Instant Quotes

Keeping Your New Year’s Resolutions in 2013

What are your New Year’s Resolutions for 2013?

  • 11148278_s-New-Years-Resolution-300x300Quit smoking
  • Spend more time with family and friends
  • Lose weight
  • Exercise more
  • Save more money for retirement
  • Buy life insurance


Have any of these resolutions been on your list in January, only to find them back on your list the following year? According to Psychology Today, 50% of adults in North America will make a resolution, but most will fail in the quest for a better new year. 22% fail after one week, 40% fail after one month, 50% after 3 months, 60% after after six months, and 81% after 24 months.

Perhaps this is why only 44% of households in the U.S. have an individual life insurance policy and 50% (57,000,000) say they need more life insurance. Here are 5 reasons to buy life insurance this January not only so you can check this item of your list to avoid being a statistic, but also so you can plan and protect your family.

5 Reasons to buy life insurance:

1. It’s affordable, with rates near historic lows.

People overestimate the cost of life insurance by nearly three times, according to a recent study conducted by LIMRA. In fact, life insurance rates remain near historic lows; the cost of basic term life insurance has fallen by nearly 50 percent over the past decade. For example, a healthy 30-year-old can buy a 20-year, $250,000 level-term policy for about $13 per month. To see how inexpensive life insurance is for yourself, please click here for a free quote.

2. Tax-free assets are more valuable in periods of rising taxation.

Life insurance may very well be the single biggest benefit in the IRS rules to plan for higher taxes. Many people look at life insurance as a financial tool only to be used at death. Contrarily, life insurance is one of the best ways to safely accumulate money and use it anytime … with no taxes or penalties.

3. Estate taxes are likely returning for the middle class with the pending fiscal cliff.

It is getting more and more unlikely that a congressional compromise will keep all the current tax rates intact for everyone after January 1st. The next 2 weeks could be the last opportunity for those with a high net worth to transfer $5.12 million to anyone they want with no estate tax due. Many retirees who have been able to avoid planning for death taxes will find themselves exposed. Life insurance offers leverage which can be used to provide enough liquid assets to cover estate taxes due.

4. Your spouse will likely need income replacement if you do not make it home tomorrow.

You or your spouse’s death will result in a loss of a social security check and often a reduction in pension payments for the survivor. Life insurance can help create a spousal income continuation plan that is protected from market volatility and income tax.

5. New policy options can protect your family from longevity.

With people living longer, statistics show that 2 out of 3 people will need some form of long term care. This care can routinely cost over $10,000 per month. Many families plan to liquidate retirement accounts to cover these expenses, but consider the tax consequences of taking these funds from a retirement account. Also, consider the possible depletion if the market doesn’t cooperate when these expenses are needed. A long term care rider can be added to some life policies to greatly reduce this stress on the family and the portfolio.

If you are planning on making a New Year’s resolution, consider adding life insurance to your list. It may just be the most important resolution you hopefully keep for your family and finances.

Do you need some more motivation? Check out how your family will benefit from your purchase of life insurance from our friends at

Now, about that gym membership….

About Chris Abrams

Chris and his team work with clients across the country to help them navigate the insurance and financial world. His mission is to help people and businesses have the protection they need at the lowest possible price. He works on behalf of his clients and not the insurance companies. When not researching the latest financial and insurance topics, Chris can be found spending time with his family, traveling, cooking or running on the beach.

This entry was posted in Life Insurance News. Bookmark the permalink.

Leave A Reply