Most insurance companies will write into the policy contract exclusions that could be dangerous to your life or health because they could result in accident, injury, or even death. So, if you participate in anything that could be death-defying, you may be a red flag to insurance carriers nationwide.

If you already have your life insurance policy in effect then take up mountain climbing, skydiving, car racing or scuba diving (let’s say as a new years resolution), you’re in luck…you’re already covered. Even if you put off these adrenaline-rush/high-risk sports so you could get a good rate of coverage, you’re still safe. If your insurance rep questions these new activities, get a second opinion. Just as long as your policy has been active for an adequate amount of time, and you honestly weren’t considering these sports as the time you took the policy out, you should be OK. Insurance companies deal with this type of situation all the time, and as long as your are honest upfront and answer their questions truthfully, you should be free to do as you please.

Kagan Financial specialized in all life insurance policies. If you are a high-risk applicant and want coverage, do not hesitate to contact us. We will find the best possible plan for your excitingly active lifestyle. Contact Kagan Financial today for a free

Well, I tend to agree with the second statement. If you have people at home (spouse and/or children) that depend on you financially, you really should evaluate your financial status and see what they might need if, heaven forbid, you should pass on.

One benefit of getting life insurance at an earlier age is that you probably would pay a lower premium than someone in their 40′s or 50′s. Why is that? Well, you’re most likely at your healthiest and because of that, you’ll pay a smaller premium than your older self because you are less likely at that point in your life to become ill or die.

I would love to answer any questions you may have and help you determine when is the best time to get a life insurance policy. Contact Kagan Financial today!

It sounds like a trade of some sort, doesn’t it? It’s not, of course, but it is something those that are approaching retirement or retirees should consider. Here’s a breakdown:

Purchasing multiple immediate annuities (has a specified payment plan that starts immediately; usually purchased with a lump sum) over a period of time will provide peace of mind to those that worry about guaranteed income.  This also minimizes interest rate risk while allowing retirees use only a small amount of their investment while leaving the bulk of it in bonds and equities. Purchasing various policies from well-known insurance companies minimize the potential for for losses in the future.

Mapping out your plan for your annuity ladder is generally based one your age and life expectancy. Let’s say that you’re 65 and your life expectancy is 85. That gives you a solid 20 years of retirement. I always advise my clients to have their annuity ladder in place and purchased within 10 years (this is midway through their retirement). This way, you’re taking time to invest the money over the 10 years, but also have a good amount of time to reap the benefits.

At Kagan Financial, we have a network of specialist and experts that can help advise you when planning or approaching retirement. Contact us today and we’ll assess your lifestyle and financial profile and get you on the right track.

Saving for retirement is hard for everyone. For most, money is hard to come by these days. Expenses like a mortgage, tuition, car payments, credit cards and even day-to-day expenses. With your hard-earned money quickly going out the door on a regular basis, it’s hard to even think about putting some of it away for a rainy retirement day.

I’ve been reading a lot recently about how it seems as if women are having a harder time saving then men. Got me thinking and wanted to know what the factors were. Ready for this?

The first thing that women have against them is that they, unfortunately, make less money then their male counterparts. The reason why women make less is because they take more time away from working (i.g. maternity leave, caring for sick parents, etc.). In addition to that, it is a well know statistic that women make only 77% of what men do for the same job. Since retirement plans are typically funded by what you earn in your career, women have a smaller pool of money to invest.

The second factor is that most women are conservative. What do I mean by that? Well, they are less likely to take risks like men do. Typically investing in a safer retirement plan versus playing the market may hinder their bottom line. Yes, it sounds like the smart thing to do, I mean, who wants to risk their retirement money? But, sometimes it is good to take a chance and see how things play out.

Lastly, for most women, it’s really all in their minds. They seem to be more “risk-adverse” then men with more than just investing (environment, relationships, public policy, etc.). With predetermined opinions like that, it may be hard to change their minds and have them think differently.

The bottom line is that women need to take charge and talk to an expert who can analyze their current lifestyle and debt to assets. Contact Kagan Financial today to learn if you’re on the right track to live comfortably in retirement.

Another reason for the success of this product is because it has overcome one of the biggest obstacles for those that invest in long-term care policies…making big payments  for something that you hope you’ll never need. By grouping your life insurance policy with long-term care benefits, you’ll lock in a payout for your family and those that you designate to receive the death benefit.

The “hybrid” policy goes into effect once the policy holder declares that they need help with two or more “activities of daily life”. This can range from bathing, dressing, eating, etc. The policy will pay you on a monthly basis, or simply reimburse the long-term care expenses. This policy, however, will not cover cognitive loss or any type of mental illness.

The living benefits in a life combo product will not exceed the death benefit. This can be much less then what a standard long term care policy offers. Adding long term care benefits to a life insurance policy can increase your premium up to 20%, so make sure you do your homework before purchasing this new type of product.

Contact Kagan Financial today for more information on Life Combo Products.

Most people think that they won’t need long-term care when they get older. The majority believe that their children or grandchildren will be ready and able to care for them should they need it. Think again. Given how hectic most of our day-to-day lives are, chances are caring for a sick or disabled parent are few and far between.

It averages that older adults will need care for three to five years. That doesn’t necessarily mean health care, but home care as well. Dressing, food preparation, bathing, etc. are all daily tasks that need to be met. Before you dismiss obtaining long-term care insurance, read the misconceptions below. They may sway your opinion:

• I’m not old enough yet! This may be true, but the younger you apply for insurance, the more likely you’ll qualify for coverage. The average age that people apply is 57. The longer you wait, the more complicated your health may become.
• I’ll get it when I need it! Again, if you wait and you’re diagnosed with an ailment, you will not be covered. Get the insurance when you’re at your healthiest.
• I can’t afford it. Coverage will be less costly if you purchase it in your 50′s. The average cost for a 55 year old married couple is $195 a month. That’s well worth it if you consider how much you’d pay out of pocket being uninsured.
• Medicare will pay for care. Medicare only covers for short periods of time and for instances like rehab for an injury or illness. Long-term care  will help supplement the additional costs incurred.
• Long-term care insurance only covers nursing home costs. Not true. This insurance covers both nursing home care and home care.
• My family will take care of me forever. Most of us believe that our families will take on the responsibility. But, as mentioned before, life is so hectic nowadays and finding time to take care of a sick parent or loved one may be close to impossible.

If you are in your 50′s, please consider getting Long-Term Care Insurance. If you should become ill, you may be subject to thousands of dollars of bills that will not be covered by your regular insurance. Contact Kagan Financial today to learn more about Long-Term Health Care and how you can benefit from it.

Being on your company’s disability insurance program or enrolling in individual coverage (if you work for yourself) can put this stress at ease. There are 6 different types of policies to consider. I have listed them below:

1. Individual Disability Insurance: This plan is for those that are self-employed or have no company insurance. The benefits will differ depending on what the job role and responsibilities are, and how much of a risk is involved. The state in which you reside and work plays a role in the cost of the premium as well.
2. Business Overhead Expense Insurance: This insurance will cover the operating costs of the company should the owner become injured or disabled and unable to fulfill his or her job requirements.
3. Key-Person Insurance: This insurance is taken out on the person that brings in the revenue that support the companies daily operations. Typically it is a President, Vice President, or Chief Officer. This can cover training and salary of a temporary employee while the key person gets better.
4. High-Limit Disability Insurance: This entitles the policyholder up to 65% of their income should they get injured or become disabled. This is in addition to insurance that is already in place.
5. Employer-Supplied Disability Insurance: This is acquired by the employer for the employees. Worker’s compensation is under this policy and is only valid when the employee is hurt while on the job.
6. National Social Insurance Programs: This is provided through the government. This ensures that citizens are given enough benefits to prevent them from becoming poor while disabled.

Kagan Financial has experts on disability insurance and can answer any questions that you may have. Contact us today to find out if disability insurance is right for you and your company.

If you withdraw funds before you turn 59 1/2, you will incur a penalty. Most times it can be as much as 20%. In addition to that penalty, a 10% penalty will be added to the tax charge. It is important to read all of the fine print before withdrawing or transferring money from your 403(b). You’ll end up paying and arm and a leg for your own investment.

A benefit of a 403(b) is that employers have the opportunity to match what you contribute on a pre-tax basis . This is a great way for you to take advantage of free money and start building your nest egg.

Another benefit is that you can defer up to $17,000 per year. And once you hit the ripe old age of 50, you can add another $5,500 that allows you to build your investment at a more rapid pace.

If you currently have a 403(b), let Kagan Financial review your plan to see if you are getting the most for your retirement. Investing now will provide you a comfortable and happy future.

Immediate Annuity: This annuity is purchased with a lump sum of money and has a specified payment plan that starts, you guessed it, immediately.

Deferred Annuity: This particular annuity is the most common. It has two phases, which starts with the savings phase. Here is where you determined how much you intend on putting into the annuity per month. This phase can go on for a determined amount of years, until it hits the income phase, which is when the annuity starts paying you an income for the rest of your life.

Whether you decide to start an annuity with a lump sum or contribute to it monthly is completely up to you and what you financial position is. Kagan Financial can educate you further on annuities and steer you in the right direction for your retirement. Call us today at 1-800-774-0945.

PROS

1. Tax Benefits: The money that you invest in the annuity grows tax deferred until you start to withdraw. Only the gains made on your annuity are taxed, and at a lower rate then when you are working, which is great news since most have a lower income during retirement.

2. No Limit on Contributions: 401K’s and IRA’s have limits to what you can invest in them. Annuity contributions are unlimited, so the more you put in, the more you’ll get out!

3. Guranteed Payments: Giving the current economy and unpredictable stock market, your rate of return is guaranteed. No need to worry about losing money.

Now, since there are always cons to things, I thought I share the two that I’m familar with (and there’re small ones):

1. Withdraw Penalties: If you decide that you need extra money before your annuity starts paying you, you will be charged a penalty fee. They can be as high as 10%, but do decrease over time. (If you need money, do not hesitate to contact your financial advisor to see what other options are available to you before you dip into your annuity).

2. Fees: Some annuities can have fees up to 3%, so it is super important for you to do your homework before you decide on an annuity that’s right for you.

You’re learning more and more about annuities and I’d be more than happy to talk with you more about one that’s right for you. Contact Kagan Financial (based in Philadelphia, PA) today and ask for Loren.