Nashville insurance insight: You’re wrong about life insurance


I like to read insurance-industry studies — in part out of curiosity, but more so I can understand what my insurance clients in Nashville do and don’t understand, where their assumptions lie, and what they want from an independent insurance agent like me.

A few I read recently really opened my eyes. Largely to the fact that insurance brokers like me, in Nashville and everywhere else, need to do more to dispel false assumptions about life insurance.

Life insurance is valuable, and if you have a family, a business or considerable assets, I’d call it a must. But a lot of Americans are apparently skipping it, based on assumptions that are out of date, off-base or simply not true.

So I’d like to clarify a few things, and hopefully make getting life insurance in Nashville seem more approachable. 


Life insurance isn’t as expensive as you think

This one really stuck with me. A key item from the 2017 Insurance Barometer Study, an annual look at what consumers think of the insurance industry:

When asked how much a $250,000 term life insurance policy would be for a healthy 30-year-old, the median estimate was $500 — more than three times the actual cost.

Sure, if you wait until you’re 70 to look into life insurance, your premiums will probably be a bit higher. But I can almost promise you that if you’re in your 30s and reasonably healthy, you pay more per month for your HBO Now subscription than you will for decent life insurance coverage.

As an example: NerdWallet estimated that $150,000 of life insurance coverage from well-known providers would run a healthy 30-year-old woman around $12 to $16 per month.

With rates like that, even if you don’t have dependents, I think it’s worth exploring. Especially when you consider the fact that, should something happen, it’ll keep your family from having to absorb your debts and funeral costs.


Life insurance doesn’t have to be hard to understand

A lot of Barometer Study respondents were focused on trying to find something that was easy to understand. And I get that: Insurance can be a complicated web of products and options. It’s part of why I wrote a post attempting to answer all the basic life insurance questions you might have.

What I’d say to people worried about overly complicated life insurance policies: This is one of the great benefits of an independent insurance broker. Even if you don’t call me (I hope you do, but still), call a broker, who can shop around, compare and contrast different options and break them down to you in plain English.

It’s our job to make insurance easier for you, and it doesn’t cost you anything. Take advantage.


You can talk to human beings

A lot of respondents also seemed to be concerned about getting stuck dealing with the always-annoying phone robots while shopping for insurance. That can definitely be the case. But again: Independent agents like me are always a phone call away.

If a personal touch is more your thing, it’s the way to go. When you have questions, I answer the phone. I don’t even make you hit the pound sign.

(On the flip side, you can also totally not talk to human beings. I have an online quote option, and we can do almost everything digitally. The insurance industry, as with every other industry, has become digitally nimble, and is only getting more so with each passing year.)


The life insurance application process doesn’t have to be slow or tedious

Speed and ease of life-insurance purchasing was a big concern in the study. I get this too. I've seen the widespread assumption that buying life insurance is rivaled on the tedious-paperwork front only by buying a house.

If this is how you’ve viewed buying life insurance, you’ll definitely be surprised. Check out the Tucker Coverage online life insurance quote form. Super quick, right?

It’s a good indication of how the process progresses: a few simple questions on your end, a lot of research on my end, then probably a quick and painless health exam in your home. A few strokes of the pen later, and you’re set.

The main reason why I bring this all up: the Insurance Barometer study showed that, even though 85 percent of respondents saw the value of life insurance, only 59 percent had it.

Pair that with this factoid: “Four in 10 households without any life insurance would have immediate trouble paying living expenses if their primary wage earner died.”

Sure, someone who’s chosen to make a life in the insurance industry might be driven by an abundance of caution, but I truly don’t want to see my Nashville neighbors fall into a difficult financial situation when something that costs $12-$15 a month could prevent it.

If what’s holding you back is a lack of insurance knowledge, I’d be honored to provide it. Call or email Tucker Coverage any time, and let me know what you need. Online quotes are always available too.

For a quick study, my post on common life insurance questions is a good place to start.