New to FE, haven't found home yet, grandkids question

[PhxSunsFan]

Someone posted some rates for insuring grandkids. $3.50 a month etc,,, My question:
what /why would a grandkid be insured? isnt that wasteful? do agents promote grndkids to be insured? do you say its a good idea? how could it be a good idea? thanks...

 

[WinoBlues]

Kids die.
Grandparents want the coverage.
Why would a Permanent policy be wasteful?
How do you mean promote? Offering or having it available? or actively advertising or target marketing it Like Gerber?
Not my place to say it is a good idea or not. Same as Life Insurance on an adult without knowing the problem.

I have personally converted child term policies and Child riders on Transgender adults, Active cancer, Type 1 Diabetics, Multiple heart surgery 25-year-olds, Young convicted felons and a Drug overdose induced Comatose 25 year old. The owners of those policies thought they were anything but a waste of money.

I have also paid claims on suicides, murders, and multiple accidents. Including on one where the parents of the drunk driver in a car full of drunk friends were sued by the friends' parents after the fatal accident. Both of their kids died as well. The proceeds helped in the court cases.

Do agents make any money on the child polices? Not really. On the client households? Yes.

I feel it is a good idea. So I own a whole life policy on my granddaughter. at some point, I will give it to her daddy. I also owned policies on my children.

 

[fed up]

Writing a policy on a child assures the Insurability of that child. Why would a grandparent take a policy on their grandchild? Maybe mom and dad are dealing with raising the child, the cost of raising the child, the cost of paying the co-pay on the hospital bill on the child and the grandparents disposable income can set the child up for a policy when Mom and Dad can't handle it. Insured properly, the child can increase the DB even if problems show up later in life

 

[WinoBlues]

If I were building a book Child policies would definitely be part of my prospecting. It is very rare that a child policy becomes a one of sale in a year or two's period. Same with child riders.

One of my companies had a T-25 child policy. $20,000 or $30,000 term to age 25 policies. for something like $20 or $40 annually. Convertable to 5 Xs at age 25. Man, I loved those. Same with Child riders.

 

[fed up]

If I were building a book Child policies would definitely be part of my prospecting. It is very rare that a child policy becomes a one of sale of a year or two's period. Same with child riders.

One of my companies had a T-25 child policy. $20,000 or $30,000 term to age 25 policies. for something like $20 or $40 annually. Convertable to 5 Xs at age 25. Man, I loved those. Same with Child riders.

Farmers used to have a $25000 DB policy which was $250 all in and went through age 25 I think. At that point it could be increased to any level of DB with no underwriting and whatever the premium would be

 

[BibH]

I've written a few of the new Foresters. You can put six kids on one app and the grandparents can sign. No ss # for the kids like moo. No mib or rx check . You can get $5k to $75k .They ask nothing about if the parents have ins . Guaranteed insurability up to the face amount or $50k max at ages 25-40 every 3 yrs or if you have a life event. That means you could potentially get another $250k extra coverage with no underwriting. Rates are very good.

 

[Life Hawk]

why would a grandkid be insured? isnt that wasteful?

I don't want to come across as being a jerk, but I think you need to think through your question. There is a flaw in your thinking. Just review some of the news stories in the last 2 months. I wonder how many of those young, way too young, shooting deaths had coverage?

Your philosophy in how you see your product is just as important to your success as your product knowledge, and believe me the two are very different.

My philosophy is that you are going to die, just like me and just like everyone else... so if you own life insurance, you will use, no doubts whatsoever. The only question is when, and we loose about 7400 people per day in this country... when is your number up?

Some more food for thought:

4,858,030 Deaths of children under 5 (that is as of today, 2020)

Worldometer - real time world statistics

Young child survival and development - UNICEF

• Child Mortality - Childinfo (UNICEF)

 

[Thedude]

Have you been out in the field yet?

 

[Life Hawk]

Have you been out in the field yet?

Me think not.

 

[WinoBlues]

Recently I was referred to the sister of a couple of clients. She wanted a policy on her husband, I took care of that. Then she wanted me to review her Farmers and Midland policies, then she wanted me to replace those, I took care of that. Then she wanted me to write her single mom daughter, I took care of that. Then she wanted me to write her grandsons, I took care of that also.

This is a nice but stern woman that is not used to being told or questioned. I did have to remind her that she asked for my help. So there was a little FNA, but mostly "OK, her are some options,,,,, sign here" I gave her what she wanted. The woman is in her late 60, grown, who the hell am I to tell her what she wants?