Explain for both of the following life situations: Would you recommend life insurance? Why or why...

Explain for both of the following life situations: Would you recommend life insurance? Why or why not? Divorced, 55 years old, $1.2 million assets, 2 kids in college, and no debt. - Minimum 125 words 24-year-old single woman, college graduate, engineer, $25,000 student loan, and $20,000 savings. - Minimum 125 words

Solutions

Expert Solution

Answer:

Life Insurance- It is a contract between insurance company and individual (insurer) where the insurance company promises to pay a sum of amount on the death of the insurer or person whose name is the policy. Insurer pays regular insurance premium after taking an insurance policy and his nominee is given a sum of money on his death. There are many insurance companies in the world. Insurance has become the need of an hour.

Divorced, 55 years old, $1.2 million assets, 2 kids in college, and no debt.

It is not mentioned whether the person is man or woman but insurance is must of everyone, I am assuming it a Man. I will strongly recommend life insurance for him because of the following reasons:

He is getting old, he has two dependent children so if he dies early, life insurance will help his children to build their future and they will be able to finish their studies. After his death, life insurance will provide protection to his children.
He has no debt, he has got good amount of assets, he can very well pay the premium of insurance policy so he must go for it.
The life insurance policy will provide him cover even after his retirement when his employer will not provide him insurance.

24-year-old single woman, college graduate, engineer, $25,000 student loan, and $20,000 savings.

I will recommend Life insurance for her as well because of the following reasons-

If she goes for life insurance now, as she is in her early 20s, she will get a good insurance policy with lower premium and good benefits.
There are many life insurance policies that provide nice maturity benefits and bonus so the life insurance policy will provide her a sum of money that will help her in her 50s and even after retirement.
This will provide protection to her family.
This will also enable her nominee to spend the money in the future requirements.

jeff jeffy answered 1 year ago

Next > < Previous

Related Solutions

Q54 For each of the following situations, would you recommend a sample or a census? Explain...

Q54 For each of the following situations, would you recommend a sample or a census? Explain your reasoning in each case. [6 Marks] (a) A purchasing agent has just received a shipment of shock-resistant watches and wants to ﬁnd out approximately how far they can be dropped onto a concrete surface without breaking the crystal. (b) General Mills wants to learn the age, gender, and income characteristics of persons who consume Cheerios breakfast cereal. (c) The producers of NBC’s Tonight...

Q54 For each of the following situations, would you recommend a sample or a census? Explain...

Recommend a development method for each of the following situations and explain why you chose that...

Recommend a development method for each of the following situations and explain why you chose that method. (i) An employee recently promoted to the job of plant supervisor is having difficulty motivating employees to meet quality standards. (ii) A sales manager annoys salespeople by dictating every detail of their work. (iii) An employee has excellent leadership skills but lacks knowledge of the financial side of business. (iv) An organization is planning to organize its production workers into teams for the...

What changes would you recommend for the Brock's life insurance coverage?

Life Situation Financial Data Pam, 43 Josh, 45 3 Children, ages 16, 14 and 11 Monthly income $4,900 Living expenses $4,450 Assets $262,700 Liabilities $84,600 Emergency Fund $5,000 With three dependent children, the Brocks are assessing their life insurance. Pam has $5,000 of coverage. Josh has life insurance coverage equal to approximately eight times his annual salary. With approximately 20 years to retirement, Pam and Josh Brock want to establish a more aggressive investment program to accumulate funds for their...

For the following situations, indicate the statistical test you would conduct and WHY (that is, explain...

For the following situations, indicate the statistical test you would conduct and WHY (that is, explain the variables)! choose between paired sample t test, one way anova test, 2 sample t test. A researcher is interested in how consumers make purchase decisions for a specific type of product. He develops a survey where, among other things, he asks to what extent price matters to people (on a Likert scale from 1 to 5) and to what extent quality matters to...

For the following situations, choose a modeling method and explain why you would use it. a....

For the following situations, choose a modeling method and explain why you would use it. a. Designing a prosthetic limb b. Routing a piping system for a building c. Designing a one-of-a-kind machined part d. Verifying clearances for an electrical substation located near an airfield e. Mapping an oil reservoir

Explain in 500 words or more why you would or would not recommend investing in Amazon...

Explain in 500 words or more why you would or would not recommend investing in Amazon stock. Describe the relationship between the value of the stock and the price to earnings ratio. What information does the Market Capitalization (Market Cap) and Beta provide to the investor?

LIFE INSURANCE -Can you take out a life insurance policy on my life? Why or why not?...

LIFE INSURANCE -Can you take out a life insurance policy on my life? Why or why not? -Can you be a beneficiary on my life insurance policy? Why or why not? -What is the difference between term life insurance and whole life insurance? -What is meant by cash value? -What is a loan clause in a cash value policy?

37. In what circumstances would financial advisors recommend a life insurance policy gifting program to their...

37. In what circumstances would financial advisors recommend a life insurance policy gifting program to their clients? 46. How do policy loans in a life insurance policy work? 47. List the essential elements of a legally enforceable insurance contract. 48. Describe some key elements concerning insurance company investments (types of investment and risk)

Which structure would you recommend to the owners and why?

Case Study: The Apple-Orange CompanyThe Apple-Orange Company grows and markets apples and oranges in the southeastern United States. Apple-Orange has been in the produce business for the past 50 years and has some of the finest land for growing these fruits. They have also been successful in marketing their products. Up until now, Apple-Orange has been a small family business run by sixty-year old John Graves, whose father and uncle began the business in the late Fifties. John’s son, Carl,...

Subjects