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By: David Murdock, Life Insurance, Healthcare and Group Benefits Risk Consultant at The Prewitt Group

Clients are often surprised by how simple and quick the process of purchasing life insurance really is. Responses like, “Wow! That was really easy,” or “That didn’t take long!” made me realize that people are often hesitant to purchase life insurance because they assume the process is time consuming and complicated. In reality, the process is straightforward.

The Process

First, complete an application, which takes 15-20 minutes, and then set up a paramedical exam. A paramedical exam is administrated by a paramedical group. They come and visit with you at your home or office to ask you medical questions and take your vitals. The results of the paramedical exam are what underwriters use to determine what type of risk the applicant poses and how they are going to offer a policy to the applicant.

Many people worry that a medical issue, even if it occurred years ago, will prevent them from getting life insurance. That’s almost never the case. It’s important to set those feelings aside and just step into the process.  The value of protecting your loved ones outweighs any hesitations about the process or the outcome.

The Value

Life insurance offers protection for your family and home in the event of your death. In fact, life insurance should be called “income replacement insurance.” Whether you are the single earner in your family or if you and your spouse are earning together, life insurance replaces the cumulative effect of your earnings. The importance of life insurance increases when you get married and/or start a family. It’s smart to acquire life insurance at a younger age, because you’re not only healthy, but you also pay the same rate over a period of time. As you delay the acquisition of coverage, you’re just gambling with the outcome.

The Policies

The most common type of life insurance is term life insurance, which lasts for a “term” of 10, 20 or 30 years.  The purpose of term life insurance is to provide enough face-value, depending on what your situation calls for, to replace your income for a period of time. While there are more complicated types of life insurance, they are more expensive and usually for individuals with extraordinary income who are looking for things to do with their income outside of the common expenses of life.

Getting a Quote

People frequently ask me for a life insurance quote to know how much life insurance is going to cost.  Just like every other agent in the U.S., I use an online quote tool.  I can plug in your age, gender, state of residence, the amount of life insurance you want, etc.  But, choosing a health class is a little trickier. While I can get some of that information from you, a quote is a very generalized idea of what that policy is going to ultimately cost. Instead of “getting a quote,” go through the process. Apply for coverage and when the policy is issued, you can adjust the face value to meet your budget once you’re approved. It’s that simple!

If you’re interested in learning more about life insurance, contact me today!

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Have you met Tyler Hudson? In 2018, Tyler joined The Prewitt Group team as an Employee Benefits Broker. He strives to create a better benefits plan that positively impacts a client’s or prospective client’s bottom line. When he is not working with organizations to tailor specific group insurance, healthcare and disability income products to their needs, you may find him travelling with his wife, enjoying lunch at Saw’s Juke Joint or cheering on The Tide. To learn more about Tyler, check out this Q&A:

Q: How did you get into the insurance industry?

A: Before The Prewitt Group, I worked at ADP helping companies streamline their back-office HR functions/software. I worked heavily with Benefits Administration systems, which eventually led me to a position as an Employee Benefits Broker.

Q: Are you seeing any new trends in the industry?

A: Yes, the only constant regarding the employee benefits industry is that it is always changing. One area in particular is employer-provided health insurance plans. On average, an employer now pays about $20,000 annually for a family health insurance plan. It is an upward trend from years past and the burden is being shouldered by both employees and the employer. Services for emergency room visits, surgical hospital admissions and administered/pharmaceutical drugs are rising, which increases the healthcare costs. My job is to help these organizations navigate through these rising expenses to find a better solution.

Q: What’s your favorite part of working for The Prewitt Group?

A: The people. I have a great working relationship with my colleagues and work with some very talented and caring people. I’m grateful to have great mentors who have helped me grow professionally. They have gone above and beyond to help me and take an interest in my personal well-being. I’m very thankful for that, and it makes it a great environment to work in.

Q: Who’s your biggest role model?

A: My dad. Unfortunately, I lost him when I was 18, but he was a great role model and a great man.

Q: Favorite travel spot/vacation?

A: I guess it would depend on the time of year, but my wife and I really enjoy travelling. In the spring and summer, we travel to Smith Lake and 30A often. In the fall, you can probably find us in Tuscaloosa and Bryant-Denny Stadium.

Q: Favorite spot to hang out in Birmingham? (Restaurant, park, brewery, bar, etc.!)

A: I’m a dive bar and BBQ fan, so I’ll go with Saw’s Juke Joint here. We live nearby and generally eat there a couple of times a week. I’m a huge fan of the Smoked Wings and Sweet Tea Chicken Sandwich but will give you an “off-the-menu” pro tip here – try the Loaded Baked Potato on a bed of French Fries served Roll Tide (With Red and White BBQ sauce) and bring your appetite.

Q: Hobbies?

A: I like spending time with family, playing golf, and attending sporting events.

Q: Anything you want to add about family, pets or personal life?

A: My wife, Kensey, and I got married in June of 2017. We are expecting our first child (baby girl) in a short two months! We also have a goldendoodle named Finn.

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