WEBVTT - Professional Development: $100 BILLION IN LIFE INSURANCE PAYOUTS 0:00:00.280 --> 0:00:07.320 A record breaking year for life insurance payouts. One hundred 0:00:07.520 --> 0:00:12.320 billion dollars was paid out in twenty twenty one from 0:00:12.560 --> 0:00:18.360 life insurance companies to beneficiaries. So that is actually an 0:00:18.400 --> 0:00:22.960 eleven percent jump from twenty twenty, which represented the largest 0:00:23.120 --> 0:00:31.320 year over year increase fifteen percent since nineteen eighteen influenza pandemic. 0:00:34.680 --> 0:00:41.280 So that's crazy. So all right, life insurance. 0:00:41.600 --> 0:00:45.000 Yeah, whenever I have a financial planning call for Eyo University, 0:00:45.000 --> 0:00:48.040 I always get the most questions about life insurance. Is 0:00:48.080 --> 0:00:51.440 an ongoing thing, like every single time. So it's never 0:00:51.479 --> 0:00:53.440 a bad time to talk about life insurance because I 0:00:53.479 --> 0:00:55.880 realized that so many people still have so much questions 0:00:55.920 --> 0:00:56.800 about life insurance. 0:00:56.880 --> 0:01:00.639 But I want to talk about it, but I want I. 0:01:00.560 --> 0:01:02.680 Want to get you guys opinion on it before before 0:01:02.680 --> 0:01:03.600 I stopped talking about it. 0:01:03.600 --> 0:01:06.000 So, all right, one hundred billion dollars. 0:01:05.840 --> 0:01:10.920 Was paid out last year from life insurance companies to beneficiary. 0:01:10.959 --> 0:01:12.880 So what's your initial thoughts on that. 0:01:13.880 --> 0:01:16.680 I'm a little conflicted, to be honest with you, right 0:01:16.800 --> 0:01:20.040 to be for a couple of reasons. The first reason 0:01:20.120 --> 0:01:22.040 is that if it's paid out, that means people actually 0:01:22.120 --> 0:01:26.199 had it, and I'm telling you. When we sat down 0:01:26.400 --> 0:01:29.679 fifteen twenty years ago and we were talking about life insurance, 0:01:29.760 --> 0:01:32.480 it was not even a topic in our community, Like 0:01:32.600 --> 0:01:35.800 nobody was even interested in hearing about it. Now, out 0:01:35.800 --> 0:01:37.880 of that one hundred billion, I'd be interested to see 0:01:37.959 --> 0:01:40.600 how much it was paid out for communities that look 0:01:40.720 --> 0:01:43.319 like US. That is a statistic I would like to see. 0:01:43.319 --> 0:01:49.080 But I don't know is it encouraging? I'm torn, I'm 0:01:49.120 --> 0:01:50.280 honestly just torn about it. 0:01:50.360 --> 0:01:51.600 But why are you torn? 0:01:52.200 --> 0:01:52.320 Well? 0:01:52.480 --> 0:01:56.280 Because if it we know that that that's a form 0:01:56.320 --> 0:02:01.200 of a way to generational wealth right for our communities. 0:02:01.400 --> 0:02:03.200 That hasn't been nobody, but we know that it is 0:02:03.240 --> 0:02:05.640 now And obviously what you're doing and everybody is doing 0:02:05.960 --> 0:02:09.280 in the financial literacy movement talking about it and showing 0:02:09.280 --> 0:02:11.320 how it can be a builder black for generations out 0:02:11.320 --> 0:02:14.960 of here, outside of US, one hundred billion is obviously 0:02:15.040 --> 0:02:18.120 a huge amount. I'm just saying, how much of us 0:02:18.160 --> 0:02:19.600 are represented in those numbers? 0:02:20.320 --> 0:02:20.519 Right? 0:02:20.560 --> 0:02:22.799 So, like, yeah, it's great that people are aware that 0:02:22.840 --> 0:02:24.360 life insurance can be a building block. 0:02:24.840 --> 0:02:28.560 Are we aware are we represented inside that billion? 0:02:30.360 --> 0:02:31.359 That's a big question. 0:02:33.000 --> 0:02:35.560 Yeah, I mean that's what I'm saying. I'm trying. I don't. 0:02:35.680 --> 0:02:36.880 I'm conflicted on it. I don't know. 0:02:41.000 --> 0:02:44.640 To be honest, I haven't done enough research on this topic. 0:02:45.200 --> 0:02:47.760 So I think it would be a disservice to the audience, 0:02:48.000 --> 0:02:52.040 myself and this amazing show to give commentary that is 0:02:52.240 --> 0:02:56.240 not based on fact or research. I know some people 0:02:56.240 --> 0:03:01.040 think I just rant because you know, I like attention this. 0:03:01.040 --> 0:03:04.240 This is backed by God and the work that I 0:03:04.280 --> 0:03:08.160 put in, so I don't betray your point is really interesting. 0:03:08.200 --> 0:03:11.280 I wonder how much of those payouts or disperse us, 0:03:11.400 --> 0:03:15.000 Especially from the conversation that we had with Don People's 0:03:15.080 --> 0:03:18.880 last night, I would estimate probably less. 0:03:18.639 --> 0:03:19.639 Than fifteen percent. 0:03:19.720 --> 0:03:22.600 But I do want to give a homework assignment for 0:03:22.760 --> 0:03:24.839 the money that has been dispersed over the last five 0:03:24.919 --> 0:03:27.320 years to the audience. How much of that goes to 0:03:27.440 --> 0:03:31.280 black and brown families? And it's not because we're not applying, 0:03:31.320 --> 0:03:32.760 because I know a lot of people will say, well, 0:03:33.080 --> 0:03:35.560 if people apply to get it. I have personally went 0:03:35.600 --> 0:03:38.520 to situations when family members have poured into a policy 0:03:39.040 --> 0:03:42.160 for twenty and thirty years and did not get that 0:03:42.240 --> 0:03:46.280 projected earnings a point supposed to get the death benefit. 0:03:46.320 --> 0:03:47.800 But I think it would be a disservice to me 0:03:47.880 --> 0:03:49.360 to speak for this one. 0:03:49.680 --> 0:03:51.480 You said fifteen percent you think. 0:03:53.120 --> 0:03:53.440 I mean that. 0:03:53.960 --> 0:03:54.760 I'm just like that. 0:03:54.960 --> 0:03:56.800 I mean, well, so the thing about it, that's a 0:03:56.920 --> 0:04:00.520 high ceiling that that's what I said, so different really quickly, 0:04:00.520 --> 0:04:03.280 because like, even even when we do have it, I 0:04:03.320 --> 0:04:06.160 feel like, especially like if people have insurance to their life, 0:04:06.200 --> 0:04:10.000 insurance to their job, the amount is like so low. Right, 0:04:10.040 --> 0:04:13.080 Like even when I told people when I was twenty five, 0:04:13.120 --> 0:04:14.800 like I have a million dollar policy, it was like 0:04:15.320 --> 0:04:17.240 how did you do that? Like why would you do 0:04:17.320 --> 0:04:19.400 so much? And I'm like, well, it's for the year 0:04:19.440 --> 0:04:22.320 is the one I'm going. So the mindset wasn't even there. 0:04:22.440 --> 0:04:24.960 But I mean this, this guy's the expert. Come on, 0:04:25.640 --> 0:04:27.279 come on, go crazy. 0:04:27.320 --> 0:04:30.440 I feel it well, I feel like, yeah, there's two 0:04:30.440 --> 0:04:35.520 different conversations having happening. If we're taking advantage of it 0:04:35.600 --> 0:04:39.600 or not, that's a conversation that we we don't know. 0:04:39.680 --> 0:04:40.799 We'll have to see the numbers. 0:04:41.160 --> 0:04:44.640 I would suspect that there has been an uptick, but 0:04:44.760 --> 0:04:47.880 I would think that we're still under insured as a community. 0:04:47.960 --> 0:04:50.520 I would I would think that we're still under insured. 0:04:50.839 --> 0:04:55.480 Now that's one conversation. The other conversation is okay, one 0:04:55.520 --> 0:04:59.039 hundred billion dollars is being paid out. We understand that 0:04:59.080 --> 0:05:02.840 life insurance is one of the fastest and easiest ways 0:05:02.880 --> 0:05:06.280 to grow generational wealth because you're pretty much paying for 0:05:06.839 --> 0:05:09.240 money pinions on a dollar, right, Like, if you have 0:05:09.279 --> 0:05:11.599 a life insurance policy, it's a million dollar policy. Let's 0:05:11.600 --> 0:05:15.159 say you've paid one hundred thousand dollars of premium before 0:05:15.200 --> 0:05:18.000 you die. Then you've purchased one million dollars for one 0:05:18.040 --> 0:05:21.800 hundred thousand. That's a good deal in anybody's book, right, 0:05:23.640 --> 0:05:26.480 But it's important to understand the life insurance that you're 0:05:26.520 --> 0:05:29.280 actually getting and how the process works. So like even 0:05:29.320 --> 0:05:31.800 when Ian was saying that you know a lot of people, 0:05:31.880 --> 0:05:33.920 they might have paid into a policy for twenty years 0:05:34.000 --> 0:05:36.120 or thirty years and then they don't actually get or 0:05:36.120 --> 0:05:39.640 the policy you know, expires or explodes or different things 0:05:39.640 --> 0:05:43.840 that they should because not all life insurance is created equal. 0:05:44.279 --> 0:05:47.080 That's something that's extremely important to understand as well. So 0:05:47.720 --> 0:05:51.240 when you're buying your life insurance policy, it's important to 0:05:51.279 --> 0:05:54.839 be educated on what you're purchasing. It's just like anything else, 0:05:54.880 --> 0:05:56.679 like if you're purchasing a home, or if you're purchasing 0:05:56.720 --> 0:05:59.719 a car. Every car is not the same, every home 0:05:59.800 --> 0:06:02.120 is the same. Right, you have to be educated on 0:06:02.160 --> 0:06:05.840 what you're actually purchasing so you can have the most 0:06:05.839 --> 0:06:10.200 efficient outcome when it comes to that. So briefly, because 0:06:10.240 --> 0:06:13.919 I've talked about this a few times, but term insurance 0:06:14.680 --> 0:06:20.120 very important to understand. That is the lowest costing insurance, 0:06:20.200 --> 0:06:23.680 lowest premium. It lasts a term, you know, ten to fifteen, 0:06:23.800 --> 0:06:26.240 twenty year term where you pay a premium, you have 0:06:26.279 --> 0:06:27.880 a death benefit. Let's say you have a twenty year 0:06:27.960 --> 0:06:30.200 term policy. Right, you pay a premium for twenty years, 0:06:30.480 --> 0:06:34.080 and if you pass away before that twenty years is over, 0:06:34.520 --> 0:06:38.039 then your beneficiary is to get money. Now, the problem 0:06:38.040 --> 0:06:41.000 with term insurance is that I think like ninety seven 0:06:41.080 --> 0:06:43.800 percent of term insurance policies don't actually end up getting 0:06:43.800 --> 0:06:47.920 paid out because most people don't die within the term. 0:06:48.760 --> 0:06:52.000 So to get insurance, you have to be approved for insurance, right, 0:06:52.480 --> 0:06:58.280 and there's underwriters, so they're usually not going to approve 0:06:58.320 --> 0:07:01.000 somebody that has a high probability of dying within a 0:07:01.040 --> 0:07:04.280 twenty year term. So anybody can die at any point 0:07:04.279 --> 0:07:07.200 in time, but you go by odds, right, and it's 0:07:07.279 --> 0:07:11.720 mathematical statistics, so it's like the odds of somebody that's 0:07:11.760 --> 0:07:15.840 twenty five and they're healthy dying in a twenty y eight 0:07:16.840 --> 0:07:20.920 next twenty years is relatively low. So now you can 0:07:20.960 --> 0:07:24.120 afford as an insurance company to give, you know, insurance 0:07:24.120 --> 0:07:25.960 to a lot of different people, because you know only 0:07:26.000 --> 0:07:28.400 a few people is actually gonna die and a few 0:07:28.440 --> 0:07:32.400 people that do die. The other you know, ninety seven 0:07:32.400 --> 0:07:34.600 percent of people that don't die, those premiums are going 0:07:34.640 --> 0:07:38.800 to make up for that. But it's still beneficial because 0:07:39.160 --> 0:07:42.000 some insurance is better than no insurance, and if you 0:07:42.440 --> 0:07:48.320 don't have a budget for anything else, then term insurance 0:07:48.400 --> 0:07:51.560 can be a good option. And then you have whole 0:07:51.600 --> 0:07:55.680 life insurance, which lasts your whole life and it also 0:07:55.920 --> 0:07:59.360 builds cash value. The cash is money that you can 0:07:59.400 --> 0:08:02.440 actually use while you're alive. Now, a lot of people 0:08:03.160 --> 0:08:06.880 have criticized whole life because they say that it's too 0:08:07.000 --> 0:08:13.560 expensive and they don't want to mix investing with permanent insurance. 0:08:14.040 --> 0:08:16.880 It's your own personal prerogative on that. There's pros and 0:08:16.920 --> 0:08:21.400 cons for it, but the general idea of it is 0:08:21.400 --> 0:08:23.720 that it lasts your whole life. But there is a 0:08:23.920 --> 0:08:29.240 hybrid approach guaranteed protection universal life. We've talked about this 0:08:29.320 --> 0:08:33.319 EIO University alone a lot where this is a pretty 0:08:33.400 --> 0:08:33.839 much like a. 0:08:33.800 --> 0:08:35.240 Lifelong term policy. 0:08:35.360 --> 0:08:38.480 So you're paying premiums and as long as you pay 0:08:38.480 --> 0:08:41.600 a premium, you have a death benefit. So that's extremely 0:08:41.640 --> 0:08:47.400 beneficial because now if you don't want to mix investing 0:08:47.800 --> 0:08:53.359 with insurance and you just want, you know, the clean cut, 0:08:53.880 --> 0:08:56.520 just whatever I pay for I'm going to get, you know, 0:08:56.559 --> 0:09:00.200 if I die, my family gets money, then that's that's 0:09:00.240 --> 0:09:03.560 an option. And the premiums are less than whole life insurance, 0:09:03.600 --> 0:09:06.559 but they're more in term, so you kind of get 0:09:06.800 --> 0:09:09.440 in the middle ground for that. Now, where people come 0:09:09.480 --> 0:09:12.000 into problems with their policy a lot of times where 0:09:12.040 --> 0:09:15.880 they don't fully understand it is universal life policy, index 0:09:16.000 --> 0:09:20.800 universal life policy, and variable universal life policy. This is 0:09:21.320 --> 0:09:24.640 life insurance that's tied to the stock market. Now, this 0:09:25.080 --> 0:09:28.079 is where it kind of becomes a little tricky because 0:09:28.120 --> 0:09:30.559 there's a lot of variables that go into play. So 0:09:30.760 --> 0:09:33.959 this is a hybrid type of insurance policy where you're 0:09:33.960 --> 0:09:38.240 actually mixing insurance with investing. The problem with this is 0:09:38.240 --> 0:09:41.440 that if you don't fully understand it, and in times 0:09:41.480 --> 0:09:44.720 like even now when the stock market is down. Now, 0:09:45.000 --> 0:09:49.160 that can draw all your cash value and negatively affect 0:09:49.240 --> 0:09:53.120 your insurance policy. So this is something that you have 0:09:53.160 --> 0:09:55.440 to be extremely educated on. If you're going to mix 0:09:55.480 --> 0:10:00.160 the life insurance with investing, you have to know how 0:10:00.280 --> 0:10:03.320 much money you're putting in. You really want to overfund 0:10:03.320 --> 0:10:05.800 a policy in that scenario to make up for any 0:10:05.880 --> 0:10:07.920 down years in the stock market, and you have to 0:10:07.920 --> 0:10:12.240 be careful when you take money out. So, like I said, 0:10:12.240 --> 0:10:13.680 I can go on for this for a long time, 0:10:13.720 --> 0:10:14.439 but I. 0:10:14.480 --> 0:10:16.440 Just wanted to choose cool questions for you. I'm going 0:10:16.480 --> 0:10:18.000 to cut you off. I want you to finish project 0:10:18.040 --> 0:10:19.440 before we go to the next one. I do have 0:10:19.440 --> 0:10:23.080 two cool questions for you that I think you got. Yeah, 0:10:23.520 --> 0:10:25.400 if you let's say a person is making one hundred 0:10:25.520 --> 0:10:29.240 thousand dollars a year, what is the multiple that they 0:10:29.240 --> 0:10:32.960 should have for the depth that if it won't pass? 0:10:33.880 --> 0:10:36.600 So yeah, good question. And you know, of course it 0:10:36.640 --> 0:10:38.360 goes by like if you have a family or house. 0:10:38.360 --> 0:10:40.000 But rule of thumb is that you should always have 0:10:40.000 --> 0:10:42.640 probably ten times your income. So if you're making one 0:10:42.679 --> 0:10:44.680 hundred thousand dollars a year, you should have at least 0:10:44.679 --> 0:10:48.600 a minimum of one million dollars life insurance policy. You 0:10:48.720 --> 0:10:50.480 might need more, like I said, if you have kids, 0:10:50.480 --> 0:10:52.480 if you have a mortgage, you might even need two 0:10:52.559 --> 0:10:54.839 million or two point five million, But at the very 0:10:54.920 --> 0:10:59.240 least you need ten times your your income. That's like, 0:10:59.320 --> 0:11:04.520 you know, and that might seem like a lot, but 0:11:04.559 --> 0:11:06.199 it's really not so if you think about it from 0:11:06.200 --> 0:11:09.280 a standpoint of all, Right, let's take a million dollar policy, 0:11:09.360 --> 0:11:13.960 right and let's say you're making Let's say you're even 0:11:14.000 --> 0:11:16.520 making fifty thousand dollars a year, so we'll do twenty 0:11:16.559 --> 0:11:20.000 times your incomefidence area. Let's say you're making fifty thousand 0:11:20.000 --> 0:11:24.560 dollars a year, right now, you have a million dollar policy. 0:11:25.000 --> 0:11:30.920 So what happens is that when you die, your beneficiaries 0:11:30.960 --> 0:11:33.160 have an option. Usually, and this is why it's important 0:11:33.160 --> 0:11:36.360 to education your beneficiaries as well. But your beneficiaries usually 0:11:36.360 --> 0:11:38.400 have an option where they can take a lump sum, 0:11:39.040 --> 0:11:42.679 or they can take it's kind of like a checkbook 0:11:43.000 --> 0:11:45.040 with the insurance company or send them a checkbook, and 0:11:45.160 --> 0:11:48.360 they can just draw off of the insurance policy whenever 0:11:48.400 --> 0:11:50.600 they need the money. But let's say that they actually 0:11:50.600 --> 0:11:53.360 just take the lump sum of one million dollars, the 0:11:53.400 --> 0:11:56.400 million dollars is going to be a tax free million 0:11:56.440 --> 0:11:58.360 that's going to be to your family nine times out 0:11:58.400 --> 0:12:01.520 of ten, so you get a million dollar dollars. So now, 0:12:01.720 --> 0:12:04.520 the worst thing that you can do is just give 0:12:04.600 --> 0:12:07.120 somebody a million dollars with no plan, because we know 0:12:07.280 --> 0:12:09.920 that they're going to blow that million dollars very very easily. 0:12:10.360 --> 0:12:10.560 Right. 0:12:10.640 --> 0:12:12.400 So now, and this is what storm lee or was 0:12:12.440 --> 0:12:14.839 talking about. If you set the million dollars up where 0:12:14.880 --> 0:12:16.160 you can set it up in the trust, or even 0:12:16.160 --> 0:12:17.319 if you don't set it up in the trust, you 0:12:17.320 --> 0:12:19.480 could just give them directions on how to actually invest it. 0:12:19.480 --> 0:12:22.240 And let's say that they just invest the money in 0:12:22.800 --> 0:12:27.440 long term Conservative index fund, right, and they're drawing Let's 0:12:27.440 --> 0:12:32.280 say they draw five percent off of that. Why do 0:12:32.360 --> 0:12:37.079 I say five percent because that the Monte Carlo stimulation 0:12:37.520 --> 0:12:40.520 factor is that if you draw a five percent over 0:12:40.559 --> 0:12:43.240 the court of time, then you'll never run out of money. 0:12:43.240 --> 0:12:46.000 That's like a retirement formula. So if you take five 0:12:46.040 --> 0:12:50.400 percent from a million, that is fifty thousand dollars, right, 0:12:50.480 --> 0:12:54.320 So that's really replacing your income in that scenario. So 0:12:54.920 --> 0:12:56.880 when you look at it from that standpoint, if you 0:12:56.880 --> 0:12:59.400 look at okay, even if you go higher, you'll say, 0:12:59.440 --> 0:13:01.679 even if you take seven percent off of every single year, 0:13:01.679 --> 0:13:03.720 every year, you're taking seven percent off, and that's higher 0:13:04.200 --> 0:13:08.120 for people that's taking money from their accounts. Now you 0:13:08.240 --> 0:13:13.120 have seventy thousand dollars a year. Still, that's still it 0:13:13.160 --> 0:13:16.240 doesn't seem like that much money, right. You're just replacing 0:13:16.240 --> 0:13:19.000 your income pretty much. So it's not like you're so 0:13:19.080 --> 0:13:21.640 if you're making one hundred thousand dollars a year, you're 0:13:21.679 --> 0:13:26.160 probably walking away with sixty five thousand dollars. So if 0:13:26.160 --> 0:13:28.559 you have a million dollar life insurance policy and you're 0:13:28.679 --> 0:13:32.320 joining seven seven percent seventy thousand, you're pretty much just 0:13:32.360 --> 0:13:34.760 replacing your income at that point in time. So this 0:13:34.880 --> 0:13:38.280 is why it's beneficial to have more than And you 0:13:38.360 --> 0:13:40.559 got to realize too, if you're making one hundred thousand dollars, 0:13:40.559 --> 0:13:42.920 then you have a one hundred thousand dollars policy. I 0:13:42.920 --> 0:13:45.280 mean that's just one year. Like you might live for 0:13:45.880 --> 0:13:48.000 what your family's gonna need money for twenty years. Your 0:13:48.040 --> 0:13:50.160 family gonna need money for thirty fifteen years. So it's 0:13:50.200 --> 0:13:53.520 important to think bigger. So that was kind of a 0:13:53.559 --> 0:13:55.679 long answer to the question, but I just want to raction. 0:13:56.640 --> 0:13:57.400 Earners, what's up. 0:13:57.480 --> 0:13:59.880 You ever walk into a small business and everything just 0:14:00.160 --> 0:14:03.280 works like the checkout is fast, the receipts or digital 0:14:03.800 --> 0:14:06.800 tipping is a breeze, and you're out the door before 0:14:06.800 --> 0:14:10.960 the line even builds odds are they're using Square. We 0:14:11.120 --> 0:14:13.640 love supporting businesses that run on Square because it just 0:14:13.679 --> 0:14:16.920 feels seamless. 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Brilliantly Boring since 0:15:37.360 --> 0:15:39.920 eighteen sixty five is a service mark of the PNC 0:15:40.120 --> 0:15:44.080 Financial Service Group, Inc. P and C Bank National Association 0:15:44.280 --> 0:15:45.280 Member FDIC. 0:15:47.040 --> 0:15:50.640 An illegal alien from Guatemala charged with raping a child 0:15:50.720 --> 0:15:54.520 in Massachusetts. An MS thirteen gang member from El Salvador 0:15:54.760 --> 0:15:58.920 accused of murdering a Texas. Man of Venezuelan charged with 0:15:58.960 --> 0:16:02.880 filming and selling child pornography in Michigan. These are just 0:16:02.960 --> 0:16:06.720 some of the heinous migrant criminals caught because of President 0:16:06.760 --> 0:16:10.360 Donald J. Trump's leadership. I'm Christy Noman, the United States 0:16:10.360 --> 0:16:15.160 Secretary of Homeland Security. Under President Trump. Attempted illegal border 0:16:15.200 --> 0:16:18.720 crossings are at the lowest levels. Ever recorded, and over 0:16:18.800 --> 0:16:22.040 one hundred thousand illegal aliens have been arrested. If you 0:16:22.080 --> 0:16:25.960 are here illegally, your next you will be fine nearly 0:16:26.040 --> 0:16:30.040 one thousand dollars a day, imprisoned and deported, you will 0:16:30.080 --> 0:16:33.720 never return. But if you register using our CBP home 0:16:33.760 --> 0:16:37.160 app and leave now, you could be allowed to return legally. 0:16:37.520 --> 0:16:42.280 Do what's right, leave now. Under President Trump America's laws, 0:16:42.440 --> 0:16:44.880 border and families will be protected. 0:16:44.960 --> 0:16:47.040 Sponsored by the United States Department of Homeland Security. 0:16:47.440 --> 0:16:48.960 Because I know if I just say, like you need 0:16:48.960 --> 0:16:51.640 a million dollars worth of insurance, people like I don't 0:16:51.640 --> 0:16:53.520 need a million dollars, Like I don't even have a 0:16:53.520 --> 0:16:54.040 million dollars. 0:16:54.040 --> 0:16:55.560 Why would I need a million dollars? 0:16:55.560 --> 0:16:57.720 Well, eight, that's not the best way to think about it, 0:16:57.760 --> 0:16:59.520 because you want to leave more money than you have. 0:17:00.120 --> 0:17:04.399 But also just from a pure practical standpoint of replacing 0:17:04.400 --> 0:17:07.560 your income, because that's what life insurance is for, You're 0:17:07.560 --> 0:17:09.840 going to need a bigger number to replace what you're 0:17:09.840 --> 0:17:10.760 currently living on. 0:17:11.200 --> 0:17:13.120 Planning for the future because you're going to be older 0:17:13.119 --> 0:17:15.520 a lot longer than you're gonna be younger. But I'll 0:17:15.560 --> 0:17:19.119 ask you this based on your expertise in the field 0:17:19.160 --> 0:17:21.360 and being in the field for over thirteen years. When 0:17:21.359 --> 0:17:24.679 you see an article like that, seeing one hundred billion 0:17:24.800 --> 0:17:28.000 is paid out, I think they said in the article 0:17:28.119 --> 0:17:32.800 like forty six million policies were sold in twenty twenty one, 0:17:33.040 --> 0:17:36.439 which is a six percent increase. However, the actual coverage 0:17:36.480 --> 0:17:39.080 amount has gone down, so like people are getting policies 0:17:39.080 --> 0:17:42.400 that actually less, which is kind of what I was thinking, like, yes, 0:17:42.560 --> 0:17:45.520 are we involved, what type of policies are we getting 0:17:45.560 --> 0:17:48.520 obviously to whole life in terms all those but the 0:17:48.560 --> 0:17:50.560 amounts are going down I think like one and a 0:17:50.560 --> 0:17:51.119 half percent. 0:17:51.200 --> 0:17:54.680 So what does that say to you when you look 0:17:54.720 --> 0:17:55.040 at that? 0:17:56.440 --> 0:17:57.359 What's it again? 0:17:57.480 --> 0:18:01.440 Like reframing question, so pretty much seeing that, seeing these 0:18:01.440 --> 0:18:04.679 statistics right and knowing that more people obviously are you 0:18:04.720 --> 0:18:07.000 looking at it? Is it a courage encouraging sign or 0:18:07.080 --> 0:18:09.679 like all right, you know what? People still don't get it. 0:18:09.840 --> 0:18:10.960 These numbers should be higher. 0:18:11.880 --> 0:18:14.240 Well I don't know if they should be higher, because 0:18:14.280 --> 0:18:17.120 I mean, one hundred billion dollars is a lot of money, 0:18:17.359 --> 0:18:20.640 so and it's an all time record, So I think 0:18:20.720 --> 0:18:24.360 that people are but also we have to understand that 0:18:24.440 --> 0:18:27.199 people are dying too. I think this is like one 0:18:27.200 --> 0:18:31.040 of the first years where the projected life expectancy has 0:18:31.080 --> 0:18:34.680 actually decreased a little bit. So you know, you got COVID, 0:18:35.400 --> 0:18:38.280 you got but outside of COVID, right, you have just 0:18:38.680 --> 0:18:42.800 unhealthy lifestyle for Americans, period, high blood and this is 0:18:42.840 --> 0:18:46.040 this is something that's extremely important. Everything ties in together. 0:18:46.440 --> 0:18:49.560 So when we talk about finance, you have to talk 0:18:49.560 --> 0:18:53.359 about health because the two go together, and especially in 0:18:53.440 --> 0:18:57.919 life insurance conversation, especially with black people. So black people 0:18:58.520 --> 0:19:02.000 traditionally have had at the times getting life insurance and 0:19:02.080 --> 0:19:05.200 have had higher rates. One of the reasons for that 0:19:05.440 --> 0:19:09.480 is because of their medical state. So black people on 0:19:09.640 --> 0:19:13.120 average have diabetes at a higher rate than the regular population, 0:19:13.680 --> 0:19:16.720 have higher cholesterol at a higher rate than the regular population, 0:19:17.160 --> 0:19:19.320 have high blood pressure at the high at a higher 0:19:19.400 --> 0:19:23.440 rate than the regular population, and are over are overweight 0:19:23.920 --> 0:19:28.240 more than the regular population. This is something that is 0:19:28.320 --> 0:19:33.000 extremely detrimental to not only your physical you know, situation, 0:19:33.440 --> 0:19:36.959 but also for your economic situation because now that's going 0:19:37.040 --> 0:19:39.720 to determine if you can get life insurance, if your 0:19:39.720 --> 0:19:43.840 life insurance policy is going to be higher. So that's 0:19:43.920 --> 0:19:47.560 part of the conversation as well. And as far as 0:19:47.600 --> 0:19:52.480 you know, people dying, so when you're planning your financial plan, 0:19:53.160 --> 0:19:55.680 you have to you have to have your life in order, 0:19:56.200 --> 0:19:58.119 and you have to you have to be in shape, 0:19:58.280 --> 0:20:00.119 you have to, you know, take care of yourself. You 0:20:00.160 --> 0:20:02.600 have to eat good. These are all things that you 0:20:02.640 --> 0:20:05.560 know go hand in hand. Your physical health and your 0:20:05.600 --> 0:20:08.359 financial health are usually related. I learned this early on 0:20:08.400 --> 0:20:11.359 when I was first started working in finance. Most successful 0:20:11.400 --> 0:20:15.200 CEOs are in shape. Of course, there's always going to 0:20:15.240 --> 0:20:17.840 be exceptions to the rule, I get it. But if 0:20:17.840 --> 0:20:21.960 you look at if you take a survey, very rarely 0:20:22.000 --> 0:20:25.879 do you see a successful CEO not in shape. The 0:20:26.000 --> 0:20:31.240 two go hand in hand, right, disciplined exactly. So this 0:20:31.280 --> 0:20:35.639 is something that's extremely important to talk about because you know, 0:20:36.440 --> 0:20:40.119 if we're dying, that's bad, but if we're dying and 0:20:40.200 --> 0:20:42.399 not even having any life insurance, that's even worse. 0:20:43.160 --> 0:20:46.120 Yeah, and that's mostly I mean, for a long time 0:20:46.240 --> 0:20:49.240 that was the situation with dying with nothing and leaving 0:20:49.880 --> 0:20:52.760 Like you used to say this to I remember being 0:20:52.800 --> 0:20:55.280 here on the Saturday, cause it'd be like, not only 0:20:55.320 --> 0:20:57.720 are you leaving nothing, but you're actually leaving debt because 0:20:57.720 --> 0:20:59.560 the people who are left behind now have to pay 0:20:59.560 --> 0:21:01.960 for your funeral rule and they didn't have the money 0:21:01.960 --> 0:21:03.480 to pay for it, so now they have to figure 0:21:03.480 --> 0:21:06.640 out how to even afford to bury you. So people, 0:21:06.680 --> 0:21:08.440 I mean, that's why I said, man, that that that 0:21:08.480 --> 0:21:12.040 line of planning for the future is so so so vital, 0:21:12.520 --> 0:21:13.640 especially to our community. 0:21:13.680 --> 0:21:14.639 We have to look at it. 0:21:14.680 --> 0:21:18.320 We have to have the Mantranset mind set to change 0:21:18.800 --> 0:21:20.760 how we view the world and how we view life. 0:21:20.800 --> 0:21:22.920 I remember just even trying to have a conversation about 0:21:22.920 --> 0:21:25.480 life insurance to like my coworkers and they'll be like, 0:21:26.080 --> 0:21:28.440