Nathan Bachrach is your FOX19 financial news expert. He answered some viewer questions on Friday's FOX19 Morning News.
Question: I'm 60 years old and my term life insurance policy is ending. Is there a way to extend it or will I need to buy a new policy?
Nathan: Some allow you to extend with a variable premium. Better bet is to shop around but you'll pay a lot more. New term life policy will cost you 5-7 times more than at age 40. Always good to buy the longest term policy you can.
Some policies allow you to extend your policy but you'll pay a variable premium. What that means is--your premium will go up astronomically. So you're better off looking for a new term life policy at this point but it's going to cost you. Even if you're in good health--a term life policy at age 60 could cost you five to seven times as much as it did at age 40. If you have health problems, it will cost you even more.
That's why I always tell people to buy the "longest-term policy they can afford."
Question: My mom died last year. I know she had life insurance but don't know who the beneficiary is. The insurance company had me send in a copy of the death certificate but I haven't heard back. What do I do?
Nathan: Beneficiary is on the back of the application, if you can find it. Do you know if premiums were paid? Ask to speak to a manager and see if a benefit was paid. Can also try the state insurance department.
My first question would be--how do you know she had a life insurance policy? If you can find "any" of the paperwork, the name of the beneficiary is typically listed on the back of the application form. Do you know if she'd paid all of the premiums? I would call the insurance company and ask to speak to a manager to see if a benefit was ever paid.
If you don't get anywhere with that, contact your state insurance department and see if they can help.
Simply Money Tip of the Week:
Know your warehouse membership benefits
Do you have a warehouse club membership? You may not know "all" of the benefits that come with it. Some clubs sell things like "cars," discounted gym memberships, even business services like health and dental plans and payroll services! It's worth your time to make sure you know "all" your membership offers.