Life Insurance for the “The Unknown and Unknowable”

life insurance

As Box owners and Coaches, days are spent preparing clients for the physically unknown and unknowable. But in life, there are unknowns for which many personally fail to prepare.

Recently 1,000-plus athletes in nine Boxes were surveyed from across the U.S.

• Fifty percent of members surveyed earned an income of $50,000 to $125,000 per year.

• Thirty-five percent earned an income in excess of $125,000 per year.

While these statistics may not be surprising, they don’t necessarily reflect the financial norm for most Box owners and Coaches. In fact, many of them live on far less than their clients and forego many things their clients have in abundance.

As the years quickly pass, the coaching community is aging. Many who started coaching in their 20s now have spouses, families and businesses to protect.

While most clients have healthy life insurance policies, most Box owners and Coaches have no coverage at all. Further, no one is saying just how inexpensive it can be for coverage because of healthy lifestyle choices.

Agents work on commission, and Box owners and Coaches — by and large — qualify for the lowest premiums carriers offer. Those low premiums can be roughly 40 to 50 percent less than that paid by the “Average Joe.” And those savings mean lower commissions for the agent, making the owner and Coach “less interesting” sales.

There are four points about life insurance that everyone needs to understand:

1. Term life insurance is normally the cheapest option. There is a huge array of life insurance products available today. Term life insurance coverage is provided for a low monthly premium. You pay your premiums on time, and it can’t be cancelled on you even if your health changes.

2. The younger you are, the cheaper your policy will be. Since term life insurance is individually underwritten — your risk of death is evaluated — the younger you are when you get it, the lower the premiums. Many purchase coverage before they have a family to lock in a premium substantially lower than what they would pay if they purchased the same coverage at an older age.

3. When coverage ends, you have nothing. However, the protection that was afforded during the term is irreplaceable. Term insurance is good for the term of the contract — normally you have a choice of 10 to 30 years. When that term expires, you can continue coverage without a health exam, but at a new higher rate. You may need far less or no insurance at all however, as the kids are grown, the home is paid for and your financial needs are far lower.

4. Not everyone who is fit will qualify for the best class of coverage. While health and fitness are very important in determining premiums, so is family history. During underwriting, your family history will be looked at, and if there are medical problems, they could negatively impact the premium you will pay.

There aren’t enough products that reward the Box owner and Coach for their healthy lifestyle choices. Life insurance is one of the very few that seeks to reward fit and healthy people by offering inexpensive premiums. For less than the cost of a monthly “drop-in,” the fit and healthy can likely protect their loved ones from “unknown and unknowable” tragedy.

 

By Todd Seabaugh. He is an Affiliate holder for CrossFit St. Louis and an alumni of the CrossFit Level 1 and 2 courses, CrossFit Kids, Endurance, and Football seminars. He is also the architect of MY LIFE COVERED and a licensed life agent in all 50 states. For more information, email todd@crossfitstl.com.