01/24/2020
"At the young age of 14, I was diagnosed with insulin dependent diabetes. From that point forward, I was all but uninsurable." - Jordan Ehrich -
Once an insurance policy is in force, and so long as premiums are paid regularly without laps, it doesn't matter what medical condition, hazardous avocation (hobby), or other excluding factor the insured is diagnosed with or engages in, within reason, the insurance policy cannot be changed, canceled, or revoked.
This is what is known as Ensuring Insurability. Take the example above for instance. Had a whole life insurance policy been taken out prior to Jordan being diagnosed with insulin dependent diabetes, Jordan would have been "locked in" for life. After having developed diabetes, his coverage could not have been changed unless he were to have a laps in premium payments and needed to reinstate his policy.
So, then, what is the benefit to having a life insurance policy to begin with? In fact, the benefits are many. No parent or grandparent ever wants to think about the mortality of their child or grandchild, so aside from the death benefits of life insurance, there are many living benefits that will keep your child protected for their entire life. Here a just a few.
Terminal Illness Coverage - If at any point in time during your child or grandchild's life, whether as a child or after a long, healthy, and loving life, they are diagnosed with a terminal condition and given less than 12 months to live, they will have access to part or all of the death benefit while they are still alive.
Critical Illness Coverage - If your child, now or 60 years from now, is diagnosed with cancer, suffers a heart attack or stroke, develops, Alzheimer's Disease, kidney failure, organ failure, or so on, they will have access to all or part of the death benefit of their whole life insurance policy while they are still alive.
Chronic Illness Coverage - If your child is unable to perform activities of daily living, or requires substantial supervision to protect their health, or to protect them from injury, your child could use a portion of their death benefit to help cover paying for someone to help them with their daily needs.
Common Carrier Death Benefit - Most policies include a common carrier death benefit which is known as a double indemnity death benefit. That means that should your child die while riding as a fair paying passenger on a plane, train, bus, etc., their policy would pay two times the death benefit amount.
Guaranteed Insurability Rider - This is an amazing benefit that allows your child to increase the death benefit of their policy without have to show proof of insurability. So, what does that mean? Let's say that your child has a life insurance policy in place with a guaranteed insurability rider, and like Jordan, is diagnosed with insulin dependent diabetes at age 14. The guaranteed insurability rider will allow your child to increase the amount of coverage on their policy at specified periods in there life including, but not limited to, the birth of a child, marriage, and so on, without their diabetes being taken into consideration. This is one of the greatest factors in ensuring your child or grandchild's insurability.
Beyond the above benefits, Whole Life Insurance Policies build Cash Value. This means that you are investing financially into your child's future. The speed and rate at which the cash value of a life insurance policy grows varies from policy to policy and carrier to carrier. This is money that can be borrowed against to help pay for college, put a down payment on a house, help pay for a wedding, and so on. The possibilities are all but limitless. In the event that you or your child decide that you or they no longer wish to continue having a life insurance policy, the policy can be surrendered for the available cash value less any surrender charges if applicable, amongst other non-forfeiture options.
Finally, a life insurance policy holds one benefit that no parent ever wants to think about, and that is the death benefit.
"Having worked as a Paramedic for over a decade, I have had the displeasure of being there too many times on the worst day of a parent's life." - Jordan Ehrich -
Here at J Ehrich Brokerage, we want to make sure that as many parents and grandparents as possible are financially able to afford time away from work, the ability to fall apart, and the time needed to get back on their feet should they be faced with their worst day imaginable.
Life insurance is no longer just death insurance. Protect your child's now, as well as their tomorrow. Visit JEhrichBrokerage.com, to secure your child or grandchild's insurability today.
