I hope this message finds you and yours full of joy, health and contentment as we speedily barrel through the new year.
Speaking of how fast time is flying; did you know that time was the first of all God’s creation (and there was evening and morning, the first day [Genesis 1:5]? While God (The Creator) is not subject to or confined to His creation, He does utilize it as a tool, or conduit to interface with us as He masterfully works His will into our lives as well as history. In fact, everything and anything is subject to and measured against this dimension. But, even before this wondrous creation was spoken into existence, God proclaimed; “In the beginning, God created the heavens and the earth” (Genesis 1:1) The operative word in this passage is “beginning”, which translated into the original Hebrew is “Reshit” (ray-sheet) which means “beginning”. If you believe this one statement as absolute truth; then everything else in the Bible and life works! This is called faith!
Did you know there is another foundational Scripture that is equally or even more important than Genesis 1:1!? We actually read about it every Christmas. Matthew, the first book of the New Testament, also boldly proclaims (1:1): “The book of the generation of Jesus Christ, the son of David, the son of Abraham.” The Greek word for generation in Matthew 1:1 is “geneses” (hen-eh-sais); the same word utilized in Hebrew which is “Reshit“; They both mean the same thing: This is where we get our English word, genesis from.
The first 4,000 year history of the heavens and earth was virtually rendered obsolete once Jesus was born into this world. Jesus literally began a “time reset” whereby dividing the dimension of time. How do we know this? Look at Galatians 4:4-6. It reads; “But when the set time had fully come, God sent his Son, born of a woman, born under the law, to redeem those under the law, that we might receive. as we once knew it.” From the beginning of creation/time, till Jesus’ birth was approximately 4,000 years. But there was a dark, silent, intertestamental period of 400 years where God spoke His last word to Malachai (in the Old Testament) but said nothing until the proclamation of Matthew 1:1 (The New Testament).
Furthermore, If we measured time as the Hebrews did and still do; we would say we are in the year 5780; not 2020 (AD)!
TIME AND INSURANCE
Okay, all this sounds very interesting and esoteric but what does it have to do with life, finances and in particular, insurance from a practical perspective? Everything! Time measures everything we do in life. It measures how investments work (Time Value of Money or compound interest) and it measures the reverse of TVM (insurance). In fact, because of modern technology, it has sped up the learning and experiential process a thousand fold in every area and discipline of life . Let me frame it this way. I know nothing about automotive repairs, yet because of the magic of technology, I can go online to Youtube and watch a video that tells me how to do an oil change. In actuality, if I didn’t have the personal time to do the oil change myself, I would pay a mechanic for his time (service) to do the oil change for me. In reality though, I would also be paying the mechanic for the years of study (and experience) he invested in developing his craft to get my oil change done in a half hour rather than me doing it and taking 4 hours for my first change. The same principle holds true for doctors. It’s a fact, we (patients) can actually diagnosis most illnesses faster than a doctor can just by going online and plugging in symptoms to an app or program. Lawyering, accounting, teaching, etc. as well as materials and product development all improved over the years because of the favor of time!
FINANCIAL PLANNING TAKE AWAY
The biggest mistake people make when investing is allowing fear to eat away at their market timing; when in reality there is no such thing as the perfect time to invest! Often times people wait for the right timing to invest in a stock, bond, mutual fund or property, and in reality, it never comes; costing people thousands of dollars because of procrastination and lost opportunity.
The same holds true when purchasing life, disability, or long term care insurance! All three of these solutions’ cost factors are predicated on mortality and morbidity statistics which are impacted over: You guessed it, time. The older you get, the more of a risk you become and the more an insurance company will charge for the same risk. A person’s health can erode over time making any of these types of insurance unaffordable or even uninsurable. Even if the person’s health is still relatively unchanged; from an actuarial perspective, the cost to insure a 60 year old for life insurance comparative to a 40 year old is extraordinarily higher and to many, cost prohibitive. In my 35 years of practice, I can tell you first hand about several cases where I instructed 40 year olds to purchase a certain coverage but they never did. Now at 60, they come back to see me for the same solution and I am unable to help them. “I told you so’s” become the unspoken and deafening narrative!
Here’s a simple guide to determine when income replacement insurance (Life and disability) and estate preservation insurance (long term care insurance) should be purchased.*
GENERIC INSURANCE PURCHASING CONTINUUM
Life and Disability Insurance
Should be purchased when there is high responsibility and greatest need to replace lost income; in the event of premature illness, accident or death.
Purpose: Protect paycheck, pay off student loans, mortgage, debt, etc…
Optimum Time To Purchase: Typically purchased at ages 22-55
Long Term Care Insurance
Purpose: Should be purchased when substantial assets have been accrued and there is a need to protect one’s estate from being decimated by rising Long Term Care costs
When there is a need to protect accumulated assets and estate transmission.
Optimum Time To Purchase: Typically purchased at ages 50 – 65
Now Is The Time
Don’t allow time to erode your purchasing power: Nor leave your finances, estate and legacy to chance. Call us for a complimentary review of your existing life, disability or long term care insurance program, or see how we can design a new, tailor-made plan unique for you.
We work with 75 leading insurance carriers and can find the right fit for you!.
Call 830-515-5430 or email us at info@cINSURE.org to schedule your complimentary consultation.