Keeping Those Supplemental Benefits

I have spent a good portion of my insurance career working in the worksite benefits arena, helping people choose which insurance plans are best for them and their families. The employers decide which plans they want to offer and then we, as benefits counselors, sit down with the employees individually to discuss the different types of coverage. These ancillary or "voluntary" insurance products are deducted from their paycheck and the employees appreciate the convenience of it, but also are aware that their take home pay will be lower.

Many times the menu of coverages includes insurance policies for disability, cancer, hospital indemnity, accidents, critical illness, heart and stroke, and of course, life insurance. The employees can opt to cover themselves, a spouse, children or the entire family.

One of the many factors that the employees like is the "portability" of the policies, which means that if they leave their job they can take the coverage with them. And herein lies the rub. 

Not everyone leaves their job for greener pastures. Some may decide to move on to open their own business or to retire with a pension. For those people portability is a good thing because they probably can afford to continue paying those premiums on their own.

As we have seen with the Covid_19 epidemic, others may be laid off, fired, furloughed or just quit. For these folks, losing a paycheck may be the end of their coverage, as they probably will not have the funds to keep paying for those extra coverages. 

One of the issues here is that when these people originally purchased these plans, they were quoted premiums based on their pay frequency. In other words, if someone is paid weekly, the agent would say that a cancer plan is $6 each pay, because that is how much is coming out of their check. That doesn't sound as bad as $25 each month and most people don't do the math. 

A few weeks after the employee loses his or her job, they will get a notice in the mail asking them if they want to continue the coverage with a couple of options. One option is to have the premiums drafted out of their bank account or paid quarterly. Using our example above, the person who is now unemployed is being asked to write a check for $75. If they have not yet found another job, that money probably won't be in there budget either.

Another issue here is that many people simply do not have jobs that offer these benefits. For those individuals, who like us, are self-employed, small business owners or contract employees, voluntary benefits are not available. 

With this in mind, we have decided to begin offering our menu of supplemental policies on an individual basis. It doesn't matter if you run a business from home or out of your car. Everyone can now apply for coverages they want or need. A few examples are:

• Disability insurance - Business owners are usually working longer hours, no matter what the profession. If you are out of work and can't work, those bills don't stop coming in.
• Hospital Indemnity - These plans cover you for being in the hospital. With Covid_19 in the news lately people have started to express more interest in this plan.
• Cancer - We all know someone who has been affected by cancer and for many people a good cancer plan gives them peace of mind. 
• Accident insurance - If you are active, work a physically demanding job or have kids who play sports a good accident plan can help you with sudden out-of-pocket expenses.

When it comes to price, none of these insurance plans are going to break the bank. Head over to the Surf Financial Brokers website and check out our list of products. A few even have short videos explaining how they work. In the meantime, if you have questions about them, let us know. And please stay healthy!

Chris Castanes is the president of Surf Financial Brokers, helping people find affordable life and disability insurance coverage. He's also is a professional speaker helping sales people be more productive and efficient and has spoken to professional and civic organizations throughout the Southeast. And please subscribe to this blog!

The Surf Financial YouTube Channel

As mentioned in a previous post a few weeks back, Surf Financial Brokers has made a serious effort to expand our social media footprint. We added an Instagram page to our group of platforms recently and now we have a full-fledged YouTube channel. 

We hope both Instagram and YouTube will be great for our business. Recognizing that many people are visual learners and that not everyone wants to read a blog, we hope that short informational videos on topics like life insurance, disability insurance, long term care insurance and our other products will help our viewers understand how these policies work, along with reasons why people should look into them. 

Did you know that YouTube is now the number two search engine, behind their parent company, Google? People search on YouTube for all kinds of information, from how to repair the thermostat on a 2005 Chrysler to the best way to make a pan-fried steak. Personally, it can be a lot easier for my brain to retain information when someone is explaining it to me, rather than reading a blog. 

We had a couple of reasons for wanting to do all of this work from a marketing standpoint. First, the traditional way of prospecting, asking for referrals and networking is good, but it can wear an insurance agent down. And we had a feeling we were missing out on a more social media savvy segment of the population. (see "younger people")

Making Surf Financial Brokers more of a virtual agency was starting to look appealing over a year ago.Then the pandemic arrived and sped things up a bit. Since we had already decided to make the adjustments, the virus just expedited the process. 

The internet has changed the way almost everyone does business. From marketing to the delivery of products and services, nearly every industry has had to make changes in the last 25 years. The life insurance industry still has a few holdouts though, who maintain that policies need to be "sold" in person by a trusted agent. 

This old school way of thinking kept agents, for the most part, limited to a geographical location. By expanding our social media footprint, we hope to cast a wider net of prospects. And we provide tools for our clients to use that can help them do some homework before setting an appointment with us.

As we have seen with auto insurance, more and more people are comfortable looking for coverage online. And almost all of the major car insurance companies have a strong social media presence. We hope this translates to other lines of insurance, including life, disability and long term care.

By making Surf Financial Brokers a "hybrid" agency, we can give the personal touch of having a live person on the phone if you have a question, as well as a virtual aspect for those who want to do their own research. As one of our taglines says, we're the "No Pressure Insurance" company. 

A great way to convey that message is through our various social media pages. You can find us on Facebook, LinkedIn, Twitter, Instagram and YouTube. With a mix of memes, blogs and short videos, we hope to get the word out that Surf Financial Brokers here to help people protect themselves and their loved ones. 

Look us up on YouTube and subscribe to our channel. And please, stay healthy.

Chris Castanes is the president of Surf Financial Brokers, helping people find affordable life and disability insurance coverage. He's also is a professional speaker helping sales people be more productive and efficient and has spoken to professional and civic organizations throughout the Southeast. And please subscribe to this blog!

Pre-Exisiting Conditions

Pre-existing conditions have been mentioned in the news of late, mostly because of the debate surrounding the Affordable Care Act (ACA), otherwise known as Obamacare. In regards to major medical insurance coverage, people can currently still be covered for illnesses that they may have had recently or, in many cases, still have. 

When it comes to life insurance, disability and other related types of insurance, pre-existing conditions are still considered by the insurance carrier's underwriters. This doesn't mean that someone will be refused a policy, but depending on the situation, it can be difficult to get and/or more expensive.

Different kinds of coverage will have varying types of underwriting restrictions. For example:

Life Insurance - Underwriters consider a large swath of items when looking at covering your life. Things like smoking, obesity, previous illnesses, current illnesses, dangerous hobbies, DUI's and family history all get looked at. A few years ago I had a client who was morbidly obese but wanted some life insurance. We found her a plan, but it was "rated up", which means that the company increased her premiums to reflect the risk they would be taking on by insuring her. 

There are companies who offer "guarantee issue" plans, but they are expensive and will sometimes limit the death benefit in the first two years. Obviously, the people who apply for these policies know that their health is not good and are rarely surprised by the rate jumps. 

Disability Income Insurance - As with life insurance, many of the same factors apply. I had a client who flew a small airplane once a week for work. I thought it would be an issue until the underwriter told me that "if he crashes that plane, he won't be disabled, he'll be dead." She issued the policy.

When I work with people who are looking at company sponsored group benefits, pregnancy often comes up in the disability conversation. Most of the carriers will cover the time after delivery for a few weeks, but with limits, and the applicant may have to wait up to 10 months for coverage to be effective.

Long Term Care - In my experiences, this has always been one of the insurance products that have the toughest underwriting guidelines. The underwriters like to "connect the dots" with the information they have. For instance, I had a lady who, years before her application, had fallen off the bottom rung of a ladder, resulting in a hairline fracture of her kneecap. Now she had been diagnosed with osteoarthritis, so the underwriter decided that she had brittle bones. It took a candid conversation with the underwriter to explain that the two were not related and the policy was issued. 

In another case, I had a gentleman who had some heart issues and smoked a few cigars each week. The underwriter declined his application citing that the cigars could contribute to a cardiac event. Not long after the gentleman died of a heart attack. 

As you can see, there are a lot of issues and concerns that go into issuing these insurance policies. As an agent, we have to be fairly good at knowing about our carriers and their underwriting guidelines. I had a conversation last week with one of our partners who markets long term care insurance. We were discussing a company that I had not been aware of previously. When I asked about them he said," They are great if you are healthy." That's all he had to say. 

We do our best to help you find the best policy for your needs and in your budget. Check out our website and book a phone consultation. And please stay healthy!

Chris Castanes is the president of Surf Financial Brokers, helping people find affordable life and disability insurance coverage. He's also is a professional speaker helping sales people be more productive and efficient and has spoken to professional and civic organizations throughout the Southeast. And please subscribe to this blog!

What's The Deal With State Insurance Licenses?

If you have a driver's license in one state, you can still drive legally in other states. The same holds true with marriage. If you are married in one state, the other states will recognize your marital status. 

This isn't true if you have an insurance license, which makes selling insurance in the United States a tricky affair. As a licensed insurance agent, I have to hold a "residence" license, which as the name implies, is from South Carolina, where I reside. However, if I want to sell a policy to someone from a different state, I have to pay that state a separate fee for a "non-resident" license. Imagine having to get a new driver's license in every state you drive through.

The basic rule that is taught to insurance agents is that you should have a license in the state where the client's feet are in at the time of the application. If I am in South Carolina but I'm taking an application on someone who is in Tennessee, I have to hold a valid non-resident license for the Volunteer State. 

As an agent who markets on the internet, I have to be cognizant of where clients are calling from. I am licensed in three states currently (South Carolina, North Carolina and Virginia), and hope to get some paperwork finished with Tennessee soon. 

For an independent agent like myself, this can create a lot of problems that can be very expensive. Each state has its own fees, which come due every two years or so. One solution that I devised is to have other agents on hand who have licenses in other states. For example, my great colleague Jeanne Doran, is licensed in the state of Maine. We also have another agent, Travis Burt, who is licensed in 12 states. This helps us tremendously when clients contact us from out of state. 

But from a insurance company perspective, dealing with all of the state insurance departments can be a logistical nightmare. Let's assume that the ABC Insurance company has a life insurance product, a whole life policy. ABC takes that policy to the insurance commissioner of Virginia, for example, and has to get it approved. The insurance department must also approve the brochures, applications and any other applicable forms. 

Now let's assume that ABC is wanting the same policy approved in Texas. No problem, except they would like to have a section of the brochure printed in red ink instead of black. 

Imagine having to do that with a couple dozen products in all 50 states. Each state would have their own version of the necessary forms and applications. And some of the states may not approve of the insurance product at all. 

All of this costs companies and agents a lot of money each year. As the world gets smaller through the world wide web, the insurance industry needs to work with insurance commissioners to make sure that the residents of a state have access to the latest and most innovative products. As Surf Financial Brokers grows its network of agents we hope to be able to provide great life, disability, long term care and short term home health care insurance polices, as well as our super line-up of cancer, accident and critical illness plans.

Please check out our website and let us know if we can help you. And please, stay healthy!

Chris Castanes is the president of Surf Financial Brokers, helping people find affordable life and disability insurance coverage. He's also is a professional speaker helping sales people be more productive and efficient and has spoken to professional and civic organizations throughout the Southeast. And please subscribe to this blog!

Is There A Covid_19 Insurance Package? (Pt. 2)

In the last post told you about a couple of insurance products, namely life insurance and disability income insurance, that are a great fit if you are concerned about catching the Covid_19 virus. In my opinion they are two insurance coverages that everyone probably needs. As a matter of fact, when I speak to groups about their insurance products I discuss the "Holy Trinity of Insurance", consisting of life and disability insurance, as well as the major medical portion. 

Just because other products are not in the Holy Trinity doesn't mean they can't be good products and act as the "saints"(as you can tell my mother sent me to Sunday school). I have a couple of  options for you if Covid_19 is in the back of your mind.

The first policy I would like you to consider is a Hospital Indemnity (HI)* plan. Generally speaking, HI plans cover you for being admitted and confined to the hospital. There are a few other benefits that we see from time to time, including anesthesia and outpatient surgery, but not all policies have those or they may be additional riders. These policies can vary dramatically from different companies and also state regulations, so check into what is available in your state. 

One of the things I like about most HI plans is the simplicity. Generally speaking, an HI plan will offer a daily confinement benefit that you decide on. For instance, you can choose $100 or $200 a day benefit. Some policies will offer an additional benefit for being admitted to the hospital like $2500 or $5000. These plans offer riders for critical accidents, skilled nursing facility, outpatient surgery, as well as dental and vision. With all of these riders available one can "customize" their policy for their own needs and budget. 

You can get a great description of the policy and run your own quote by clicking here. 

One other policy I want to mention may sound out of place in a discussion about Covid_19, I think it deserves a listen. Given that nursing facilities are suffering greatly from the virus, which apparently is very contagious amongst the residents and caregivers in these facilities, the option of staying in your own home is much better. Of course, there is one obstacle in that strategy, and that's price. 

In my hometown, a good skilled nursing facility would have cost my father around $35,000 a year. He was adamant that he wanted to be in his home and hired a home healthcare company. The cost of this was over $75,000 each year. Even though he really couldn't afford it, my father used the equity in his home to pay for the caregivers to stay with him around the clock. 

With all of this in mind, we offer a Short Term Home Healthcare plan, which helps pay for those expenses related to staying in your own home. Unlike a Long Term Care plan, this plan helps you pay for care only in your own home for up to 365 days (not necessarily in a row). Even though the carrier recently changed the minimum age of this coverage to 61, it is still very affordable and you only have to answer a few simple health questions. To see a short video on this product click here. 

So if you are concerned about how Covid_19 could affect you or your family's finances, look us up on the web and book an appointment to speak with us. In the meantime, please stay healthy. 

*Not all policies are available in all states and rates are subject to underwriting. 

Chris Castanes is the president of Surf Financial Brokers, helping people find affordable life and disability insurance coverage. He's also is a professional speaker helping sales people be more productive and efficient and has spoken to professional and civic organizations throughout the Southeast. And please subscribe to this blog!

Is There A Covid_19 Insurance Package? (Pt 1)

The Covid_19 has now struck at the highest levels of government and has illustrated that no one is immune to virus. For many of us, the pandemic is something that is a concern, especially as businesses and schools begin to reopen.  Whatever virus "fatigue" that was there has quickly evaporated. 

As I was enjoying a meal with a couple of close friends this weekend, the topic of the pandemic reared its ugly head. One of my buddies asked if there was any particular insurance product that would help people who were concerned about Corona.

Actually, there are several products that come to mind during these times. Each insurance product has a need and can help those who could be worried about the virus ravishing their family's financial situation. To be clear, these products are subject to underwriting and may not be available in all states. Let's look at a few.

First of all, there is life insurance.  After 9/11, the American people had a wake-up call. They realized that they could die at any given minute without warning. For about 6 months after that tragic event, life insurance sales spiked. Sales of life insurance have risen again with fears of the virus working its way through families. 

If the main breadwinner of the family should die unexpectedly, the rest of the family could be in a world of financial pain if there is no life insurance in place. Making sure that your spouse and children can maintain their home, pay off any outstanding debt and insure that your kids can afford a good education can be accomplished with an affordable life insurance policy. 

What happens if, God forbid, you should lose a child due to the virus. It's a terrible thing to consider. Unfortunately I have attended many a fish fry fundraiser to help pay off the cost of a child's funeral. People are hesitant to purchase insurance on child. As one parent told me, "I don't want to profit off of my child's death." No one says you have to profit at all. But there will be expenses and if there is any money left over from the insurance policy, the parents can set up a scholarship fund or contribute to a charity "in memory" of their child. 

If you are confused as to whether you need term life insurance or a permanent plan like whole life or universal, we can have a conversation to help you find out what your needs are, as well as your budget. 

The second type of insurance I would consider is Disability Income Insurance (DI). A good DI plan should be in place to replace the income of the person who is sick or hurt and not able to work. As we know, the survival rate is high among those who contract the virus, but it can still keep you from working. As stated before, your most valuable asset is not your home or car or investments, but your ability to earn a living. And when someone is out of work due to an injury or illness the bills don't stop coming. 

Many people don't seem to realize that they are one medical emergency away from dire financial straits. Did you know that over 80% of all disability claims are due to illness? And that 62% of all bankruptcies are due to medical costs? Having a DI policy in place can keep a stressful situation, like being seriously ill, from becoming much worse when the bills start to pile up.

These are just a couple of the products that can help you if you are concerned about the virus, but there are more we will cover in the next post. In the meantime, please continue to social distance and stay healthy!

Chris Castanes is the president of Surf Financial Brokers, helping people find affordable life and disability insurance coverage. He's also is a professional speaker helping sales people be more productive and efficient and has spoken to professional and civic organizations throughout the Southeast. And please subscribe to this blog!

Great Cycle Challenge - Cancer Bike Ride

As September was Life Insurance Awareness Month, we failed to mention one of the other interesting items that took place involving a couple of our associates. 

The Great Cycle Challenge began in 2015 and has quickly become one of the biggest cycling events in the country. People of all ages, abilities and from every state across the country set themselves a personal riding goal and challenge themselves to pedal to fight kids' cancer. For 2020 the challenge took place in September. 

In the previous 5 years, the riders from all 50 states across the country had ridden a total of 18,831,130 miles and raised a total of $24,615,507! That money goes to support research to develop better treatments and find a cure for childhood cancer.

Two of our very good friends participated this year and both did fantastic. Donna Cash, a retired school administrator in North Carolina, set a goal of 300 miles and to raise $500. Donna, who is a colleague of ours and an all-around awesome person, rode 303 miles and shattered her goal with $668. Good job!

Jeanne Doran, one of our Surf Financial partners in crime, also rode in the event. Going above and beyond the call of duty, Jeanne rode a total of 455 miles and raised $2615. Congratulations to both of these amazing people and a hearty thanks for helping a good cause.

I spoke to Jeanne last week and let her know what a great job she did. As cancer has touched all of in some form or fashion, we discussed what a great way the bike ride was for getting the message out about kids' cancer, as well as other cancers too. 

That's when Jeanne and I realized that we offer cancer insurance plans and those plans should be part of our messaging also. 

I've related the story in the past of the gentleman whose son was receiving cancer treatments in a town nearly two hours away. Since the father was having to take time from work to travel with his son, their financial situation was dire. At the last minute the father's employer remembered that there was a cancer plan in place and it literally saved the day. 

Most people purchase their cancer plans through work, which is fine and convenient. However, if you are self-employed, a small business owner or, like us, an independent contract employee, you may not be eligible for a group cancer plan. Not to worry, because we offer an excellent plan that is available on an individual basis, and is still quite affordable. 

Through the years we have heard stories from clients who will tell us how much their cancer plan came in handy when they were receiving treatments. Yes, their medical coverage picked up the bulk of the hospital and doctors' bills, but there were still a lot of out-of-pocket costs associated with cancer. Co-pays and coinsurance are just the beginning. Travel and lodging expenses if treatments are out of town can add up, and not everyone is eligible for the Ronald McDonald House. Of course, the loss of income can be detrimental to the financial stability of the patient's family. 

If you would like some information about our cancer plan, check out this video. And if you would just like to contact us for rates or other information, feel free to schedule a phone appointment. In the meantime, stay safe and healthy. 

Chris Castanes is the president of Surf Financial Brokers, helping people find affordable life and disability insurance coverage. He's also is a professional speaker helping sales people be more productive and efficient and has spoken to professional and civic organizations throughout the Southeast. And please subscribe to this blog!