03/19/2020
Right now, many of us are trying to adjust to our new temporary lives (phoning, emailing, video chatting, running away from someone who attempts to touch us, etc.). As we all try to get through this together, we want to leave you with a few financial things to keep in mind. We remain dedicated to assisting you with any questions you may have.
First and foremost, none of the following is to be considered personal financial advice, as everyone's situation is different. If you have specific questions, please reach out to us. We will gladly help but only after gathering sufficient information about you and your family to formulate proper recommendations.
There has been much discussion about the stock market lately. The increased supply of oil from Saudi Arabia coupled with the Coronavirus pandemic have led to market declines overall, particularly in the oil and gas industry. Living in South Louisiana, this alone is concerning because we all know people whose jobs are tied to this part of our economy. It is impossible to know exactly when the "bottom" is, but we remain focused on our long term outlook as we continue to monitor the investment accounts and retirement plans of our clients.
We have been getting many questions over the last couple of weeks regarding budgeting and navigating this temporary setback that the whole world is currently experiencing. Of course, you should begin by cutting out any frivolous spending. If you have a significant other, prioritize what your needs and biggest wants are, and attempt to eliminate or reduce spending on the rest. If you now have kids at home 24/7, this may shift Netflix from the "want" category to the "desperately need" for instance. Just figure out what is most important for your household. Try to use this time at home to analyze your budget as well as organize any important documents and policies you have.
If you are trying to be budget conscious and have a term life insurance policy, compare your premiums to that of another carrier. Take the years remaining in your policy (at that same level premium), and compare its premiums to newly issued term policies for that same number of years with the same death benefit and riders. For example, if you got a 20-year level term policy five years ago, you can compare the premium you pay to that of a 15-year term policy starting now. If the new premium is higher, keep your old policy. You don't want to pay more for the same benefit. If the new premium is lower, you should see if you qualify for it. Just don't get rid of any coverage until you have the replacement coverage in force. If this is Tl;dr, just send us a message or call and we can discuss further with you.
If you are looking to compare prices, shop local and ask your local independent adviser. They will be able to shop rates from many different carriers (not just one insurance company) to get you the best rate. If you are reading this, you already know where to find one. Feel free to tag anyone who may find this information useful.
Wishing y'all the best in this unfamiliar time.
