All Life Insurance Tips

I am thinking of entering the nfl next year and thinking of buying life insurance?

I am thinking about going into the nfl next year, does it matter when I buy life insurance. Also term versus whole and what about disability. To rates increase since I am a professional athlete. Does it matter if I buy it before I am technically a pro athlete? Supposed to be a 5th rounder, making about 700k my first year I have friends that work with northwestern mutual and was curious if they would be able to help me out?

Public Comments

1. get player coverge Good Luck!
2. sweet, what college team do you play for? and yeah i would get life insurance. Oh and can i have your autograph????
3. If you have no dependents, there is no reason to get life insurance. Life insurance is to take care of the people you leave behind. BTW, you might want to good what a 5th round draft pick earns IF they actually get signed by a team. The average salary is MUCH less than what you are estimating.
4. It doesn't matter when you buy it before or after you become a professional football player. The earlier you buy it, the cheaper it is. It gets more expensive as you get older. Not only that, if you buy it right away like today or tomorrow, you won't have to worry about your family finances in case something does happen to you. Since you are a football player, your rates will not increase because of your occupation. However, rates are also determine by medical factors such as past family health history, your height and weight, your age, smoker or non-smoker, and results from blood and urine tests. If you take prescription drugs, you should let the medical physician know when he or she takes a blood sample from you. As for the different life insurance out there, my blog goes into detail for each type. But here's the general info about them: Whole life: Level premiums for life of the policy. Policy expires around age 100. It builds cash value after the first 2 years (so no cash value in the first 2 years) Cash value gets a low rate of return of 1 to 3% If you want to take money out, you borrow and pay loan interest of 8% If you die, beneficiary gets death benefit, but insurance company keeps the cash value. An average 30 year old who is healthy pays $1000/year for $100,000 coverage Term life insurance: Level premiums for a specified time (ie 1 year, 5 year, 10 year, 20 year, 25 year, 30 year, or 35 year) Does not build cash value. At the end of term, you may: 1) Cancel the policy 2) Renew and pay premiums at your current age. You will be renewing every 1 or 5 years and premiums will go up each time you renew. 3) Convert to a whole life policy 4) Exchange it for another term policy If you die during the term, your beneficiary gets the death benefit. An average 30 year old who gets $100,000 coverage pays: $200/year for 20 year term $250/year for 30 year term If you are worried about becoming disabled, you can add a "Waiver of Premium" rider to your policy for an extra cost. This rider will pay all future premiums for you in case you become disabled. If you do not become disabled by age 60, the waiver of premium will cancel. If you become disabled before that age, the waiver of premium will stay in force to the end of the policy date. As a financial advisor, I recommended all my clients to buy term and invest their money in mutual funds. If you take a look at the cost between whole life and term insurance, term insurance is initially cheaper. If that 30 year old bought a 30 year term, he would be saving $750/year for the next 30 years. If he invest that $750/year in mutual funds and he gets a 10% rate of return, he will have about $149,000 saved. While most people won't believe they can get 10% return because of today's economy, in the long run, that is very possible. If you take a look at the S&P 500 index, which lists the top 500 largest companies in the US, it has an average annual rate of return of 11% in the past 30 years. I personally own a 20 year term insurance and I contribute $400/month to my Roth IRA since 2006. All my money is invested in 4 different mutual funds. These mutual funds I pick has an average annual return of between 8 to 14% in the past 30 years. It doesn't mean it gets 8 or 14% every year. Some years they are up 40%, some years they go down 20%. It will always fluctuate every year, but in the long run, the average is 8 to 14%.
5. What's the GOAL of the life insurance? First, set the goal, THEN select the product, and check for availability. But the truth is, not everyone who wants to go into the NFL gets in. Not by a longshot. And, while you have no job, you're not going to be insurable for much. Bottom line - most football players don't die of football related injuries, AND, they do die broke - because they never learn to manage their money. If you're planning on making that much money your first year, you can afford to SELF insure, for life insurance. MOST people don't need much more than that, even if they're leaving a wife with a flock of kids to raise. Don't worry about life insurance, as much as being sensible with your money. Stay out of debt, live well under your means, and save 90% of what you earn, for a rainy day - football careers tend to be relatively short.
6. You already got some good advice here. I will just add that insurance companies do charge more for dangerous occupations. I don't know for sure but I think a professional football player would fall into that category. I have a stuntman for a customer and he had to pay a lot more for his life insurance but its still reasonable. It is a term policy with level premiums for 30 years. But you need to figure out what is right for you. Call and get some quotes. And, disability insurance is worth looking into too.