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Has your current broker shared with you a way to leverage life insurance for your health insurance?  My guess is no…  If that’s the case they probably didn’t tell you that sixty-two percent of bankruptcies are medical bankruptcies, and most of them had health insurance at the time of the onset of the illness.  Does that mean their health insurance failed?  NO!!!  Let me explain…

The first three to six months after the onset of the illness is the most critical.  Financially, the expenses can range from $10,000 to over $50,000.  Just your medical out-of-pocket expenses can reach about $10,000 alone.  Your health insurance should pick up most of the medical bills.  What about your non-medical expenses?  You can have the best health insurance in the world, but it doesn’t mean anything if you cannot afford to make the insurance premiums.

Let’s go beyond the health insurance premiums for a moment.  How about your life insurance premiums?  We are already in a critical state emotionally, and health wise, we are fighting for survival.  What if our time comes to an end but you couldn’t pay the life insurance premiums? 

Now, let’s move towards the positive and you are winning this fight.  What about your mortgage or rent, food and clothing for the rest of the family?  Your kids still need help from you, financially and emotionally, how will you cover that?  You still want them to have a good education, right?  How about your daughter to have the most beautiful wedding?  The everyday living doesn’t stop because you have to put things on hold to get better.  Most people are facing this today in the economy with the job losses out there.

What’s the alternative?  Go back to work after the diagnosis?  Work causes stress of some kind.  We all know stress is counter productive to improving our health. So where is the balance?

You could draw from your 401K, annuity or other retirement funds. You worked so hard your whole life to save money to cover a catastrophic illness, right?  Isn’t that why we go to work?  Obviously, that’s being facetious.  If you look at things from a bigger picture you would think most American’s work their whole life just so they can give it away to doctors, hospitals and creditors.  However, that wasn’t the original intentions.

In conclusion:  A catastrophic illness does not discriminate on gender, origin, race, how healthy or unhealthy, etc.  Most of us go out of our way to insure what’s important to us.  This is typically your car, house, jewelry, your life, etc.  We forget about our most important asset, our ability to earn a living.  We take it for granted.  Disability insurance and Long Term Care Insurance just may not be enough.  Ask your advisor about Life Insurance with Living Benefits.  It may be the best thing you ever did.

 Thanks to Butch Zemar, President and Ceo of Elite Benefits of America. He can be reached at 708-535-3006 or online at