you will end up paying for the window regardless. It may not make sense to file a claim, pay for the window yourself, and then watch your rate go up. If you have renters insurance, and the car was in your apartment parking lot, there may be coverage there, depending upon the terms of your renters insurance. If you did not file a police report, I'd recommend that you do, it will help you if you ever need documentation of damage and help collect on your claim. If you need help, feel free to contact me. Thanks for asking!

Answer on Where Can I Get 1 Months Car Insurance? by Jim Winkler

Jim Winkler — Tue, 22 Apr 2014 03:44:04 +0000

That's an interesting question! I am not aware of any company that would write you a one month policy. The minimum period is typically 6 months, and the majority of policies are annual. I guess the better question would be why only one month? You will need a really good answer, because every agent is going to ask you. Thanks for asking!

Answer on Where To Purchase Life Insurance? by Jim Winkler

Jim Winkler — Tue, 22 Apr 2014 03:35:08 +0000

Great question! There are many, many companies that offer life insurance policies. What you want to look for is a company that is well rated, (AM Best, Standard & Poors for example are companies that rate insurance companies on their financial stability), has been around a while, and is well respected. I recommend that you find a local independent agent ( one who is not tied to a specific brand, and so can write for several companies) who can help you find the company that offers the product that is the best fit for you. There are several kinds of policies, and uses for them, so having someone that you can trust to walk you through the process is a huge help. If you would like to contact me, I'd be happy to help you with some more specific to your needs information. I'd be glad to help. Thanks for asking!

Answer on What Does It Mean To Assign Life Insurance? by Jim Winkler

Jim Winkler — Mon, 21 Apr 2014 18:27:11 +0000

Great question! An "assignment" allows you to promise over the benefits of your policy. there are a couple of reasons why you might want to do this. Most commonly, you've purchased to policy for a child who now is well enough off to be able to care for themselves and can assume responsibility for the policy and its payments. You would assign the ownership of the policy to them, and at that point they take over the payments, and you relinquish any rights to the policy, beneficiary choice, etc. Another popular reason is to ensure that your funeral arrangements are what you wish for them to be. You can go to some funeral homes, and " prepay"for your service and the things needed for your burial. You will need to take your beneficiary along, as they will need to sign also, but when the time comes, the funeral home is paid out of the policy, and there are no unpleasant "hat passing" problems. If you would like more information, please contact me, I'm happy to help. Thanks for asking!

Answer on What Certification Do I Need To Sell Life Insurance? by Jim Winkler

Jim Winkler — Mon, 21 Apr 2014 18:19:05 +0000

Great question! To sell insurance, you will need a license from your state's department of insurance, and product training. Are you looking at joining a particular company? Many of them will help you in finding an exam study course to help you with the licensing exam, fingerprinting, etc. It can be very pricy at the beginning to cover the fees for the steps involved in your licensing, so be prepared. Before you can sell some products, you will have to complete the company's training courses. Each state that you would like to sell in will require a license also. If you would like more information, please contact me, I'd be happy to help. Thanks for asking!

Answer on What Happens At The End Of A Term Life Insurance Policy? by Jim Winkler

Jim Winkler — Mon, 21 Apr 2014 18:08:02 +0000

Great question! When your policy gets to its end, you have a couple of results to choose from. It ends, coverage stops, and you walk away no strings. If your term policy allows,you can see about converting the policy into either paid up insurance ( for whatever much smaller amount of insurance your premiums would have purchased), or converting to a whole life policy at whatever rate that would be. Or, you can bite the bullet, and if it is renewable, extend the term, but be expecting a huge rate increase. In any case, you want to have some kind of coverage for your protection. If you would like more information, please feel free to contact me, I'm happy to help. Thanks for asking!

Answer on How Long Does It Take To Claim A Life Insurance Policy? by Jim Winkler

Jim Winkler — Mon, 21 Apr 2014 17:55:00 +0000

Great question! Insurance companies are required to pay out quickly after all required paperwork is filed. The payment can be quick, in the case of promptly sent death certificates, and claim forms. If the forms are delayed in sending, or doctors records are needed, etc. the payment may take a while longer. There are some companies that are quicker than others at paying out claims, because their administrative processes are better. Ideally you should have a payment within a few weeks of determination. If you need more information, please feel free to contact me. Thanks for asking!

Answer on My Partner Had A Wreck In My Car & the officer was inappropriate on top of things. by Jim Winkler

Jim Winkler — Mon, 21 Apr 2014 14:16:47 +0000

I am very sorry to hear about your partners rough morning! I am glad that she and her passengers are ok. Unfortunately, I'm sure that you have a pretty good idea of what the worst case scenario will be - she is an at fault motorist involved in an accident, she is not an insured in your car, your insurance company refuses to pay, and you are stuck with the repair bill, and she gets a ticket. It may work out that if you go to court, and she is able to prove that the other driver was at fault, that you may be able to file a claim against them, and maybe recoup some of your losses. Your best bet is to contact your agent, explain what happened, and ask for their advice on how to proceed. Good luck! If there is any way that I can help, please feel free to contact me. Thanks for asking!

Answer on Will Getting Married Lower My Car Insurance? by Jim Winkler

Jim Winkler — Mon, 21 Apr 2014 14:06:33 +0000

Great question! In many cases the answer is yes! By adding a second car, and perhaps consolidating policies under one roof, you can often get substantial discounts. The other side of that coin is that if your spouse has a less than desirable driving record, or a colorful history, you may not see a decline in prices.A checkered past and poor credit history can affect one's rates. I'd suggest that you compare rates between what you have now, and look to see what company is best for you. Call them and get a quote, and see what other policies you carry (renter's, home owners, etc.) that you might want to combine/drop also. If you have further questions, please feel free to contact me, I'm happy to help. Thanks for asking!

Answer on How Are Auto Insurance Premiums Calculated? by Jim Winkler

Jim Winkler — Mon, 21 Apr 2014 13:59:05 +0000

Great question! Insurance companies use a great number of variables in determining your rate. The make, model and year of your car, for example. A new Porsche will cost more to insure than a 2005 Escort, for example. Where you live, the rate of uninsured motorists,and the auto theft rate are also factors they consider. Your credit rating can also be a factor, by the way. Then you get into the profitability of the company and their fees. And then to the coverage that you desire, your driving record, and your age. All of those factors help determine the rate that you will pay. If you shop around, you will find there can be big differences in those rates. If you need more information, please feel free to contact me, I'm happy to help! thanks for asking!

Answer on Can You Get Life Insurance If You Are An Alcoholic? by Jim Winkler

Jim Winkler — Mon, 21 Apr 2014 13:41:21 +0000

Great question! The one thing that we really need to know about life is that our actions always seem to have consequences that we are never aware of...Alcoholism is one of those, as I'm sure you have learned. If you are working on your sobriety, awesome! My prayers and support are with you. If you have been sober for a while, and have not had any major health issues as a result of the disease, you can purchase a good insurance policy. If there have been issues as a result of your drinking, there are still policies that you can get, however they will typically be more expensive ( called graded, modified, or guaranteed issue policies) and they will have a period of time where your payout is limited to what you paid in, plus some interest. I hope that helps, if not, please feel free to contact me. Thanks for asking!

Answer on When Do Insurance Companies Total A Car? by Jim Winkler

Jim Winkler — Mon, 21 Apr 2014 13:33:11 +0000

Great question! Th insurance company will typically total the car when the cost of repairing it is close to, or exceeds the value of the car. Remember that the value is determined by it's "blue book " value or estimated value after depreciation, and not what you paid for it. I hope that helps! If you need more information, feel free to contact me, I'm happy to help. Thanks for asking!

Answer on How Much Does Life Insurance Payout? by Jim Winkler

Jim Winkler — Mon, 21 Apr 2014 13:28:16 +0000

Great question! Let's say you bought a $10,000 life insurance policy .The amount of the insurance policy that you purchased has a "face value" or "death benefit" of $10,000. Assuming that you had made up to date payments, and never borrowed from the policy, your beneficiary should receive a check for $10,000 after all the paperwork has been filed. If you had borrowed $500, let's say, and the interest on it was $100, then your check would be for $9,400. If you have more questions, please feel free to contact me, I'm happy to help! Thanks for asking!

Answer on Does My Health Insurance Cover Me In Another State? by Jim Winkler

Jim Winkler — Mon, 21 Apr 2014 13:20:06 +0000

Great question! The plan you have should cover you wherever you are. If you are travelling, be sure to take your insurance card with you, to ease any problems that may occur. If you are moving, when it becomes time to renew, you may find that your rates may change, based on your new location, so be aware. If you have more questions, feel free to contact me, I'm happy to help. Thanks for asking!

Answer on What Is An Average Cost For Renters Insurance? by Jim Winkler

Jim Winkler — Mon, 21 Apr 2014 13:15:42 +0000

Great question! The cost of your policy can vary based on a lot of things. The size and age of the apartment complex, what the crime rates are around it, and where it is located (City/state/zip code) as well as the size of your family and the estimated cost of your belongings. I'd recommend going online for price comparisons, or contacting an agent who can help you find a policy for you. I'd be happy to help if you need, feel free to contact me. Thanks for asking!

Answer on Why Would I Be Declined For Life Insurance? by Jim Winkler

Jim Winkler — Mon, 21 Apr 2014 01:01:42 +0000

Great question! There are many reasons why you might be declined. The most common reasons that someone will be declined will have to do with their health conditions. Being overweight, having had a recent medical issue (for example, you have a heart attack, become scared, and apply for a policy which is then declined), being HIV positive, or are currently waiting for test results or a scheduled surgery - these can all lead to a decline result. So can sending in applications to several companies in a short period of time. They will assume that you have a dire emergency, and will often decline you. If you would like to discuss your specific case, please feel free to contact me, I'd be happy to help. Thanks for asking!

Answer on How To Find Out Who Has Life Insurance On You? by Jim Winkler

Jim Winkler — Mon, 21 Apr 2014 00:45:42 +0000

Great question! The only way someone can take out a policy on you is if they have what is called an "insurable interest". That means, they will have to suffer a loss, if you were to pass. A stranger, or someone that you just met could not, as there is no loss for them if you were to pass. If you do not remember signing off on an application for the insurance, the only way there could be a policy for you is if it was written while you were a young child. It would have to have been written by a close family member, (parents or grandparents in most cases) and you should be able to find out if you were to ask them. There are places that you can pay a fee to, and they will look for you, should no one be able to answer your questions. I hope that helps you, if you have more questions, please contact me, I'm happy to help. Thanks for asking!

Answer on Why Do Life Insurance Rates Vary? by Jim Winkler

Jim Winkler — Mon, 21 Apr 2014 00:36:26 +0000

Great question! There are a lot of reasons why the rates vary. Some of the biggest are your age, your health, and whether or not you smoke. Someone who is older, smokes a pack a day, and has high blood pressure and diabetes will pay a higher rate than the same person who doesn't smoke. Someone younger and healthier will pay much less than these older folks will. Different companies will charge more or less than another as a result of their profit margins and financial needs. Different types of policies cost differently also. I'd recommend that you look for an agent that will help you find a policy that fits your needs and budget. If you have more questions, please contact me, I'm happy to help. Thanks for asking!

Answer on What Does A Paid Up Life Insurance Policy Mean? by Jim Winkler

Jim Winkler — Mon, 21 Apr 2014 00:26:32 +0000

Great question! Paid up means exactly what it sounds like. You don't have to make any more payments on it. That is an excellent position to be in, because you now have your policy, and can use the money that you had been paying for the policy on something else.If you have any more questions, please feel free to contact me, I'm happy to help. Thanks for asking!

Answer on Why Take Out Life Insurance? by Jim Winkler

Jim Winkler — Mon, 21 Apr 2014 00:22:37 +0000

Great question! Life insurance is a way to ensure that you can have funds available to cover your funeral expenses, to provide an income for loved ones, or to leave an inheritance to those you love. In some cases, it can also be a way to provide cash for later in life, or for emergencies. If you would like help finding one, or answering more questions, please contact me, I'm happy to help. Thanks for asking!

Answer on Can I Purchase Life Insurance A Few Months Before My Heart Surgery? by Jim Winkler

Jim Winkler — Mon, 21 Apr 2014 00:06:38 +0000

That's a great question! First of all, let me offer my hopes and prayers for your health and recovery. You are in a situation that really highlights the benefits of purchasing life insurance before the need, and how easy it is to fall between the cracks. If you are over 40, you can purchase what is called a "guaranteed issue policy". They are a little more expensive usually than other policies, but ask few if any health questions. The downside to them, other than higher cost, is that they all have a period called a "grade" where the payout should you pass is just what you'd paid in, plus some interest. My advice would be to find an agent to help you find one that will have the shortest grade and the highest interest, to best protect yourself. If I can help in any way, please contact me. Again, best of luck, and prayers for you. Thanks for asking!

Answer on Roughly How Much Is Homeowners Insurance? by Jim Winkler

Jim Winkler — Sat, 19 Apr 2014 17:42:47 +0000

That is a great question! Unfortunately, the answer will depend on many things. The size and current value of your home, for example. Whether it has a basement, or is on a slab. The amount of value in the belongings that you will need insured. The location of the home, and the trends for houses in the neighborhood. These are a few of the items that will go into determining your cost. The average here in Houston may not be even close to the cost in your town, so it is hard to give you a solid number. If I can help you in any way, I will try, feel free to contact me. Thanks for asking!

Answer on What Life Insurance Should I Get? by Jim Winkler

Jim Winkler — Sat, 19 Apr 2014 17:37:18 +0000

Great question! The short answer is the one that fits the following criteria: Solves my need, is affordable, and covers the time frame I'll need it for. A term policy may be better for some needs than a whole life policy may be. They are typically much cheaper, but don't cover as long as a whole life policy would. I would recommend that you find an agent that will take the time to sit down with you, and walk you through the process and help you find what is right for you. If you need help, feel free to contact me, I'm happy to help you. Thanks for asking!

Answer on What Is The Average Salary Of A Life Insurance Agent? by Jim Winkler

Jim Winkler — Sat, 19 Apr 2014 17:28:31 +0000

That's a great question! An insurance agent most often works off of a payment that is made to them when they sell a policy or product for the company - called a commission. These commissions can be fairly sizable, or very small, depending upon the sale. Therefore, in most cases, the earnings of the insurance agent depend entirely upon their ability to sell, and the product commission that is paid upon the sale. I believe the vast majority of agents will tailor the right product to the needs of the client, but there will unfortunately always be a few that are more interested in commission than client. You are always wise to have an idea of what it is that you want, and if you feel pressured, to ask for time to think it over. Follow your instincts. If you were considering a career as an agent, be aware that the start up period can be really lean until you've gotten your client base built, and you may need to have another source of income, especially if you were accustomed to a steady paycheck. Once you get rolling, if you are motivated, honest, and good with your clients, you can make a very comfortable living. Anything I can do to help, I'm happy to - feel free to contact me. Thanks for asking!

Answer on Is My Bike Covered By Renters Insurance? by Jim Winkler

Jim Winkler — Sat, 19 Apr 2014 17:14:54 +0000

Great question! Was your bike listed among your belongings when you took out the policy? You can check on your policy to see for certain if it is covered, or call your agent. If your bike was stolen from inside of your apartment, or was securely fastened on the complex, in most cases, it should be. If there is anything I can do to help, please feel free to contact me. Thanks for asking!

Answer on How Can You Cash In Life Insurance? by Jim Winkler

Jim Winkler — Sat, 19 Apr 2014 17:09:11 +0000

Great question! Assuming that you are wanting to take the cash value out of the whole life policy that you've had for awhile ( A term policy will not have any cash value at all for you to get) the process is fairly simple. First you want to contact the company, and ask for a surrender form. Once you have filled that out and sent it back in, they will send you a check. There may be a "surrender charge" taken out of the funds, and it can be substantial if your policy isn't very old. If I can help you in any way, please feel free to contact me. Thanks for asking!

Answer on Does Renters Insurance Cover Tornado Damage? by Jim Winkler

Jim Winkler — Sat, 19 Apr 2014 17:00:40 +0000

Great question! I sincerely hope that you aren't asking because you have had that happen to you. In most cases the damage should be covered, but you will want to ensure that it is by reading the exclusions , but again, it usually is covered. If I can help in any way, please contact me. Thanks for asking!

Answer on Why Carry Renter’s Insurance? by Jim Winkler

Jim Winkler — Sat, 19 Apr 2014 16:52:02 +0000

Great question! The purpose of renters insurance is to protect you, in the event that your belongings are damaged, destroyed, or stolen. Let's say your apartment catches on fire. The landlords insurance pays for the building your apartment is in, and your renters insurance pays for your things inside the apartment when it was destroyed. Without the renters insurance, you are at a loss to replace those things, as the landlords insurance won't. It is a good thing to have, especially if you do not have the money to start all over replacing everything that you had owned. If you have more questions, I'll be happy to help, feel free to contact me. Thanks for asking!

Answer on Does Car Insurance Go Up With A Ticket? by Jim Winkler

Jim Winkler — Sat, 19 Apr 2014 16:43:54 +0000

Great question! Insurance companies base their rates on how risky it is to insure you. A driver that has many tickets or has accidents is much riskier than one who is a safe driver, and very rarely has a claim, or an accident. One ticket shouldn't raise your rate, (depending upon your company) if it's a rarity, and not one of many. If you have more questions, please feel free to contact me, I'm happy to help. Thanks for asking!

Answer on Can You Go To Jail For No Auto Insurance? by Jim Winkler

Jim Winkler — Fri, 18 Apr 2014 13:51:53 +0000

Great question! The specific laws of your State and county will let you know for certain. I can tell you that should you be in an accident as an uninsured motorist, especially if there is an injury, it's a safe bet that you will see some amount of time in an orange jumpsuit. That will be in addition to fines and lawsuits. The bottom line? It is not worth it to drive uninsured. There are dirt cheap policies that are out there that may not provide the greatest coverage, but can save you from a whole lot of trouble. If you need more information, please contact me, I'm happy to help. Thanks for asking!

Answer on How Do I Find Renters Insurance? by Jim Winkler

Jim Winkler — Fri, 18 Apr 2014 13:46:37 +0000

Great question! Most insurance companies will carry some form of policy. The costs can vary, so shop around before deciding. Some factors in the cost are the size of you family, whether you smoke, the size and age of the apartment complex, and where the complex is. A tip? Ask for "replacement value" when you shop, you will be happy you did if you ever have to file a claim. If you would like more information, please contact me, I'm happy to help. Thanks for asking!

Answer on How Can Life Insurance Companies Make Money? by Jim Winkler

Jim Winkler — Fri, 18 Apr 2014 13:33:00 +0000

Great question! The very ,very simplified answer is this - they make money in some ways like a bank does. The money you pay in premiums acts like the money you would deposit. The bank invests it, and makes money off of yours. Insurance companies do the same thing. Both charge fees for their services; and will charge interest on money borrowed. Insurance companies can also make or lose money on the length of the lives of the policy holders - if you buy a policy, and pay on it for 3 years, and suddenly pass, the company will take a hit. But if you have a small policy, and pay on it for many, many years, they have plenty of time to invest and reinvest that money, and make a profit. I hope that helps, if you still have questions, contact me, I'd be happy to help. Thanks for asking!

Answer on Does Homeowners Insurance Cover Water Damage From Toilet? by Jim Winkler

Jim Winkler — Fri, 18 Apr 2014 13:20:00 +0000

Great question! The short answer is that it should, assuming that the damage wasn't caused by some form of negligence. The thing to consider though, is this - how much was the estimate for the repair of the damages? Would it be less than the cost you will incur if / when your premiums increase after filing a claim for that damage? For example - the estimate to repair is $200. You file a claim, and the company pays it, and then increases your premiums by $30, let's say. Your cost for insurance that year now is increased by $360 (30x12=360). It cost you $160 to get your $200 work done for you. It is the same situation with auto insurance and accident claims. Be careful, and contact your agent, or other homeowners, and get an idea of what the rate increases are. You may even find that they have a "forgiveness" type of clause where it won't raise the rate. Hope that helps! Thanks for asking!

Answer on Does Health Insurance Stop The Day You Quit Your Job? by Jim Winkler

Jim Winkler — Fri, 18 Apr 2014 13:09:52 +0000

Great question! The answer is no - you typically will have coverage for 30 days afterwards. You have the option to keep your coverage after that by enrolling in COBRA, (and your employer should provide you with those forms) but you should know that it can be very expensive - you pay both yours and the employers portions of the cost, plus 10% more. If you need more help, contact me, I'd be happy to help. Thanks for asking!

Answer on How Do You Buy Health Insurance In Illinois? by Jim Winkler

Jim Winkler — Fri, 18 Apr 2014 13:05:12 +0000

Great question! There are a couple of ways. Bear in mind that there is an annual open enrollment period once a year in the fall when you can sign up. The rest of the year, the enrollment is closed, unless you have a major life change, such as a change in employment, get dropped by previous coverage, get married or divorced, for example. When you shop, you can either enroll in your employers (or your spouses) plan; you can seek out a private company to purchase from, or you can go to healthcare.gov to shop. The benefit of the Government website is that you may qualify for a discount offered on that site. If you need help, please contact me, okay? Thanks for asking!

Answer on What Do Employers Pay For Health Insurance? by Jim Winkler

Jim Winkler — Fri, 18 Apr 2014 03:13:16 +0000

That is a great question! The rates paid by an employer will depend on a couple of things. The size of the workforce to be covered, the type of benefit plans to be offered, and the healthiness of the workers for example. A workplace where many claims are filed will pay more than one where few claims are filed, and a company that offers only a bare bones plan will pay less than one that offers several tiers or options in their plans. Regardless, they will pay a lot, Group plans can be expensive. If you have more questions, contact me, I'm happy to help. Thanks for asking!

Answer on When Does Life Insurance Start? by Jim Winkler

Jim Winkler — Fri, 18 Apr 2014 03:03:29 +0000

Great question! The simple answer is once it has passed through the underwriters and the policy is approved; your payment (which can be paid up to 30 days from the date the application is signed for some companies, btw) has been received and processed; and you have received and returned the "receipt of policy " notice that some companies will require. After those things have been accomplished, your policy will usually be in effect. Some States have rules that can affect when coverage begins also. The best thing to do is to call as soon as you see the first payment has cleared, and have them tell you the policy is active. I hope that helps, if you have more questions, contact me, I'm happy to help. Thanks for asking!

Answer on Is Whole Life Insurance Recommended? by Jim Winkler

Jim Winkler — Fri, 18 Apr 2014 02:55:14 +0000

Great question! The answer though depends on what you need the insurance to do. If you are looking for something only to cover for a short period of time, then perhaps a term policy would make more sense. If you are looking to create a tax free legacy for your children or spouse, cover for your eventual funeral expenses, or have a policy that you could borrow money from if you needed to, then yes, a whole life policy might be the way to go. If you would like more information on the different types of policies, please contact me, and I'll help you sort it out. Thanks for asking!

Answer on Does Landlord Insurance Replace Home Insurance? by Jim Winkler

Jim Winkler — Fri, 18 Apr 2014 02:48:52 +0000

Great question! You have asked about something that has been the heartbreak of many a renter. The answer is no, it does not. What the landlord's insurance will cover is what belongs to the landlord, not you. So if the home were to catch on fire, the landlords insurance would pay for the home. Your things that were inside the home do not belong to him, therefore the company would not pay you for them. Please look into a renters policy to protect your belongings. If you need help, please contact me, I'm glad to help. Thanks for asking!

Answer on Why Would My Homeowners Insurance Go Up? by Jim Winkler

Jim Winkler — Fri, 18 Apr 2014 02:33:03 +0000

Great question! There are a few reasons why it may have increased. Did you file a claim? That may sometimes have an effect on your rate. Did you have other policies (Auto, life, etc.) tied to that policy that you may have ended that cancelled a discount that you were receiving? It may be just that the company raised its rates because their profits were down, and they wanted to recoup them. I advise that you call them, and have them explain to you what the reason was. If you need more help, please contact me, I'd be happy to help. Thanks for asking!

Answer on Is Health Insurance Required? by Jim Winkler

Jim Winkler — Fri, 18 Apr 2014 02:28:18 +0000

Great question! With the passing of the Affordable Care Act, it is now required that Americans have some form of health insurance. It can either be through the healthcare.gov site, ( where you might also qualify for a rebate on the cost) through a private insurer, through a place of employment for you or your spouse, or through either the Medicare or Medicaid programs. There is a penalty for not enrolling in a plan, and it grows increasingly larger over time. There are limits for when you can enroll, and the next open enrollment period is not until next fall. There are some life events that will allow you to enroll before then, such as new employment, marriage, or the ending of a COBRA coverage. If you would like more information, please contact me, I'd be happy to help. Thanks for asking!

Answer on How To Get A Renters Insurance Policy? by Jim Winkler

Jim Winkler — Thu, 17 Apr 2014 15:37:46 +0000

Great question! Almost all of the major insurance companies will offer some form of a renters insurance policy. I'd advise you to shop around, and look for the one that is best for you. There are many different things that can influence the cost of the policy, from your age and number of people to be covered, to the zip code and age of the apartment complex, so it is wise to compare. One thing I'd recommend - ask for replacement value, vs. actual cost. It will probably make the policy a bit more expensive, but it can mean the difference between getting things replaced brand new to you having to pay a part for the same or lesser item.If you need any more help, please feel free to contact me. Thanks for asking!

Answer on Does Renters Insurance Cover Hotel Stay? by Jim Winkler

Jim Winkler — Thu, 17 Apr 2014 15:31:23 +0000

Great question! Many policies will cover hotel stays if the home is damaged to the point that it is uninhabitable. I would advise you to contact your agent to ensure that you are indeed covered, and the period or dollar amount that the coverage allows, as there will be limits. If I can help in any way, please contact me. Thanks for asking!

Answer on How Do I Know When My Car Insurance Is Due? by Jim Winkler

Jim Winkler — Thu, 17 Apr 2014 15:27:09 +0000

Great question! The company will generally send your renewal information and new insurance cards about a month before the policy renews, but if you've not received it, or misplaced it, they certainly will tell you if you contact them. If you need any further help, feel free to contact me, I'm happy to help. Thanks for asking!

Answer on How To Check If Someone Has Auto Insurance? by Jim Winkler

Jim Winkler — Thu, 17 Apr 2014 15:22:34 +0000

Great question! Unfortunately, finding out is difficult, due to the Patriot act, and the increased privacy protection laws. Unless you can demonstrate a really really good reason why a company would tell you who their clients are, you will not find out. If you were involved in an accident, you may be better served by having your insurance company do that footwork for you, they will have much better luck. If there is more you'd like to know, please contact me, I'd be happy to help. Thanks for asking!

Answer on How Much Should I Be Paying For Life Insurance? by Jim Winkler

Jim Winkler — Thu, 17 Apr 2014 15:17:02 +0000

Great question! Unfortunately the answer is filled with so many variables that it is impossible to give you a solid dollar amount. If you are attempting to budget an amount, or compare your current price, I'd suggest that you go to an independent agent ( An independent agent is one who can use several companies to choose from, not just one specific one) and walk through the process of comparing with them. I'd strongly recommend that as opposed to comparing based on mail, television or internet quotes, as they are generally pitched to promote their best rate and not the ones most people would actually qualify for. One other tip - do not apply for several policies with the hopes of finding out your price - that actually can have very bad consequences for you. Ask only, commit when you've found the one that best fits your needs. If you have any further questions, I'd be happy to help, feel free to contact me. Thanks for asking!

Answer on What Is The Difference Between Life Insurance And AD&D? by Jim Winkler

Jim Winkler — Thu, 17 Apr 2014 15:07:43 +0000

Great question! There are a couple of major differences. Perhaps most importantly is what they will pay out for. An AD&D policy will only pay if you pass due to an accidental death as defined by their definition of "accident". A sickness, or other health issue (heart attack, stroke) will not be considered an accident, so there would not be a payout for a claim . A Life Insurance policy would pay out for both causes of death, accidental or health related. A benefit of the AD&D policies is that if you are disabled as a result of an accident you can file a claim and be compensated for the injury, something a Life insurance policy won't. Many Life insurance policies include an accident rider that increases the death benefit if the death is by a covered accident, and nearly all will offer it as a rider. I would not advise that someone purchase an AD&D policy as their sole form of protection, as the vast majority of deaths are health related, but they can add some nice extra protection. If you have any questions, please feel free to contact me, I'd be glad to help. Thanks for asking!

Answer on How Much Does An Auto Insurance Agent Make? by Jim Winkler

Jim Winkler — Thu, 17 Apr 2014 14:55:11 +0000

Great question! The best answer I can give you is : that depends upon the agent. Most insurance agents are paid on commission, meaning they get paid based upon what they sell. The individual company may or may not provide some form of salary, or provide benefits, but the bulk of the agent's income will come from his or her efforts at getting the product sold. If the agent is not motivated to work hard , the income is lower than one who is more motivated. I think that is why some people look at insurance agents like they are "used car salesmen" ( no disrespect to used car salesmen intended) as some of them use the same high pressure tactics to make their sale. There are a great number of agents out there that do not act that way, and I am sure that you will find one. If I can help further, please contact me, I'll be happy to help. Thanks for asking!

Answer on What To Think About When Buying Life Insurance? by Jim Winkler

Jim Winkler — Thu, 17 Apr 2014 14:44:19 +0000

Great question! To make it really simple, think of four things: What do I want it to do? How long do I want it to last? How healthy am I? How much can I safely afford to spend? The answers to those four questions will give you a better idea of what to look for when shopping for your policy. For example: your answer to the first question is " I want it only to cover my funeral expenses". The answer to the second: " I'm 70, so until I need it." And the third: "I have some fairly serious health issues". and the fourth:"I only have a small amount I can spend". Now when you approach an agent you can better match a policy to what your needs are. Find a good agent that will help you find a policy that matches your need and budget. If you would like more information, please contact me, I'd be happy to help. Thanks for asking!

Answer on How To Buy Other Peoples Life Insurance Policies? by Jim Winkler

Jim Winkler — Thu, 17 Apr 2014 14:31:56 +0000

Great question! Let's start off first with a couple of important basics. You have to have what the insurance company calls "an insurable interest" in the person that you want the policy for. That means that if that person were to pass away, you would suffer some form of measurable loss. For example, if your spouse were to pass away, you would be left with less income, and more hardship. You can buy insurance for your spouse. The guy down the street that you see once in a while, you would suffer no loss from, so you would not be able to purchase a policy for him. You also need that person's cooperation and consent. They will be required to sign the application, and must be aware and understanding of what is happening, and in agreement. I would recommend that if you aren't familiar with the process, that you find a good agent and walk through the process completely first, as there are a lot of different products out there to choose from, and not all will be good fits for you. If you would like some help, I'd be happy to, just contact me. Thanks for asking!

Answer on Can The Government Force Us To Buy Health Insurance? by Jim Winkler

Jim Winkler — Thu, 17 Apr 2014 14:23:52 +0000

Great question! As an answer I'd say that I think every child at some point say's to their parent, "I don't want to, and you can't make me!". The end result is that while no one can make you do anything as a child, or as an adult, they can make it increasingly painful for you until you do as they asked. That is the case with health insurance. The Government can't make you buy it, but they can and will start penalizing you in increasing amounts until you do. There is a good reason for buying it, and another is this: Doctors are required to treat everyone, insurance or not. As a result, everyone that does not have insurance gets some form of treatment, and the rest of us get the bill, in the form of higher prices we pay when we need help. By having some of these people take responsibility for their own costs, in theory, it lowers costs for the rest of us. And if you have coverage available in your workplace, you can always enroll in it, and not the public marketplaces, though I would advise you to compare prices and coverages first. As to whether the politics of the health insurance law is right or wrong, that is a matter of personal opinion, and I'll leave it at that. If I can help in any way, please contact me. Thanks for asking!

Answer on Can You Surrender A Life Insurance Policy? by Jim Winkler

Jim Winkler — Wed, 16 Apr 2014 18:58:02 +0000

Great question! It is almost always better to surrender a policy instead of just stopping payments and allowing the policy to lapse. By surrendering it, you can retrieve all or most of the cash value in the policy. Be aware that term policies have no cash value, so there is nothing there to get back. Once you have surrendered the policy, you lose all coverage that the policy had provided, so be sure that your new policy is in force first, okay? Any questions, please contact me. Thanks for asking!

Answer on Can An 85 Year Old Get Life Insurance? by Jim Winkler

Jim Winkler — Wed, 16 Apr 2014 18:44:51 +0000

Great question! Yes, there are companies that will cover up to age 90, but the catch is that if there are health issues, that can make the policy unwritable, or very expensive. A guaranteed issue policy will be more lenient on health issues, but will have a period of time that you will have to outlive to receive the face value payout for. If I can answer more questions that you may have, please contact me, I'd be happy to help. Thanks for asking!

Answer on Can You Keep Life Insurance On An Ex Spouse? by Jim Winkler

Jim Winkler — Wed, 16 Apr 2014 18:34:03 +0000

Great question! The simple answer is as long as there is still an insurable risk of loss, than yes - the two of you have kids together, business interests, etc. If there are no ties, and you made a clean break, it might be a little tougher. Not knowing your situation, makes it tough to give you a specific answer. If you would like, contact me and I will try to give you a better answer. Thanks for asking!

Answer on Is AD&D The Same As Life Insurance? by Jim Winkler

Jim Winkler — Wed, 16 Apr 2014 18:29:34 +0000

Great question! And the answer is no! Many people believe that an AD&D policy is a cheap way to insure themselves if they were to pass, but these policies most often do not cover any form of death by illness, and often have strict definitions of what an accident is. For example, you are bitten by a spider, and the bite causes an allergic reaction that kills you. The bite certainly wasn't intentional on your part, but doesn't qualify as an accident in most cases in the eyes of the insurance company. There would be no payout in this case. The life insurance policy would have paid, however, as there are very few exemptions that would disqualify payment. I know that can seem confusing, but if you need more information, please contact me, and I'll help with whatever questions you have. Thanks for asking!

Answer on What Is A Term Life Insurance Policy? by Jim Winkler

Jim Winkler — Wed, 16 Apr 2014 18:21:58 +0000

Great question! A term policy is a low cost, policy that covers a defined period of time - your insurance at work is a one year term policy, for example, which is why you have to enroll each fall. The terms are typically 5,10,15,20,or 30 years, and usually the price is steady throughout the term period. Once your term ends, so does your coverage. This is the opposite of a "whole life" policy, which will last as long as you do. If you would like more information, please contact me, I'd be happy to help. Thanks for asking!

Answer on How Much Can You Borrow Against Life Insurance? by Jim Winkler

Jim Winkler — Wed, 16 Apr 2014 18:15:22 +0000

Great question! The answer will depend on your policy, and the amount of cash value in the policy. You obviously cannot borrow more than has accumulated , and often the company will set limits on the amount, to help prevent you from capsizing the policy and ending it. There is also interest due on the borrowed amount, so be careful. If you would like more information, please contact me, I'd be happy to help. Thanks for asking!

Answer on How Long Does It Take To Get Approved For Life Insurance? by Jim Winkler

Jim Winkler — Wed, 16 Apr 2014 18:10:44 +0000

That's a great question! The length of time to be approved will depend on a couple of things. Some companies will issue "simplified " applications, that involve only a series of health questions, a med check, and your MIB check before making a decision. Others will have you also do a phone health interview, and some of those will accept or deny you as a result of that call. Other policies require a para-med exam, and those can take quite a bit longer. Some companies have very efficient underwriting departments that move quicker than others, and if there are Doctor's records needed for a determination, it can also be quite a bit longer. I would ask your agent for more specifics if it is an issue, or contact me, I'd be happy to help. Thanks for asking!

Answer on How To Switch Life Insurance Companies? by Jim Winkler

Jim Winkler — Wed, 16 Apr 2014 18:03:38 +0000

Great question! To give you a simple answer, you just apply for a new one, and once covered, write and surrender the old policy. Some things to consider first though - if the policy is graded or modified, you will have to go through the grade period again; and if you have a significant amount of cash value in the old policy, or loans through it, what are the ramifications of replacing the policy in regards to that cash? There can also be problems if you apply to several companies, and are denied coverage for some reason by one or more of them. I would advise you to talk this through first with a trusted agent before making a move. If you would like more information, contact me, I'd be happy to help. Thanks for asking!

Answer on How Much Should I Get For Renters Insurance? by Jim Winkler

Jim Winkler — Wed, 16 Apr 2014 17:53:56 +0000

That's an interesting question - do you mean how much coverage do you need to purchase to ensure the value of your belongings are covered adequately, or how much should the policy have paid out to you after your claim was processed? In the case of coverage, you would need to have an idea of how much value there is to be insured. For example, do you have a lot of electronics, or jewelry? If so, you would need more coverage than someone who has very few of those things. If you meant how much should you have received, that depends on a lot of things specific to your policy and claim. If you would like more information, I'd be happy to help, just contact me. Thanks for asking!

Answer on Can I Get Life Insurance For My Mom? by Jim Winkler

Jim Winkler — Wed, 16 Apr 2014 17:45:00 +0000

Great question! You bet! I think it is great that you would help out your mom this way. The law says that you can take out life insurance on anyone that you would suffer a tangible loss from, should they pass. So while you could insure mom, you could not insure that guy down the block that you see once in a while, or the mailman. You and mom should sit down and decide exactly what plans she has, and then find a coverage and price that will take care of her need. Please contact me if you have any further questions, I'd be happy to help. Thanks for asking!

Answer on How To Tell If Someone Has Homeowners Insurance? by Jim Winkler

Jim Winkler — Wed, 16 Apr 2014 15:07:02 +0000

Great question! Unfortunately, it will be very difficult to find out. Privacy laws will prevent insurers from sharing who has or doesn't have a policy with them, and frankly, there are really very few reasons why you would have a right to know. If it is for a parent, or a loved one who suddenly passed and left their affairs unsettled, then their lawyer or financial adviser may be able to help you, but unless you are entitled to know, I wouldn't count on them telling you either. I'm sorry that this isn't a very positive answer, but if you would like to discuss it further, please contact me. Thanks for asking!

Answer on Will Homeowners Insurance Cover Burglary? by Jim Winkler

Jim Winkler — Wed, 16 Apr 2014 14:58:28 +0000

Great question! In most cases yes, provided you were not negligent. ( Left the home unlocked might be taken for negligence in some cases, for example). It is always a good idea to take pictures of your things, and record their serial and model numbers so that you have accurate information to give to the insurance company along with the police report when you file your claim. If you would like more information, please contact me. Thanks for asking!

Answer on Why Is Homeowners Insurance Cheaper Than Car Insurance? by Jim Winkler

Jim Winkler — Wed, 16 Apr 2014 14:49:52 +0000

Great question! The insurance industry is all about risk. The greater the chance that something bad will happen, and you have to file a claim, the higher the cost. Your chances of getting into an accident or having damage done to your car is greater than your risk of your home being destroyed by a tornado, for example, so your premiums are less on your home. Your driving habits can also make that premium be higher than it might be, if you are ticket or accident prone. If you have more questions, just contact me, I'll be happy to help. Thanks for asking!

Answer on Why Create An Irrevocable Life Insurance Trust? by Jim Winkler

Jim Winkler — Wed, 16 Apr 2014 14:44:34 +0000

Great question! In addition to the tax savings and sailing through probate, often there are some other benefits offered by the companies that can make these attractive. There are companies that will provide legal services for will writing and estate planning; some will provide you with the opportunity to pre-plan and create your own funeral service, so your loved ones don't have to. If you would like more information, please contact me, I'd be happy to help. Thanks for asking!

Answer on Who Needs Renters Insurance? by Jim Winkler

Jim Winkler — Wed, 16 Apr 2014 14:36:43 +0000

Great question! You do not need renters insurance if you have a great amount of cash hidden away in a Swiss bank account, or somewhere similar. If your belongings are stolen or damaged somehow, you can just dip into that account and buy all new stuff to replace what was stolen or lost. If that is not you, then maybe renters insurance is a good idea. Most of us do not have the money to replace our things in the event of a fire, or burglary, and that is the purpose for the insurance. It can be a real blessing in the event of some unexpected hardship.If you would like some more information on what you should look for in the policy, please contact me, I'd be happy to help. Thanks for asking!

Answer on Can I Get Life Insurance On My Dad Without Consent? by Jim Winkler

Jim Winkler — Wed, 16 Apr 2014 14:29:27 +0000

Great question! Unfortunately, unless the person to be insured is very young ( think under 16) they are going to have to sign the application as the "insured". The laws governing the issuing of insurance were set up especially to prevent person A from taking out a policy on person B without them being aware, to protect person B. I'd be happy to explain in more detail if you'd like, just contact me. I'd suggest the best solution is that you work out whatever issues there are with dad, and proceed together. Thanks for asking!

Answer on I am a non driver and need a truck for my work, I would like to insure my helper to drive for me any problems? by Jim Winkler

Jim Winkler — Tue, 15 Apr 2014 13:48:09 +0000

Great question! As long as the vehicle is insured as a need for your business, you can list your employees on the policy. Their driving records will play a big part in the cost, and be aware that you cannot legally drive this vehicle and if you were to be involved in an accident it would get ugly real quick. Thanks for asking!

Answer on Can You Be On Someone Else’s Car Insurance? by Jim Winkler

Jim Winkler — Tue, 15 Apr 2014 13:43:00 +0000

Great question! Absolutely! Very often spouses will be on the same policy, especially if the insurer gives discounts for multiple drivers or bundled policies. Parents can add children also, for example. Be aware that each additional driver will add cost to the policy, and that if they are younger, or have had a less than perfect driving record, that the cost could be fairly high. If you would like more info, please contact me, I'd be happy to help! Thanks for asking!

Answer on How Much Is Renters Insurance On An Apartment? by Jim Winkler

Jim Winkler — Mon, 14 Apr 2014 18:34:40 +0000

Great question! Unfortunately, a hard one to answer without more information. Where you live , the size of your family, the estimated cost of your belongings, the age and size of the apartment complex, your age, and even whether you smoke are all things that influence the cost of the insurance. I'd recommend that you look at several companies in your area and shop for the rate that best fits your budget. (As a bit of advice, ask for "replacement value" when you shop.) Any further questions, please contact me. Thanks for asking!

Answer on Why Did Car Insurance On My Mariner Go Up In Omaha? by Jim Winkler

Jim Winkler — Mon, 14 Apr 2014 18:26:01 +0000

Great question! Unfortunately, that is a tough question to answer without a little more information from you. There are many reasons why your rates may increase within the state mandated rate limits. Some things that can raise your rates are a result of how you drive. A claim filed for an 'at fault' accident can raise your rate, as can a poor driving record, or speeding tickets, in some cases. ( You are a bigger risk for a payout, so you pay more, just as someone who smokes pays more for life insurance - smoking has been proven to increase your health risks, and bad driving habits increase your risk for an accident.) Some things are not in your control - rates can increase if the vehicle theft rate in your area increases, if the company has had to pay out significant claims, and their profits are down, or you move into a different age category in some cases. Some companies will even look at your creditworthiness as a basis for your rates. The purpose of insurance isn't to provide you with a steady rate as much as it is to help you in the event that you are in a position where the cost to repair or replace a car is more than you can afford. That said, there are some companies that will offer "first accident forgiveness" types of policies, and are a bit more lenient in their rate changes. I'd tell you that if you are unhappy with your current rate to shop around and see if there is a better company or rate that fits your budget. If you have further questions, please contact me, I'd be happy to help. Sorry for the unpleasant answer, but I appreciate you asking!

Answer on How do I know what conditions are covered on a critical illness plan? by Jim Winkler

Jim Winkler — Mon, 14 Apr 2014 17:56:48 +0000

Great question! The basic illnesses will be covered by almost all plans, but there are differences from company to company. The conditions under which they are covered and amounts paid out can vary also. I would tell you to look at the policy carefully, and if you don't have it handy, contact the agent or company that sold it to you. They can tell you exactly what is covered by your policy. If you are looking into purchasing one, please shop carefully, or find a trustworthy agent to guide you through the selection process, to find the best fit for your needs. If I can help any further, please contact me, I'd be happy to help.Thanks for asking!

Answer on Can A Term Life Insurance Policy Be Converted Into A Long Term Care Policy? by Jim Winkler

Jim Winkler — Mon, 14 Apr 2014 17:51:37 +0000

Great question! Unfortunately, those are two entirely separate kinds of vehicles. Think of it like trying to convert an apple into an orange. To convert your term policy to a whole life, that you could do, and vice versa. But I don't know of a single company that will convert from one vehicle to a different class of vehicle. If you would like more information, please contact me. Thanks for asking!

Answer on What does it mean when you have a insurance policy that says cash value 8000 and face value 16000? by Jim Winkler

Jim Winkler — Mon, 14 Apr 2014 17:45:02 +0000

Great question! The "face value" is the amount that would be paid to the beneficiary, minus any loan amounts or unpaid premiums. The "cash value" is the amount that could be borrowed or received upon surrender of the policy. The cash value will usually be less than the face value of the policy until very long after you've had it, in most cases.If you have more questions, please feel free to contact me. Thanks for asking!

Answer on I Don’t Have Car Insurance Can I Rent A Car? by Jim Winkler

Jim Winkler — Mon, 14 Apr 2014 15:30:39 +0000

Great question! Most car rental agencies will offer their own coverage, as long as you have a valid drivers license, and a clean record. It is typically fairly pricey compared to what your individual coverage might cost, but it's an option. Your best bet would be to ask before attempting to rent, and find out what they require. If you've been dropped by your insurance company for some reason, it may make it tougher for you. If you have more questions, please contact me, I'd be happy to help. Thanks for asking!

Answer on Does Insurance Cover A Tree Parked In The Street Crushed By A Falling Tree? by Jim Winkler

Jim Winkler — Mon, 14 Apr 2014 15:25:10 +0000

Great question! If the tree fell due to negligence ( it was dead, or had significant rot and was a hazard that wasn't fixed) then whomever's property it sat on may be liable for the damage to your car. If it was your tree, then your comprehensive coverage clause in your auto insurance policy should cover it. If it was a healthy tree that was felled by "an act of God", you may have a rougher time collecting. If you have more questions, feel free to contact me, I'd be happy to help! Thanks for asking!

Answer on What Is Good Home Insurance? by Jim Winkler

Jim Winkler — Sat, 12 Apr 2014 22:34:48 +0000

Great question! There are a few things to look for in "good " insurance. The first is coverage - what will it pay for if you file a claim? The better coverage, the better for you. The second is the price - is it reasonable and affordable for you? The third is the deductible - how much will you have to pay out of pocket ( or can afford to pay) if you have to file a claim. These simple rules should apply to any insurance that you might look for. I always suggest that you compare policies before purchasing one, it is always good to have an idea of what you want before signing on the dotted line! Thanks for asking, and if you would like to discuss this more, just hit the contact me button, I'd be happy to help!

Answer on Why Do We Need Renters Insurance? by Jim Winkler

Jim Winkler — Sat, 12 Apr 2014 22:22:08 +0000

Great question! Renters insurance is a good way to protect you from loss. If your rented home burns down, the landlords insurance covers his loss of the house, but not your things in the house when it burned. Renters insurance covers your investment in those things. If a burgler kicks in your apartment door, and steals all of your stuff, the complex's insurance will cover only the cost of repairing the door. Unless you've got a ton of money laying around to replace all of the things that were stolen, you're out of luck. A good renters policy will help you get those things replaced. Look for a policy that offers "replacement cost" if possible. If you would like more information, please hit the contact me button, I'd be glad to help. Thanks for asking!

Answer on Is Corporate Owned Life Insurance Ethical? by Jim Winkler

Jim Winkler — Fri, 11 Apr 2014 15:31:04 +0000

That's a great question! I'm sure we'd all agree that we expect all businesses to operate ethically, and with the best of intentions. So I guess your question comes down to one of two things - is life insurance a scam? Or does the life insurance my company supplies as a part of my benefits package need to be there? In either case, the answer is that life insurance is a blessing. It is a certainty that you will die. Tough, but true. If your employer provides life insurance for you, and you've opted to take it and die while employed, that benefit can be a big help in paying for your funeral and providing for those you've left behind. That is true for the independent policy that you hopefully purchased from a reputable, well respected insurance company. ( And went over thoroughly with an agent that you trust.) Are there fly by night or poorly managed companies out there that may skirt the edges of ethical integrity? I'd like to believe not, but there seems to be a bad apple in every bunch, so it is well for you to look into any company and agency before signing anything. And put stock into the old saying "if it sounds too good to be true, it probably is"...That said, I am sure that the number of ethical agencies far far outweighs the bad ones. Hope that helps! Any questions, please hit the contact me link, I'm happy to help. Thanks for asking!

Answer on What Is Replacement Cost In Home Insurance? by Jim Winkler

Jim Winkler — Fri, 11 Apr 2014 15:14:47 +0000

Great question! Homeowners and renters policies will define the payout for your belongings in most cases as either "replacement" or "actual cash" value. There can be a big difference between the two, and as the insured, you'd like "replacement", and as the company, the "actual cash". Here's why: Let's say you have a laptop that you bought a couple of years ago, and it's seen better days, it doesn't run quite as quickly as it did, and has a few dings and dents. When it comes time to replace it, replacing your computer with a new version of it is what you would get with "replacement value". With "actual cash value" the company would take a look at the price for the new computer, and subtract off the depreciation cost for the length of time you had the old one. You might have to settle for a lesser laptop, or pay the difference in this case to receive the same laptop that the "replacement" version would have provided. This is a simplified explanation, but should give you a good understanding of the differences. If you would like more info, just hit the contact me button, I'd be happy to help. Thanks for asking!

Answer on What Would Happen If There Was No Medicare? by Jim Winkler

Jim Winkler — Fri, 11 Apr 2014 14:58:35 +0000

That's a great question! Also not one easily answered...On one hand if there were no programs, we'd have a significantly smaller Government budget, and a whole lot less debt and worry about that future debt. There would be a more open market for health services, and a greater dependency upon the honesty of the provider when they tell you they love you more than their profits. The other side of the story? As there are approximately 10,000 people turning 65 everyday, most with little or no retirement plans other than social security ( which puts them well below poverty level in most cases)and no provision for protection from the increasing costs of long term care, we would probably find that the mortality rate among the +65 set would dramatically rise , and life expectancy lower, as a result of them not being able to afford the medical services that would be otherwise available. What makes your question really interesting is its natural follow up - "what do we do to fix the system so the most people can benefit?" That's the real question! Thanks for asking!

Answer on Does A Will Override A Life Insurance Policy? by Jim Winkler

Jim Winkler — Fri, 11 Apr 2014 14:44:41 +0000

Great question! In most every case, as long as you have named a specific beneficiary (and be sure you've checked to ensure that the person you've named is the one you want to receive it and not an ex-spouse or deceased parent) the proceeds of life insurance will pass through probate court as designated. That may not be the case if there was no specific beneficiary named, or the person that you've named is no longer alive to receive it. I advise my clients to review their beneficiaries periodically, and especially after major life changes to help keep things the way they planned. Need more info? Please contact me. Thanks for asking!

Answer on Can Felons Have Life Insurance? by Jim Winkler

Jim Winkler — Fri, 11 Apr 2014 14:31:16 +0000

Good question! The answer is yes, they can. However, the policy that they would be able to purchase would certainly come with more restrictions than one that a non-felon would be able to purchase. It would be more expensive , and have a period of time that would have to be covered before it would pay out anything more than what you paid into it to that point, plus some interest. If you would like a little more detail, please hit the contact me button,I'd be happy to help. Thanks for asking!

Answer on Is Health Insurance Going Up? by Jim Winkler

Jim Winkler — Thu, 10 Apr 2014 22:42:57 +0000

That's a great question! The short answer is no one can say for certain whether they will or won't. The costs of health care coverage has dropped steadily over the past few years, but with the onset of the Affordable Care Act, it has become a whole new game. Yes it will, or no it won't, seems to depend upon the political party , industry spokesman, or "independent researcher". The best analysts will tell you that the enrollment data and effects will take several years to paint a reliable picture, and with the last minute rush of enrollees, (typically younger, healthier, and better at procrastinating) that data will be very fuzzy for a while. That said, my personal opinion is that it will go up most likely for two reasons: If there's a profit to be made, someone will grab it, especially if there is a confused atmosphere to harvest it in; and most downturns eventually reverse in the business world, and I'd look for prices to increase at some point, as individual insurers find that their price points offered this year are or aren't viable based on their enrollment numbers. I hope that helps, and you asked a question that could spark a great debate in the right circles. Thank you for asking! Feel free to contact me if you'd like more details!

Answer on Why Do We Have Medicare? by Jim Winkler

Jim Winkler — Thu, 10 Apr 2014 22:26:11 +0000

It was designed to allow everyone to chip in and help the elderly afford health care that they otherwise would not receive. It is unfortunate that so many of the retirees (there are about 10,000 seniors turning 65 every day) are unprepared for retirement, or are finding that an unexpected illness requiring long term care has eaten away at what was to have been their retirement fund. Without the safety net of Medicare, they would either have to do without, or receive what free care was available. ( And by free, I mean paid for by all the rest of us through higher hospital and doctor fees, because you know they aren't charities.) It is a sad truth that approximately 60% of worldwide bankruptcies are cause by medical emergencies. (Even with health insurance.) If you would like more information, please contact me, I'd be happy to give you more detail, Thanks for asking!

Answer on How To Cash Out A Universal Life Insurance Policy? by Jim Winkler

Jim Winkler — Thu, 10 Apr 2014 22:12:44 +0000

I'd contact your agent first - his name and number will be on your policy somewhere, and then look at a couple of things - how much is the surrender value? What if anything, will it cost me to surrender it? and will there be tax consequences if I surrender it? I'd also want to know your reason for surrendering the policy - if it is a problem with making payments, you may be able to reduce the coverage and then premiums to be affordable again; if it's for some quick cash, maybe a policy loan is an idea to consider, and if it is to close it out and reinvest that cash somewhere else, then that's something I'd look at closely also. I hope that helps, if you'd like more details, contact me, I'd be happy to go over this in more depth with you! Great question, thanks for asking!

Answer on Can You Get Life Insurance If You Skydive? by Jim Winkler

Jim Winkler — Thu, 10 Apr 2014 22:03:21 +0000

That's a great question! Most insurance companies are going to frown upon "riskier" hobbies and occupations. Some will just charge you a lot more, others will not insure you at all. That said, there are also companies out there that make a living off of insuring higher risk clients. They are typically more expensive, and as a whole will have a period of time where your payout should your chute not open will be only premiums paid + a little interest. ( it's called a 'graded' or 'modified' policy.)If you'd like a little more information, please drop me a note via the 'contact me' link, I'd be happy to help you with more details. Thanks for asking!

Answer on Does Everyone Have To Have Health Insurance Under Obamacare? by Jim Winkler

Jim Winkler — Thu, 10 Apr 2014 02:12:52 +0000

No, you do not need to enroll if you are covered by medicare or medicaid, or if you are covered by a policy offered through your employer or spouses employer. The idea is to reduce the number of uninsured people who were previously denied coverage, or didn't have affordable coverage available. That said, if you don't have it, then there are penalties in place that will affect those that chose to ignore the March 31st enrollment deadline. If you have further questions, please don't hesitate to hit the 'contact me' link. Thanks for asking!

Answer on Can You Have Two Life Insurance Policies? by Jim Winkler

Jim Winkler — Thu, 10 Apr 2014 02:07:25 +0000

Many people do - they have a policy through their workplace, and then a policy outside of work to ensure coverage that work didn't provide, or in the event that the employment ends. You may have more than one policy, but the insurance companies will put a limit on how much coverage you can apply for. If you would like more information, please hit the 'contact me' button, I'd be happy to help. Thanks for asking!

Answer on Why Is Health Insurance Tied To Job? by Jim Winkler

Jim Winkler — Thu, 10 Apr 2014 02:02:22 +0000

Employers want to attract workers, and sometimes pay alone isn't enough. To sweeten the pot, they add benefits, like insurance, vacation pay, or sick days. The insurance that is offered is owned by the company itself, and not the employees who purchase it. The company will also usually pay for some of the cost of that insurance. It is only offered to you as long as you are employed there, and once you leave, unless you opt to pay COBRA prices for it, it ends when your employment does. If you have more questions, please hit the link to contact me, I'd be happy to answer them for you. Thanks for asking!

Answer on How Much Is Term Life Insurance? by Jim Winkler

Jim Winkler — Wed, 09 Apr 2014 14:45:26 +0000

The cost will depend upon several things - the company, the length of the term, the amount of coverage, your age, health, etc. I'd advise that you contact some local agents with some specific details, and shop around for some quotes. If you would like some help with this, please hit the 'contact me' button, and I'll happily help. Thanks for asking!

Answer on Why Is Term Life Insurance Better? by Jim Winkler

Jim Winkler — Wed, 09 Apr 2014 14:40:30 +0000

Short answer? It's cheap. The longer answer has to do with your intended need for the policy, and for the length of that need. It doesn't make financial sense to pay more money for a whole life policy to cover a 4 year need, for example, any more than it makes sense for someone to buy a 5 year term policy and intend for it to cover their funeral expenses when they pass somewhere far down the road. Term policies are great for some things, and not so great for others. Please contact me, and I'll give you a fuller answer. Thanks for asking!

Answer on What Happens If I Lie On A Life Insurance Application? by Jim Winkler

Jim Winkler — Wed, 09 Apr 2014 14:34:05 +0000

As with any dishonesty, there are consequences. Most companies understandably take a pretty dim view of fraud and aren't going to pay out if they find that you were less than honest. There is a period of time built into the contract where the company can void your policy if they learn you've lied on your application. A slight misrepresentation - you put down your weight as 150 pounds and you really weigh 155 isn't going to be as big an issue as you write 150, and you really weigh 350, but it makes no sense in any case to be dishonest. If that doesn't answer your question, or you'd like more information, please contact me, I'd be happy to help.

Answer on When Do You Get Auto Insurance? by Jim Winkler

Jim Winkler — Wed, 09 Apr 2014 14:27:15 +0000

In most states, you will need to get the policy before you purchase the vehicle. You can add the new car to your existing policy, or contact an agent and create a policy once you've decided what car you are going to buy. The dealer will be very happy to assist you with that!

Answer on What Is Needed For Renters Insurance? by Jim Winkler

Jim Winkler — Wed, 09 Apr 2014 14:22:26 +0000

Renters insurance is a way to protect the value of your belongings in the event that they are stolen or destroyed. Let's say there is a fire in your complex, and the apartment you live in is damaged by smoke and water from the firemen. Your cost to replace the things you own that are damaged by smoke or water is probably much greater than what you have in the bank. This is what your policy is designed to do - provide that money to replace them. If you would like more information, please click the 'contact me' button, I'd be glad to help!

Answer on Why Do Apartments Require Renters Insurance? by Jim Winkler

Jim Winkler — Wed, 09 Apr 2014 13:58:58 +0000

In many cases, having the tenants carry their own insurance will help the apartment complex lower their insurance costs. It is a way of sharing the risk and costs, which hopefully translates to lower rents for the tenants. Think of it like a pot luck dinner - if everyone brings a dish, the host can focus on supplying the drinks, and not worry about the cost of food also.

Answer on Who Should Carry Life Insurance? by Jim Winkler

Jim Winkler — Wed, 09 Apr 2014 13:52:04 +0000

The easy answer is "anyone who will pass away, and doesn't have a ton of cash laying around to cover funeral expenses and provide for those they leave behind". If you aren't in that category, then it might be best to look into it. The truth is that unfortunately, too many people are uncomfortable thinking about death, and so avoid the planning for what happens when they do. The result is financial stress on the spouse/immediate family; emotional stress for the family when the hat is passed around to help collect for the costs, and the real strain of trying to live without an income, and the drastic lifestyle changes that causes. That sounds harsh, and it is, but it is becoming more and more common as incomes dwindle and families struggle. Please consider the importance of protecting those you love from this reality. Please hit the "contact me" button, and let me help you with your questions.

Answer on How Much Is Permanent Life Insurance? by Jim Winkler

Jim Winkler — Wed, 09 Apr 2014 13:42:58 +0000

There are as many different prices for insurance as there are kinds of people needing it, I think! Seriously though, the prices will depend on the company, your age, your health, and where you live, for starters. I'd strongly advise that you take any internet quote with a grain of salt, and contact an agent/agents for a more realistic idea. The agent can ask some more in depth questions, and provide you with a more accurate quote. Please also be wary of anything that sounds too good to be true when you look online, or in your mailbox, because it probably is. Please hit the 'contact me' button if you'd like more details, I'd be happy to help!

Answer on Does Basic Life Insurance Cover Accidental Death? by Jim Winkler

Jim Winkler — Wed, 09 Apr 2014 13:34:58 +0000

All policies cover death by accident. Accidental death and dismemberment ( AD&D) policies will only cover death this way. These are very popular 'add on' policies, to provide 'extra' coverage in the event of an accident, but many people mistakenly think they are covered for much more than they may really be. Passing out from drinking and crashing the car resulting in death may not be covered. (Yes, there was an accident, but the circumstances that caused the crash were not one, in this example) There are sometimes limitations in whole life and term policies also. As always, I'd advise you to ask an agent for more specific details. Press the 'contact me' button, I'd be glad to help with any questions you may have!

Answer on Does my homeowners policy provide medical payments when someone gets bucked off a horse I own? by Jim Winkler

Jim Winkler — Tue, 08 Apr 2014 12:27:56 +0000

I am sorry to hear of the child's injury! Do you have a copy of your policy handy? I'd advise that you look through it first, when you took out the policy, it may have been included, ( assuming you had the horse at time of the policy writing, or if you had a working ranch/farm with normal inclusions)and if not, call your agent and ask. I hope that everything works out ok for you. Please hit the "contact me" button if you'd like more help.

Answer on What Is The Purpose Of Renters Insurance? by Jim Winkler

Jim Winkler — Tue, 08 Apr 2014 12:20:20 +0000

Hello! Renters insurance is a way to protect the value of your belongings, should something bad happen. It is a way to replace the things that are stolen or damaged during break-ins, or destroyed in fires, for example. Most people do not have the money to replace these things after such an event, and that is where the insurance comes in. Like with everything, there are a ton of choices, and if you need help, please hit the "contact me" button, and I'd be happy to help you.

Answer on Which Is The Best Type Of Life Insurance? by Jim Winkler

Jim Winkler — Tue, 08 Apr 2014 12:10:01 +0000

Unfortunately, the complicated answer is "that depends". I guess to simplify it, the answer could be : 1.) if you are just covering for a short term risk, Term. 2.) If you are just looking for coverage for burial expenses, Whole Life. 3.) If you are looking to pass some estate, and have some extra cash laying around, Universal Life. This is immensely simplified, but really not that complicated. If you would like to go over this a little more, please hit the "contact me" button, and drop me a quick line. Hope this helped!

Answer on Who Offers The Best Term Life Insurance? by Jim Winkler

Jim Winkler — Thu, 03 Apr 2014 12:09:36 +0000

There are many companies that offer good policies, to direct you to the one that best suits your need, I'd need some more information - How much coverage would you like, for how long a term, and what's your age, for starters. All insurance companies would need that much information to at least give you a quote.If you would like to contact me, I 'd be happy to give you some more details. Hope that helps!

Answer on How Many People Die Without Life Insurance? by Jim Winkler

Jim Winkler — Thu, 03 Apr 2014 12:04:04 +0000

Unfortunately, far too many. According to a recent study, over half of Americans do not have life insurance, and of the roughly 45% who do, most of those say they really need more. In this economy people are strapped to make ends meet, and either think that life insurance is "just too expensive", or that "I'll just get it as soon as things get better, and I can afford it". Again unfortunately, neither of these are true. Please contact an agent and discuss with them your needs. I'll be happy to help, just hit the "contact me" link!

Answer on Why Did Employer Sponsored Health Insurance Began? by Jim Winkler

Jim Winkler — Tue, 01 Apr 2014 14:33:08 +0000

That's a great question! There are two good reasons for an employer to offer coverage. The first reason for an employer to offer benefits was/is to draw an employee that may choose another employer. For example, if there are two widget factories in town, both paying the same wages, I can sweeten the deal for you by saying "I'll pay you the same as them, AND I'll give you benefits!" Who would you choose? Benefits are a way for the employer to entice and retain employees. The other reason is that if you have insurance, you can afford to go to the doctor and be treated. without the coverage, you miss work, or are forced to quit, impacting the companies profits by increasing turnover, training costs, and lost productivity.The employer also pays a portion of what the total cost of the coverage would have been, if you'd have had to pay for it yourself. Hope that answers your question!

Answer on Can I Have Auto Insurance From Another state? by Jim Winkler

Jim Winkler — Tue, 01 Apr 2014 14:22:09 +0000

That depends upon your State. In Texas, you must be insured in-state for your Auto insurance. You are allowed a certain number of days after you've moved here to arrange it, but after that grace period, if your tags and insurance aren't switched, you can be ticketed. Look up your States' requirements at their .gov website for specifics, or contact your current agent for the company procedures for switching/replacing your coverage.

Answer on How Long Does It Take To Get Life Insurance Money From Metlife? by Jim Winkler

Jim Winkler — Tue, 01 Apr 2014 14:12:04 +0000

Are you referring to the payment to the beneficiary? If so, they will require some things from you first; but if all of their requirements are met, they are required to pay out within a specified period of time, as specified in the policy. Remember that the policy had to be in force at the time of the policy holders passing, for them to pay out. If you would like to discuss this more, contact me, I'd be happy to help, but your best bet is just to contact MetLife directly, and ask.

Answer on Is Life Insurance Essential? by Jim Winkler

Jim Winkler — Tue, 01 Apr 2014 13:48:49 +0000

There are a couple of really good reasons why life insurance can be essential to your financial plans. If you are looking for a way to leave someone a tax free 'leg up' when you pass, the policy will do that in most cases. If you are concerned with ensuring that major expenses and your income are replaced for your loved ones should you pass, again a policy will do that. Lastly, if it is a concern that your family will not be able to afford your funeral, and there is a chance that it will lead to family strife, a policy can ensure that those expenses are covered. To be a good steward of your family, yes, life insurance is essential. Please contact me if you would like more information!

Answer on Why Is It A Good Idea To Have Renters Insurance? by Jim Winkler

Jim Winkler — Mon, 31 Mar 2014 19:11:56 +0000

Renters insurance provides protection for your belongings should you have something terrible happen, such as a fire, water damage, or a break in. The insurance will help provide the money to replace the value of what was lost. Without it, the cost of replacing your tv, computer, etc. is all yours.

Answer on How To Find If Someone Has Life Insurance? by Jim Winkler

Jim Winkler — Mon, 31 Mar 2014 18:20:46 +0000

Are you looking to see if a close relative had insurance before they passed? You will find that because of the HIPPA and Patriot Act privacy rules will not allow agents or companies to pass out much information, without that person's permission. If you contact me through my link, I may be able to provide you with more help, depending on what your reason for seeking this information.

Answer on How Can I Get Health Insurance Online In Texas? by Jim Winkler

Jim Winkler — Mon, 31 Mar 2014 18:12:26 +0000

If you are able to get on the Healthcare.gov site today, start an account. If you can at least get that far, then there is a few day extension that gives you a little more time to finish, if the site continues to be bogged down with last minute shoppers. There are several non-government sites that you can shop in, but it is not always the case that the prices and/or coverages are comparable, nor might they offer the payment assistance that you may qualify for on the Government site. That is not to say that you couldn't find a good policy, it's just wise to compare before buying, just as you should any major purchase. Please contact me through my link, if you have more questions.

Answer on What Do I Need To Get Health Insurance? by Jim Winkler

Jim Winkler — Mon, 31 Mar 2014 18:05:19 +0000

Today is the deadline for enrolling in the Affordable Healthcare Act, but if you are able to only get started on it today, don'y worry, there is a two week extension for you to finish.To enroll, you will need social security numbers of everyone who needs coverage; W2 earnings, for each, and information on any coverage available through an employer. Again, as long as you can get an account opened today, you can finish when the site isn't as busy. As of noon today, the servers were so loaded with last minute shoppers that there were long wait times and occasional outages. If you need any help, please contact me through my link!

Answer on Why Is Home Insurance Required? by Jim Winkler

Jim Winkler — Sat, 29 Mar 2014 21:11:08 +0000

In the vast majority of cases, when a home is sold, there is a mortgage involved. The insurance helps protect you, and the lender from suffering a financial loss if something were to happen to the home before that financial obligation was repaid. It is also a way to help you protect against the loss of your personal property if something terrible happened to your home, and protect you if someone were injured in your home or on your property. Hope that answers your question, if not, please feel free to contact me through the link on my profile page.

Answer on Can You Get Life Insurance With Ulcerative Colitis? by Jim Winkler

Jim Winkler — Sat, 29 Mar 2014 21:04:15 +0000

That is a great question, and I am glad that you asked! I believe a great number of people are just like you - they have some issues with their health, and it causes them to think that insurance would either then be denied, or unaffordable. The truth is that there are affordable plans and coverage amounts out there, and a good agent can find one to fit you. In a case like yours, having an agent to do the footwork for you is definitely a good thing! If you'd like more information, please visit my profile, and contact me through the link. I'd be happy to tell you more.

Answer on What To Look For In A Life Insurance Policy? by Jim Winkler

Jim Winkler — Sat, 29 Mar 2014 20:56:08 +0000

The three big concerns: Affordability, proper coverage, good customer service/reliability. Beware of anything that seems too affordable, promises a large amount of coverage for very little, or unanswered calls or emails. Shop for insurance like you would for a car, one that fits your needs and budget, and that you are proud to be seen with!

Answer on How To Buy Life Insurance Wisely? by Jim Winkler

Jim Winkler — Sat, 29 Mar 2014 20:49:01 +0000

I always advise that before shopping for insurance that you do a little preparation first. Take a good look at your monthly budget, and see what you can safely afford to spend. Then look at what you want that coverage to replace - is there a mortgage, a salary, college educations, etc.? Once you have some basic ideas, then you can seek out an agent that can help you. Ask trusted friends and family who they used, and if they are pleased with the service they are receiving. If you have more questions, or would like more information, please hit the "contact me" link on my profile.