Lifewizewomen Case Studies Heart Attack

Lifewizewomen Case Studies Outline

I – Who is involved?

Age, family situation, homeowner? 46yr old man. Recently married for the second time (13 mos). Two teenaged children from previous marriage. Health status? Everything seemed fine until he had a heart attack 6 months ago. He was of average weight for his height, had no diabetes, and was relatively active.

Any other background info that is relevant.

II – Were they insured? He did have adequate life insurance ($1 million term) to cover his children’s needs, and took out another term policy just before his second marriage ($1 million) for his second wife. He was not covered for disability or long-term care.

If not, why not? Like most people, he did not get the disability policy because of cost. Disability policies for someone his age are typically seen as expensive (3%-5% of gross annual income). Long-term care policies are often incorrectly considered for purchase once someone reaches their 50s, which was his thinking.

If so, was it the right amount? Based on his income level, the amount of the policies are adequate. Right type of insurance? Term insurance is fine. Even though the term is limited, each policy is convertible to a permanent policy at his then-current risk level of “preferred.”

III – Could they have planned better? Definitely.

If so, how should they have planned? He did well for his family by securing the necessary life insurance. He should have taken the steps to secure a disability policy as well as a long-term care policy for himself. His having a heart attack makes him uninsurable going forward. His opportunity to obtain any kind of insurance on himself has come and gone.

What type and amount of insurance would have helped? see previous

Could they have waited longer to get the insurance? Absolutely not.

If they had savings and other assets, could they have gotten by on less insurance? No.


IV – What does the future look like for the person/family now? As long as he can recover well enough from the heart attack to 1) never have another one, and 2) continue to work as he did prior to the heart attack for as long as he was planning to work, he will be fine. Chances are though, that will not be the case.