Viking Magazine - April 2010 - 43

Life insurance is
fi nancial protection.
Term insurance provides protection
for a specifi c period of time-usually
up to 30 years. You receive the benefi t
only if you die during that time. Premiums
are lower than for permanent
insurance. Families may choose this
type of policy to provide affordable
protection for the years they have minor
children at home.
With permanent insurance you
own the policy and it accrues cash
value over time-without being subject
to taxes. The cash value can
provide money for education, retirement,
or emergencies. A permanent
policy's coverage is for life-not a set
amount of years.
Choosing a Benefi ciary
The ACLI advises policy holders to
think about the wording of benefi ciary
designations and keep it current. It
may be important to specifi cally name
your spouse (to avoid proceeds going
to an ex-wife or husband), but if you
name specifi c children, later-born children
will be left out unless the benefi -
ciary designation is changed. Consider
naming a secondary beneficiary, in
case you outlive your fi rst selection. In
the event both parents die while the
children are minors, you may want to
name the guardian of your children as
the benefi ciary to oversee the proceeds
until the kids turn 18.
In any case, don't put off this critical
fi nancial decision. " Some people
are reluctant to think about death
and others procrastinate looking at
their fi nancial needs, " Brostoff says.
The sooner you overcome these
obstacles, the sooner your family can
rest assured they will be cared for in
the future. V
GREG RAGAN
2009 Financial Benefi ts
Counselor of the Year
From Rockford, Ill.
Q: How much life insurance
should I buy?
A: A good rule of thumb is to
buy a policy in which the death
benefi t is six to eight times
your personal annual income. It
depends, too, on your lifestyle.
Make sure you leave enough
behind to take care of your home,
your family and possibly pay for
all or a portion of your kids' college.
Work with a fi nancial professional
to analyze your needs and
select the right policy.
Q: Should both spouses have
a policy?
A: Families often think of coverage
for the breadwinner, but
even if the stay-at-home spouse
isn't bringing home an income,
a policy is often a good idea.
Consider the cost of childcare
if something happened to that
stay-at-home parent.
NORDIC WHOLE LIFE*
Permanent life insurance with fi xed annual premiums
and guaranteed cash values. See the latest issue of Advisor
in your mailbox or on the web for more details.
*Form WL10, not available in all states.
Q: How often should I update
my policy?
ii Next month: Successful money management as a couple.
A: Talk with your agent periodically.
It's a good idea to review
your fi nancial plan every two to
three years, especially when you
have a signifi cant life change,
such as buying a house, having a
child or starting a business.
A pri l 2010 V I K I N G 43
Available
April 1
Viking Magazine - April 2010

Table of Contents for the Digital Edition of Viking Magazine - April 2010
