Jack and Diane have done well together, and now they’re grandparents. Life is good. They are all set—except for that “oops” lurking in their trust that they aren’t aware of. After the first grandchild was born in 2002, Diane nudged Jack to have their Will reviewed. For good reason, the attorney recommended they create a...
Kurt is a 64-year-old widower. Comfortably retired, he likes to go the gym and play a lot of golf. His financial advisor is confident Kurt’s financial situation, while not unlimited, will allow him to do that for the rest of his life. Except for one thing; Kurt doesn’t have enough resources to protect him from...
Background: A recent UBS study found that 56% of widows experience a financial surprise at the death of their spouse. Additionally, a widow can expect an average 37% decline in income – money that won’t be there to maintain their standard of living. Many times, those bad outcomes result from the absence of a good...
Background: I recently attended an Estate Planning Council meeting. The program was based around case studies. They throw out a scenario; and have an interdisciplinary discussion about how to deal with all the ensuing pitfalls. The Problem: Upon reflection, it occurred to me that a majority of the people in the room make a living...
When I met Mike and Shelly, they were living in a small apartment with two young children. Their love for each other and commitment to family values was readily apparent. She was a stay-at-home mom, and he was on the beginning rung of a career he loved. The most immediate need was to move from...
Contrary to popular belief, not all life insurance companies are the same. Buying similar plans can end up with dramatically different results later on, depending on the quality of the organization issuing your policy. Here’s why: Problem When we conduct an independent policy review, an important part of our process is checking out the issuing...
The issue of marijuana use continues to evolve no matter where you live. While your state, like here in California, may have legalized the drug, the federal government still classifies the substance as illegal. As states push on despite the federal laws, the question of marijuana use is a hotly debated topic inside the insurance...
One of the things I’ve learned in this job is that we can’t always prevent bad news, but what we do can lessen the impact of that bad news. Here’s an example: Problem George died. He was lean and active and vibrant. You’ll never find a healthier sixty-year-old. He was a partner in a well-run...
Ronald Reagan popularized the phrase “If it ain’t broke, don’t fix it.” In many cases, that’s good advice. If, however, you’re a crew member on a submarine (like I was) – it’s not good advice at all. We were trained to a higher standard of care. We made sure it was working, but it was...
Over the years, we have seen and collected too many examples of the damage “conditional” insurance policy guarantees can create. The following is a real life example that happened to one of our clients. Every January for the last 27 years, Fred has paid the $1,500 annual premium on his life insurance policy. Last September...