The Insurance Doctor

Tag: coronavirus

  • Thinking Clearly in the Middle of Chaos

    Thinking Clearly in the Middle of Chaos

    You don’t need me to tell you that this country is upside down right now.  There has never been a more important time to think clearly and adapt to the current situation.  With 40 million unemployed and another 10 million not seeking work, many are in a “financial” survival mode.  One in three Americans have yet to receive their unemployment checks!  Most advisors suggest keeping an “emergency fund” of 6 months income.  Even for those who have heeded the advice, the six-month fund is dwindling as New York City has been slow to reopen.

    The way unemployment is structured, with the Federal Government adding $600/week in addition to the state unemployment benefits, can be a deterrent to employees returning to work.  In New York State, the maximum is $504/week plus the $600= $1,104/week.  This could represent a raise for many, so why go back to work when you can stay home and possibly earn more money?  New Jersey caps out at $681/week, Connecticut at $649.  Florida has the lowest cap at $275; however, they have no city or state income tax.  The highest cap is Massachusetts, which has a range of $769-$1,220 depending upon the eligibility.  These numbers don’t mesh well with the Paycheck Protection Program (The Triple P), because business owners have to spend the money now over the next 8 weeks when their employees refuse to return to work.

    The public knows this “generosity” won’t last forever, so many are tightening up on their spending.  If you’re on a salary, you can’t increase revenues, only decrease expenses.  Here are a few tips to reduce expenses:

    1. Whole Life Insurance: If you have a traditional dividend-paying life insurance policy (the older the better), consider changing your dividend option to “reduce premiums.”  For example, you have an old $50,000 policy, the premium is $1,000/year and your dividend is currently $600.  You can change the $600 dividend to “reduce the premium” and now you would only have to pay the $400 difference, saving you 60%.
    2. Auto Insurance: Since many are self-quarantining, auto insurers are reducing prices.  Some are giving credits.  It’s a good time to shop the auto insurance market.
    3. Life Insurance Settlements: During the Covid-19 pandemic, “Life Insurance Settlements” can be a lifeline for seniors who could be struggling financially, and who own a life insurance policy in danger of lapsing.  These policies can hold significant re-sale value.  We have been able to sell policies with zero cash value for 20%-30% of the death benefit.  It’s important for seniors to realize they can sell their policy for a lump-sum of cash, instead of having to continue to pay premiums. We have 23 Funders who bid against each other in an auction, which ensures our clients will get the maximum lump-sum offer.

    Feel free to reach out to me to continue these conversations at Rob@InsuranceDoctor.us or www.InsuranceDoctor.us and complete our simple contact e-form.

    Be Safe and Wash those Hands!

  • Phase One Reopening

    Phase One Reopening

    As you probably already know, other than the 5 boroughs, New York State has reopened this week.  What does this mean for Rockaway and Queens?

    The way business owners decide to spend their CARES Act stimulus package Payroll Protection Program (AKA the Triple PPP) money, will have a direct effect on our economy and the unemployment rate through this summer and probably the rest of the calendar year. 

    In Rockaway, it will be interesting to see which restaurants can adapt first to efficient takeout and then when able to fully open (see the Phases below). 

    Earlier this week, I was listening to the Jim Kerr Q104.3 Morning Rock-n-Roll Show and Shelley Sunstein (Jim’s sidekick who can cook) mentioned that she’s accustomed to cooking at home now and will start ordering takeout from restaurants with food she’s not capable of cooking at home.  If this theory is correct, then restaurants like Uma’s and Kimo’s should do well right off their reopening.

    Although I have had my issues with Governor Cuomo (like his ego-based forcing out Rockstar Andy Byford from the MTA); he has done an effective job on a daily basis communicating Covid-19 expectations to lower death rates currently under 100/day in New York State.  By tying performance-based Covid-19 goals to open regions, he helped people focus on Phase One “TEAM GOALS.”

    Phase One:

    • Construction
    • Agriculture, Forestry, Fishing and Hunting
    • Retail – (Limited to curbside or in-store pickup or drop off)
    • Manufacturing
    • Wholesale Trade

    Phase Two:

    • Professional Services
    • Retail
    • Administrative Support
    • Real Estate / Rental & Leasing

    Phase Three:

    • Restaurants / Food Services

    Phase Four:

    • Arts / Entertainment / Recreation
    • Education

    During these times there are opportunities everywhere for those seeking them.  I’ve been saying since this outbreak that EVERYTHING IS NEGOTIABLE during the Covid-19 era. 

    Earlier in the week I sat on a great Zoom webinar presentation given by a HIGH-LEVEL CONCIERGE TRAVEL AGENT.  I asked a question about getting a full refund on my flights to Buffalo (to see the Rolling Stones show now postponed) next week and she said the airlines are only giving credits for 12-24 months.  This motivated me to call Jet Blue immediately after the webinar ended.  After an hour wait, I calmly stated my position to the Jet Blue representative and he gave me a full refund with no arguments.  I couldn’t believe it!  Jet Blue had inundated me with emails and changed my flights about 5 times and asked for a reply to confirm, which I never did.  Turns out, their rule is if the flight is changed more than 2 hours from the original itinerary, then you are entitled to full refund!  Who knew?

    Try it yourself and KEEP THE FAITH!

    -Robert

  • 8 Health Benefits of Having a Dog During the COVID19 Crisis

    We love our dogs in the United States with almost 90 million nationwide. That means nearly one-half of households have a dog in their home.  Other than companionship, there are other advantages to having a dog in this Covid-19 new world.  For example:

    1. Safety & Security:  Dogs are another layer of security as barking dogs can keep burglars at bay.  Dogs can spot intruders well before we can.
    2. More Exercise: When owning a dog, you should be walking it 2-3 times/day.  Guess what?  You are exercising when walking your dog, and 30-45 minutes/day can do wonders for your health.
    3. Less Chance of Depression: Dog’s companionship has been known to help people diagnosed with clinical depression.  Caring for an animal can help relieve the symptoms of depression and make people feel more positive.
    4. Less Stress: Numerous studies have shown that dog owners have lower stress levels.  Engaging with your dog can reduce stress.
    5. Illness detection:  Dogs see the world through their keen sense of smell.  Some dogs can sense the onset of epileptic seizures or the presence of some types of cancer. 
    6. Increased Allergy Tolerance:  Children raised in homes with pets like a dog have a reduced chance of having allergies.  Growing up with a dog can boost immunity to pet allergies later in life.
    7. Boosted Brain Development:  Dogs boost brain development in children, along with emotional growth and connection to others.
    8. Stronger Heart: Studies have shown that petting a dog can lower your heart rate and male pet owners tend to have reduced rates of heart disease.  No wonder why dog adoptions are way up!  Enjoy!