Massachusetts Auto Policy, Part 1: Bodily Injury to Others

Massachusetts Auto Insurance

A concerned client reviewed his auto insurance policy and emailed me:

Hi Kevin,
Do you suggest we up our “Bodily Injury to Others” amount?
If so, what do you suggest and can you run some numbers?
Thanks!

Reviewing his policy – Part 1, Bodily Injury to Others, is at $25,000 per person/$50,000 per accident. His part 5, Optional Bodily Injury to Others, is at $250,000 per person/$500,000 per accident.

I understand his concern and explained:

Hi Client,

Thanks for the email.

Part 1, Bodily Injury to Others, is a compulsory $25,000 per person/$50,000 per accident and cannot be removed, lowered or increased.

Part 5, Optional Bodily Injury to Others, is the coverage you should be concerned about. This is your lawsuit coverage if you injure someone in an accident. In addition to the limits, insurance companies pay legal defense.

Your Part 5, Optional Bodily Injury to Others, limits are $250,000 per person/$500,000 per accident. These are very good limits and they’re the underlying requirements for personal liability umbrella coverage.

To improve your lawsuit protection coverage, we recommend you consider a Personal Liability Umbrella Policy.

Coverage starts at $1,000,000 and these limits sit over your auto & home liability limits.

Umbrella limits stack on top of auto limits which, in essence, would improve your Part 5 limits to $1,000,000 + the auto’s $250,000 per person/$500,000 per accident limits.

A $1,000,000 Umbrella, sitting over 2 autos and a home, would cost you about $290 annually.

Please call or email with any questions or to discuss.

Thanks,

Kevin Johnson

 

Massachusetts Auto Insurance Merry-Go-Round

MA Auto Insurance

Our Massachusetts Insurance Agency is very customer service-centric. As a result, we have a high client retention rate.

Yesterday I received an email from a long-time client:

Hi Kevin,

My auto policy renews tomorrow, so I did some shopping around and found a price at another carrier that is $700 less annually than what I’m paying at Vermont Mutual. I wanted to reach out before I make a switch to see if there was any possibility of negotiating a rate with Vermont Mutual.

Apologies for reaching out so last minute about this. I moved earlier this month and just got around to taking a look at auto policies.

Thank you!
Long-time Client

Holy smokes, $700? That’s a lot of money.

I went back to the drawing board and found a company here in our office that offers an -$850 savings over her present premium.

As a result of her email, we were able to save the business and I feel really grateful that she gave us the opportunity to compete for her business.

We’re now, also, keeping a sharp eye on all our Vermont Mutual auto insurance renewals.

Next time, our Agency might not be so lucky to get an email from the client before they transfer their coverage!

The morale of the story? It pays to shop your auto insurance every two or three years. The Massachusetts Auto Insurance Merry-Go-Round!

 

 

How Long of a Term do I need for Life Insurance

 

Well, it happened again, one of the age-old life insurance questions:

How long of a term do I need?

Client asks:

I think the 20 year term makes the most sense with our age and the age of our kids. Does that seem right to you?

Let’s go over the numbers:

Healthy, 43 year-old woman:

Face Value:                     20 Year Term:                                  30 Year Term:

$250,000                          $248.05                                            $386.29

$500,000                          $421.11                                            $683.11

$1,000,000                     $758.76                                            $1,290.17

$2,000,000                     $1,419.82                                        $2,488.98

Relatively healthy, slightly overweight, 44 year-old man:

Face Value:                     20 Year Term:                                  30 Year Term:

$250,000                          $497.58                                            $840.99

$500,000                          $916.99                                            $1,573.23

$1,000,000                     $1,661.46                                        $2,976.05

$2,000,000                     $3,217.44                                        $5846.76

I respond with my own experience:

Yes, I think 20 years is probably fine. It takes your kids through the age of maturity.

I, originally, purchased a 20-year term policy when I had my first born – looking back, I wish I had purchased a 30-year term. This is because after my 20-year term expired, my kids were all still, relatively, young (20, 18 & 16). I then purchased an additional 10-year term which proved more expensive than if I originally purchased a 30-year term.

How Much Life Insurance Do I Need aka- If I Could Turn Back Time

That’s the million dollar question. No matter who you are, let’s start at a million bucks. Life is expensive. Especially if mom & dad aren’t around. In addition to how much coverage, it’s important to ask: for how long?

Term life insurance gives you the most bang for the buck or face value for the premium. The younger you are and the better health you’re in, the less expensive the policy.

If I were a strapping, healthy 25 year old about to start a family, I’d purchase a $5M face value/ 30 year term with a locked-in rate. It will never be more affordable.

Here’s a little story:

Before my first child was born I purchased a Twenty year term, $1M face value policy. The premium was something like $480 per year.

At the time, a 30 year term was $620 annually.

I went with the twenty year term.

Fast forward twenty years and two more children later, my youngest is only 14 and I still have to get all 3 through college.

My original term life policy as expired.

I recently purchased a ten year term, $2M face value and now that I’m an old man, the annual premium is: $2,680.

How does Cher’s song go:

If I could turn back time
If I could find a way
I’d take back those words that’ve hurt you and you’d stay

Not really relevant, it would be more like:

If I could turn back time
If I could find a way
I’d have picked a 30 year term and a two million dollar face value

I digress.

 

 

 

 

 

 

Life Insurance Calculator

life insurance calculator

Life Insurance Calculator

When purchasing life insurance, the question really isn’t how much you need, but how much capital your family will need at the time of your death, which depends on two variables:

  • Expenses. How much will be needed at death to meet immediate obligations? This amount takes into account all final expenses: uncovered medical bills, funeral and estate-settling costs, outstanding debts, mortgage balance, and college costs to name a few.
  • Income. How much future income is needed to sustain the household? This is the number you’ll arrive at after calculating the “present value” of cash-flow streams your family will need after your death.

Click Here: To Try MassQuotes’ online life insurance calculator!

Sample Questions and results:

Estimate your family’s expenses that could be funded or paid off by life insurance in the case of your death:

Funeral & Estate Costs

Outstanding Mortgage

Outstanding Debts (other than mortgage)

How many children require college funding?
Total projected college costs (tuition plus all other costs such as room and board, books, etc.), less current funds in the child’s name. The default tuition amounts being used are the averages for a 4-year education at a public or private school as provided by The College Board and can be viewed and modified in the calculator Settings.

Estimate your family’s expenses that could be funded or paid off by life insurance in the case of your death:

Funeral & Estate Costs

Outstanding Mortgage

Outstanding Debts (other than mortgage)

How many children require college funding
Child 1
Child 2
Child 3

Estimate your family’s recurring income needs if you died today:

Monthly Income Need

How Many Years Should Income Be Provided
12

Estimate your family’s sources of income:

Your Current Amount of Life Insurance

Family’s Current Savings & Investments

Your Current Retirement Savings

Monthly After-Tax Income From Spouse

Years Spouse’s Income Will Continue

Review and adjust the typical settings before calculating your results:

Inflation Rate

College Inflation

Assumed Rate of Return (on savings)

4-Year Public College Expense

4-Year Private College Expense

Your need for life insurance:

$1,362,216

Should you die, the financial impact on your dependents is the loss of your income as well as the immediate expenses associated with your death. The death benefit offered through life insurance serves as replacement income for a period of time to help your family build a more financially secure future.

UA-148132952-3

Term Life Exam Tips

term life exam tips

When it comes to life insurance quotes, it’s all based on how you were rated. Super-preferred? Preferred? Standard, non-standard, smoking? Declined? Term Life Exam Tips.

When applying for life insurance you want to be truthful. Then, at exam time, you want to put your best foot forward.

Following these term LIFE eXAM tips can help obtain THE BEST RATES

• Fast for four to eight hours prior to the exam and try to schedule
the exam for first thing in the morning, prior to eating
• Limit salt and high-cholesterol foods 24 hours prior to the exam
• Limit caffeine and nicotine 24 hours prior to the exam (can
increase blood pressure, cholesterol)
• Drink a glass of water one hour prior to the exam
• Get a good night of sleep prior to the exam
• Refrain from drinking alcoholic beverages for at least 24 hours
prior to the exam (can increase fat in blood and liver functions)
• Smokers should not smoke 30 minutes prior to exam (tends to
constrict artery walls and elevate blood pressure)
• Avoid the use of nasal decongestants if possible for 24 hours
prior to the exam (can increase blood pressure readings)

Helpful reminders

• Be prepared with a photo ID at the time of the exam
• Provide names and dosages of current medications
• Provide any history of problems associated with providing a
blood sample
• Women should mention to the examiner if menstruating at the
time of exam (can cause blood in the urine specimen)
• Have available names, addresses and phone numbers of any
doctors or clinics visited in the last five years
• Tell the examiner if exercise is a regular activity
• Tell the examiner if vitamins or aspirin are taken on a daily basis
If you have experienced one of the following health conditions, follow these additional guidelines:

Hypertension
• Avoid stimulants (caffeine, alcohol, cigarettes)
• Schedule a morning exam
• Have the examiner take blood pressure after you have had a chance to relax –
three attempts at 10 minute intervals
• Take usual medications

Diabetes
• Schedule the exam for 2½ hours after a meal (no sweets or sugars after the
meal), but if blood is being drawn, fast for eight hours prior to the exam
• Empty bladder right after meal
• Drink one to two glasses of water before the exam

Urinary Specimen Problems (albumin, red blood cells, sugar, etc.)
• Empty bladder right after meal
• Drink two to three glasses of water before the exam
• Avoid sweets or foods with sugar content before the exam
• Avoid strenuous exercise, such as running, for 24 hours prior to the exam
Coronary, EKG Problems
• Avoid stimulants (caffeine, alcohol, cigarettes)

Term Life Insurance Factors

 

term life insurance factors

Term Life Insurance rates are all over the place. Low rates, high rates, it all depends on different term life insurance factors:

Age – Let’s face it. It’s not easy getting old. The younger you are, the longer you’re going to live AND the less expensive life insurance is.
Health History – Do you have a history of disease or chronic illness?
Current Health – Are you in good current health? Are you taking medications?
Physical Condition – Are you heavy or lean? Do you excercise?
Smoker – Smokers can still get life insurance policies but the cost is significantly higher.
Drinking –Refrain from drinking alcoholic beverages for at least 24 hours
prior to the exam (can increase fat in blood and liver functions). Drink a glass of water one hour prior to the exam.
(For Additional Life Insurance Exam Tips checkout our: Tips by clicking here.)
Occupation – Are you a professional stuntman?Are you a race car driver?
Hobbies – Do you skydive or bungee jump? Are you a member of Fight-Club?
Family History – Are your parents and sibling still alive? Is there a history of family illness or disease?
Gender – Life isn’t always fair. Women live longer than men AND pay less for life insurance.
So, there we have it folks, our Term Life Insurance Factors.
It’s good to be young, healthy, work in an office, and play board games with your great grandparents!

Merry Christmas, Happy Holidays & Happy New Year!

MassQuotes Massachusetts Term Life Insurance

Life insurance is an odd thing. Nobody wants to think about it. Nobody wants it. Nobody wants to pay for it. Unless something terrible has happened. Then it’s: “Did he have life insurance?” and “how much?”

These days, almost no matter how much, it’s not enough.

The face value of a life policy usually doesn’t equal the life time accruing, earning potential of the deceased. And never does the face value come close ending the sadness and grief of loved ones.

However, life insurance money can help pay the bills. Life insurance can ensure the wife can stay in the home and the kids can go to college.

At the very least, life insurance can allow a family to carry on.

MassQuotes has been quoting life insurance in Massachusetts for over 20 years.

Our job is to find you the best term life insurance rates available.

Give us a click, call or stop by.

Merry Christmans, Happy Holidays & Happy New Year!

 

Massachusetts term life insurance quotes

Massachusetts Term Life Insurance

Life insurance. It’s never a matter of coverage, it was always about price. That is, of course, until someone dies. Then it’s about how much coverage, not how much it cost. MassQuotes provides free, complimentary Massachusetts term life insurance quotes.

Utilize our state of the art, comparative rating tool. Take a look at coverage, terms, and classifications. Quote with top companies and, if you find something that makes sense to you and your family, give us click, call or stop by.

Term life insurance is the most affordable type of life insurance you can purchase. If you’re looking for family protection: term life is the way to go (vs. whole life).

If you’re single, with no dependents, and looking for a small amount for burial and estate expenses then maybe a whole life policy is worth looking at. Whole life policies are permanent with fixed expenses.

MassQuotes provides free Massachusetts term life insurance quotes. Give us a click, call or stop by.

How much life insurance

How much life insurance

As a Massachusetts life insurance agent, I often hear the question: “How much life insurance do I need?”

It’s a great question.

The answer is, of course:  it depends.

Do you have a wife, a mortgage, 3 kids under the age of 15? How old is the youngest?

If, God forbid, you die, how much will your family need in order to pay the bills? Not just for a year or two, potentially, but for the next 10, 20 or 30 years.

In an ideal term, life insurance world, you want enough insurance to ensure your wife and kids will be able to thrive. For a time period of until, at least, each of them is old enough to work and pay for themselves.

As a general rule of thumb: $1M per child for a time period of 20 years if any are under the age of 15. 30 years if under the age of 5.

So, how much life insurance do you need?

How much can you afford?

Or, better question, how much can you afford not to have?