T. Mann Financial's independent approach allows us the freedom to broker Oregonians a diverse selection of life insurance options.
Click here to start a life insurance quote with T. Mann Financial.
Life Insurance Basics in Oregon
Once Oregon residents understand the basics, it becomes much easier for them to choose the right life insurance plan.
9 Reasons why people in Oregon might get Life Insurance
Generally speaking Oregonians buy life insurance because it provides a death benefit (money) to their chosen beneficiary in exchange for paying premiums (money) to the insurance company.
When asked in the LIMRA 2022 Insurance Barometer Study
"What's a major reason to own life insurance?" people answered:
Types of Life Insurance in Oregon
Explore with T. Mann Financial the different types of life insurance available in Oregon.
Not all policies are created equal.
It's important for Oregonians to know these terms:
Convertible- Can change the policy to a permanent policy without medically qualifying.
Waiver of Premium- A rider that allows you to stop paying premiums if you get disabled.
Non-MEC- Allows for tax free distributions on life policies.
How Life Insurance Policy Loans Can Work
A policy loan lets you borrow against your cash value without a credit check. Unpaid loans and interest are subtracted from the death benefit, and a large loan balance can cause the policy to lapse, which may create a tax bill. Review loans with your adviser and tax professional before borrowing.
What are Oregon Insurance Underwriters Looking For on Applications?
Common Medical Requirements
Paramedical Exams
Blood Profile
EKG
Common Health Factors Underwriters Consider
Tobacco, Alcohol and Drug Use
Personal and Family Medical History
Blood Pressure
Cholesterol
Build (Height & Weight)
Hazardous Pursuits & Foreign Travel
Driving Record
Common Non-Medical Factors on Life Applications
Age and Gender
Motor Vehicle Reports (MVRs)
E-Search Inspections
Financial Guidelines & Documentation
Credit Checks
T. Mann Financial can connect you with an underwriter if you have detailed questions.
How T. Mann Financial Can Help People in Oregon Select Their Life Insurance
Why struggle? Life's hard enough, let us help make this process simple!
T. Mann Financial can help Oregonians determine the amount of life insurance you need.
The 7 X Annual Income Method
While this overly simple method falls short, it is probably the best known approach to determining how much life insurance is needed. Oregonians can simply multiply their annual gross income by the "magic number" 7 and that represents your life insurance need. At T. Mann Financial we do not recommend the use of this method.
The "Dime" Method
This method requires that Oregonians add their (D)ebt to their (I)ncome needed to be replaced until their children turn 18, their (M)ortgage balance, and their children's (E) expenses. The total amount is intended to represent your total life insurance need. T. Mann Financial finds this method to also fall short as it leaves out too many key factors.
Modern Life Insurance Calculators
There are hundreds of life insurance calculators available online for Oregonians to use. T. Mann Financial believes that good life insurance calculators should focus on the "who", if no one depends on you or will depend on you in the future and your death will not create a burden on others your need for life insurance is negligible. Additionally, it is important to consider positive factors like existing coverage and resources.
T. Mann Financial can help Oregonians choose the right type of insurance for their individual needs.
The 5 Key Life Insurance Selection Factors
1. Your objective- If you are primarily only wanting a death benefit to protect your dependents a term policy might be a good fit. Rather, if you are wealthy and focused on long-term tax benefits you may want to consider a whole life policy. ​
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2. Your Health- If you are unhealthy, insurance companies can require high premiums for coverage or outright deny coverage. It's important to consider this because some life insurance options don't require medical exams to qualify.
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3. Coverage length- People may depend on you now, but that can change. For example, when your youngest dependents turns 18 they may be able to take care of themselves at that point and your insurance needs could decrease. If your youngest is 8, you may only need a 10-year term policy.
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4. Affordability- Permanent Insurance (whole life and universal life) can have substantially higher premiums than term insurance.
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5. Special Needs- Some policies offer a lot of flexibility to cater to your specific needs such as high death benefits, convertibility, waiver of premiums upon disability, etc.
T. Mann Financial can help Oregonians apply for Life Insurance.
T. Mann Financial's 5 Step Life Insurance Process
1. Once you have selected the type and amount of life insurance you need, T. Mann Financial will search for life insurance from dozens of life insurance companies.
2. We help you narrow down the list and then to run a side-by-side comparison of your top choices.
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3. Once you decide which life insurance policy to purchase we help you complete your application. If testing is required we help get this ordered for you.
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4. T. Mann Financial works as an intermediary between you and the life insurance company and it's underwriters to help ensure that the policy is processed in a timely manner.
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5. If the policy is approved and paid for, T. Mann Financial will deliver the policy and provide additional support as needed.
T. Mann Financial Brokers Oregon Small Business Life Insurance
T. Mann Financial can help Oregonians use life insurance to help with employee retention & recruitment, and to protect your business in case of the loss of a key employee.
Life insurance in Oregon could be the golden handcuffs you've been looking for!
Golden Handcuffs
Life insurance can be strategically used by Oregonian employers as golden handcuffs to enhance employee retention.
By offering attractive life insurance policies, companies can create a strong incentive for employees to remain loyal and committed to the organization. These policies, typically tied to the employee's tenure or performance, provide a valuable financial benefit that becomes more substantial over time, encouraging employees to stay with the company and reap the long-term rewards.
Guaranteed Standard Issue Life Insurance
In Oregon Guaranteed Standard Issue (GSI) Life Insurance is a type of coverage that is typically offered to a group of individuals, such as employees of a company, without requiring any medical underwriting. It guarantees acceptance to all eligible members, regardless of their health condition, as long as they meet certain eligibility criteria. GSI policies usually have a cap on the death benefit amount, and the premiums are based on the group's overall risk rather than individual health factors.
Key Person Insurance
What is it?
Key Person Insurance provides a death benefit to the policy owner in the event of the death of an essential Oregonian employee.
Who needs it?
If people are your business's greatest asset, you may need Key Person Insurance.
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Who is a Key Person?
Someone who's contribution to your business is significant and who's death would place a financial burden on the business.
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Executives
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Top sales people
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Highly visible employees
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Financiers
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Highly skilled or talented employees
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What happens when a key person dies?
Your business may need to...
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Hire and train a new employee
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Rebuild company morale
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Pay money to the deceased's family
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Repair credit hurt by the loss
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Replace lost earnings
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How much is a key person worth?
Valuation Methods:
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Multiple of salary
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Contribution to earnings
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Present value of projected loss in earnings
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Replacement Cost
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One year's profit
How does it work?
3 Easy Steps
If the key person dies, benefits are generally paid to the business income-tax-free when IRS notice-and-consent rules are met.
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Determine value of employee
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Give the employee written notice and get their written consent before the policy is issued, then apply for coverage. The business files IRS Form 8925 each year it owns the policy.
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Pay Premium- Business is payer, owner, and beneficiary
Get an insurance quote here!
