I recently made a podcast with Monty Loree who runs the Canadian Money Advisor site at http://www.canadian-money-advisor.ca/podcast-summary.html.
A lot of the conversation was about life annuities and their growing importance to the investing public.And the question arose;why life annuities?
A growing number of people are fed up with the stock market and its volatile behaviour which makes everyone anxious.
It appears about 99% of mutual and segregated fundholders were left in their sinking funds as the Dow fell from 14,000 approx to 6,500 approx in March 2009.All of these clients could have been moved into money market funds or daily savings accounts where they would have made little or no money or even lost a very little,but at least their capital would have been preserved.But no,they were left to rot and now face a market which has struggled back about 50% or so.
So do they stay in and hope to recover more? Or do they bail and head for security in a life annuity? With a life annuity the income is known,it last a lifetime (literally ) and you don,t care if the market falls into a black hole as it probably will.And that is why the public are turning to life annuities. POSTED BY IVON T. HUGHES AT 2:15 PM 15 COMMENTS
THURSDAY, NOVEMBER 19, 2009
Your Term Life Insurance Exam
When you purchase a life insurance policy, you may be required to take a medical exam. Life insurance companies need these medical exams to determine the premium to be charged. If the medical exam results indicate that you have a greater risk of dying at an early age the life insurance company will charge higher premiums. However, if you are in good health you will pay the standard life insurance premium.
Life Insurance Factors
Life insurance companies use two factors to judge how much to charge. The mortality rates of people are statistics found in the longevity charts of the life insurance companies and the second factor is your medical exam and history. Generally life insurance medical exams are carried out by para-medicals or doctors who are hired by the life insurance company. They will come to your home or office unless the life insurance company requires additional tests. The questions on a life insurance application are divided into two parts. Part 1is usually completed by your agent in your presence or online by you. Part 2 is the paramedical. Once you submit your application for life insurance , the insurance paramedical services needs all your information and the amount of life insurance that you are applying for.
Life Insurance Requirements
As part of your life insurance medical exam you will be asked about: - Your personal medical history
- Your family’s medical history
- Contact details for your primary doctor
- Information on your life style habits; if you smoke, drink, or use drugs - What and how much life insurance you are interested in purchasing
What Are The Life Insurance Procedures?
The following are the procedures that you can expect during your life insurance medical exam: - weight and height measurement
- measurement of blood pressure and pulse
- blood work (to check cholesterol, glucose, protein and HIV) - Urine Analysis (to check on protein, glucose, creatinine and cocaine)
Keep in mind life insurance exams vary from one life insurance company to another life insurance company. If you are older and want a large policy, you might be required to undergo ECG’s or other tests.
What is your life insurance company looking for?
Basically, the life insurance company needs to know what risk you pose to the company. When the medical practitioner collects samples of blood and urine, they will test liver for kidney disorders, diabetes and other immune disorders. Urine samples will also be analyzed for medications, cocaine and other drugs. If you plan to buy a large amount of life insurance, you might need a blood profile as well.
The results of your life insurance...