Scan Medical Insurance

I need insurance profession's opinion on this issue.. T.T?

Jeff and Ann are both 28 years old. They have been married for three years, and they have a son who is almost two. They expect their second child in a few months Jeff is a teller in a local bank. He just received a $60-a-week raise. His income is $960 a week, which after taxes, leaves him with him $3,200 a month. His company provides $50,000 of life insurance, a medical/hospital/surgical plan, and a major medical plan. All of these group plans protect him as long as he stays with the bank When Jeff received his raise, he decided that part of it should be used to add to his family’s protection. Jeff and Ann talked to their insurance agent, who reviewed the insurance Jeff obtained through his job. Under Social Security, they also had some basic protection against the lost of Jeff’s income if he become totally disabled or if he died before the children were 18. But most of this protection was only basic, a kind of floor for Jeff and Ann to build on. For example, monthly Social Security payment to Ann would be approximately $1,550 if Jeff died leaving two children under age 18. Yet the family’s total expenses would soon be higher after birth of the second baby. Although the family’s expenses would be lowered if Jeff died, they would be at least $500 a month more than Social Security would provide. In your opinion, do Jeff and Ann need additional insurance? why or why not? i am a bit confused on this topic. @@

Public Comments

1. MY opinion has nothing to do with it. Jeff and Ann have to set their OWN goals, and then decide if INSURANCE is the best way to handle that goal.
2. They absolutely need more coverage. First of all in your own explanation you state "All of these group plans protect him as long as he stays with the bank." If he leaves the bank voluntarily or otherwise and in the meantime has become uninsurable, his family would be in a real "pickle". My advice -- Jeff and Ann need to sit down with a good life insurance agent or financial planner and have a full financial needs analysis down for them. They need to go over everything, what are their goals with regards to the children, how much money do they want to set aside for retirement, what would be the impact on the family if Ann died or became disabled? There are too many things here for you to rely on a simplistic answer better to have a full review by a local professional so that Jeff and Ann can form an opinion and make their choices based on a solid foundation of facts. I hope this information helps. Good Luck