Helping you protect what matters most
Risk Management is a key component to a well thought out financial plan. At GBB, our goal is to help our clients manage risks during the wealth accumulation and distribution phases of their lives. Transferring risk to an insurance company can at times be a cost effective way to manage the risk of dying prematurely, becoming sick or injured, or becoming unable to care for yourself properly.
Personal Risk Management Planning
Your family relies upon your income to provide for your lifestyle. Replacing this income is crucial in the event a spouse or parent dies prematurely. Term life insurance is an effective way to create an immediate estate to replace the deceased's lost income until the estate grows large enough to where the insurance is no longer needed. Permanent life insurance is often necessary for those with larger estates and/or illiquid assets such as a farm or real estate holdings. A GBB advisor can help identify how much life insurance you may need and evaluate your existing policies to make sure they are competitive with today’s rates.
Disability Income Insurance
Disability insurance is designed to replace a percentage of your income (up to 70%) if you become sick or are injured and are unable to work. The language in these contracts may be difficult to understand, leaving you unclear as to when you are eligible to collect benefits.
Disability insurance is an often overlooked aspect of a solid financial plan. Ask your GBB advisor to help explain how your contract works. If you don't have coverage, ask your advisor if it is appropriate for your situation.
Long Term Care Insurance
Long term care is the service many people require when they can no longer care for themselves. LTC insurance policies pay cash up front or reimburse policyholders for the cost of services to assist them with activities of daily living, such as bathing, dressing, or eating. You can select a range of care options and benefits that allow you to get the services you may need, whether in your own home or in a skilled nursing facility. There are many types of Long Term Care policies, ask your GBB advisor if you should consider a LTC policy to protect your estate.
Business Risk Management Planning
Key person insurance is used for business continuity. If your key employee were to become sick, injured or die prematurely, insurance provides capital to hire the best temporary replacement until a permanent successor can be hired. Putting this kind of policy in place can allow the business to continue operating without greatly interrupting cash flow.
Term life and disability insurance is used to buy out owners who can no longer provide value to the company due to a long-term injury, illness, or death. This simplicity of life and disability insurance is that it provides liquid cash when a triggering event occurs to re-purchase the ownership interest from the estate of the disabled or deceased party.
Nonqualified Deferred Compensation Plan
If you have questions about these types of insurance policies, call us! We are happy to provide a review of your existing policies to make sure they are up to date and priced competitively.