I have helped folks with life insurance and other financial instruments for almost 30 years, and I can assure you most have no idea what they own, why they own it, how it works, etc. They often determine the amount they need by checking the box, if company sponsored, and feel their job is done.

I often run into folks who have changed jobs either by choice or not, and lost their insurance. Let me assure you there is no life policy which does not take into consideration "pre-existing conditions." No open enrollment period allows a pass in the underwriting department.

The number of divorced and/or remarried parents running around with improper beneficiary designations is staggering.

Another major problem is when folks retire and find they have little or no insurance. This is like letting your auto policy lapse as your brakes are failing on the Katy Freeway at 5 p.m., it's nuts.

For most of this I blame our industry for doing such a poor job of education. When someone tells me they can't afford the premium even for basic term coverage, I wonder how they think their family will afford anything at their passing if no policy is in force. Having the right policy, with the right features is critical and so many persons are unaware of some of the possible riders for long term health care, guaranteed income, generation skipping, etc. Life insurance: It's not the samething grandma owned.

Ross, I have a quick question. My life insurance is through my employer. I have the most I can purchase without passing a physical (because I wouldn't). When/if I retire, will I be able to continue that policy, or is that up to my employer? I have attempted to purchase life insurance on more than one occasion in the past, but because of my health condition, I am very limited in the type of life insurance I can purchase and it is very expensive. Apparently there are afraid I will die! I do not want to think of how expensive it would be if I tried to purchase a policy at an advanced age.Thanks.

I don't feel comfortable giving advice knowing so little about your situation so don't rely on this note to take any firm action relative to your insurance policies either company or personally owned until after we have talked!

You need to contact your employer's HR department and ask them flat out if your policy has any "conversion" privileges. Some plans allow you to convert the policy to a permanent plan at your attained age without a physical or other health questions. You may ALSO be able to INCREASE the face amount at pre-determined dates in the future without any medical hassles. Some individually owned term polices have this as well. You say you have taken all you can without needing to prove your insurability. Depending on your age and the face amount of coverage, you can purchase some policies in the open market place without having to undergo a physical exam or submit medical records.

By the way, even with a health issue, there are carriers who may work with you at rates which may come as a pleasant surprise. There are folks who wonder why we would let life insurance lapse out from under us as we get older and sicker. Seems like a terrible time to lose protection as we get closer to "claim time." If you need help paying the premiums let the beneficiaries help out, after all who is going to get the money????

While you are at HR find out how the beneficiaries on your retirement accounts are set up and how this compares to your life insurance selections. Never name your "estate" as the beneficiary of anything as you lose all sorts of legal protections by doing so. Also if you have a pension plan, do not confuse this with a 401K, there are life insurance issues at play here as well. What you don't know can hurt you in the wallet at retirement time if you are blind sided and make a wrong survivorship option if married or you are interested in providing a benefit for another person. Everyone's situation is different.

Can't promise a complete solution, but if you want to discuss things there may be options. I am easy to find. rossraymond1@aol.com

Hope it all works out for you.

I just thought it was a quick question! Thanks, Ross, I'll contact HR and ask them about conversion.You know I can't contact you! Then you would know my secret identity! I'll have to think of a way to be sneaky about it!