Back to Basics: Life Insurance Awareness

September 15, 2016
DMD Staff

Whether we like to think of it or not, we'll all die at some point. Yet despite the clear benefits life insurance offers, nearly one-third of Americans still don't have it.

If your kids are anything like mine, by the end of August, they’re going a little stir-crazy with the boredom and heat of late summer. The turn to September, then, is welcome on several levels. September isn’t just back to school time: It’s also Life Insurance Awareness Month—a crucial need in a country where estimates show that as many as 38% of citizens have no life insurance at all.

How can that be, when the need for life insurance is so obvious? Two factors contribute most heavily to the avoidance of pursuing life insurance. Let’s take a look at both and consider how to break down those barriers.

The Unpleasant Truth

There’s no way around it: Considering your life insurance needs means confronting the idea of your own departure from the planet. For some, this is too tough a cross to bear. Some rationalize that their finances are in good shape, so their families will be fine if the unthinkable happens. For most dentists, who are likely to be the main breadwinner, this simply isn’t true. Other excuses include being in good health, and saying to yourself that you’ll do it just as soon as you have more time. Each of these excuses is weak.

Face it head on:

Burying your head in the sand and pretending there’s nothing to worry about is always recipe for failure. But equally true is that it’s a recipe for current unease. Many believe that facing down your life insurance challenge won’t benefit you at all while you’re alive, but the simple truth is that the peace of mind that comes from being prepared can lift an albatross off your shoulders. You know you need life insurance. If you don’t have it, take steps today to address the issue.

Life Insurance Products Are Too Complex

It’s true that there are many different kinds of life insurance. The investment vehicle that causes the most confusion among investors—annuities—are a kind of life insurance product. Terms and phrases like “term life,” “variable life,” and “life with period certain” can be confusing, as can the near-infinite number of options, riders, and requirements that go into first establishing a policy. There is, indeed, a detailed application and health assessment process associated with getting started.

Face it head on:

We’re here for you. Our

series

on life insurance basics is a great primer on all the things you’ll need to consider, including a look at the different types of insurance, the terms that may confuse you, and circumstances unique to you that should be part of the life insurance decision. This reading won’t make the process shorter, and it won’t make things easy, but it will make the journey less intimidating.

Start today. Being aware of life insurance is fine, but there’s nothing quite like having it.

1. If I die early my family will be OK

It’s true that some families might have enough assets to weather the storm of the loss of an income earner. Most American families need income replacement in the event of an unexpected death. Don’t underestimate the value a life insurance policy can have for your family. Try this

life calculator

to find out your needs.

2. I’m healthy so why waste money on life insurance?

This is one of the most frustrating excuses we hear for postponing the purchase of life insurance. The best time to purchase life insurance is when you are young and healthy. By applying for life insurance while you are healthy you are guaranteeing yourself

low rates

as well as family protection.

3. I realize life insurance is important. I will get it soon.

If you have a family to support and protect, get life insurance now. Don’t put it off. Procrastination can be a heartbreaking danger when it comes to family protection.