The Money Machine In Your Home

How would you like to have a money machine in your home? This machine would be placed prominently in your living room, next to your television set, maybe sharing the same electrical outlet. It might look like a casino slot machine, with wheels and clatter and bells. And it would produce real money for you, day after day, week after week, month after month, year after year, just as steady as you please. When you need money, you simply go to your money machine and scoop up the number of new bank notes you need for all your household and personal requirements. In a year’s time, how much money would such a machine produce for you?

But there is a catch to it: You cannot build a safe box around it, nor can you hire guards to protect it from theft. And suppose it breaks down? Repair might be possible, but suppose spare parts are not available. No, your machine must just stand there producing money for you, and you would surely hope it would stay in good working order for a very long time. Certainly you would come to depend on it.

So, the key question is this: if you had such a wondrous money producing machine in your home, and, knowing you could not safeguard it from theft or mechanical breakdown, for how much money would you insure it?

You certainly would insure it, wouldn’t you? Consider that this machine might well produce money for you for many years, maybe 50 or more. If it was producing, say $50,000 per year for you, in 20 years, it could be the source of as much as a million, probably much more.

Fact of the matter is, you DO in fact have such a money machine in your home. Maybe it’s you that others depend on. Maybe it’s someone else that you and your family depend on to provide all or a good portion of the income you live on. Unlike the money machine in this story, this real person cannot stay in relative security at home. No, he or she must go out into the world everyday to brave the elements and workplace. Anything can happen. Those ambulances you see running around out there have real bodies in them.

I first heard the story of the money machine in 1972, when I was learning the basics of life insurance. I’ve always thought that “life insurance” is an unfortunate name for it. A much more accurate, (and better sounding), title for it is “income assurance.” No one can insure that life will go on, but it makes great sense that probably the greatest asset a person has-being able to use talents and intelligence and be paid for doing so-needs assurance, more so than insuring buildings against fire, autos against accident, and jewelry against theft.

It is human nature to presume that the inevitable final event in every life won’t happen for 100 years. So, we put it off, because it makes us uneasy to think that maybe, just maybe, our story will end sooner rather than later…that somehow, maybe, by golly, I’ll think about it another time; call me next year. Maybe then I’ll tempt fate and actually book an appointment with an experienced, knowledgeable income assurance agent, maybe one with the letters C.L.U. after his/her name, which mean Chartered Life Underwriter, and signify areal pro at what he/she does.

Contact me to look at Life Insurance options for you and your family:

Marianne Hobbs Insurance Agency 602.672.9000

http://www.farmersagent.com/mhobbs

Article by Thomas Bottaro ChFC, http://www.eco-wizzard.com/the-money-machine-in-your-home/

Life insurance can help fill the gap

Did you ever think that life insurance could be a valuable tool during your working years as well as after? Interestingly, life insurance can be a useful tool for many individuals and families who are approaching retirement as well as for those who are already retired.
Most of us buy life insurance to replace the loss of income that would occur should we die or to create an estate for our loved ones (click here see accompanying Did You Know article), but there are many other reasons:

• You have an aging parent or disabled relative who depends on you for support
• You have a large estate and expect to owe estate taxes
• You own a business and have a partner
• You have a substantial joint financial obligation, such as a personal loan for which another person would be legally responsible after your death

Life insurance and retirement
Many retired couples depend on Social Security and pension income to survive. When one spouse dies, those payments may be reduced — survivor benefits are often much lower than retiree benefits — while many of the ongoing expenses remain for the survivor. You can help protect your surviving spouse from this reduction in income with life insurance. The death benefit can replace your missing income so a personal loss does not become a financial one as well.

CALL ME: MARIANNE HOBBS INSURANCE AGENCY 602.547.1970 OR
http://www.farmersagent.com/mhobbs I can help you analyze your individual situation so you can determine your life insurance requirements and decide whether your coverage is appropriate for your needs and your family.

Life insurance issued by Farmers New World Life Insurance Company, Mercer Island, WA 98040.
Products and features may not be available in all states and may vary by state.

Going from the rat race To your home space As corporate downsizing and rightsizing continue and the Internet makes telecommuting ever more productive, an increasing number of entrepreneurs are discovering the benefits of running businesses out of their homes. If you are looking to be your own boss, set your own hours and not worry about getting laid off, a home-based business may be the right decision for you … but make sure you and your valuable property are covered. If you operate a retail business or office from your home, your homeowners and personal auto insurance typically will not give you the coverage that you want. However, a home business insurance policy may help insure you, your property and your income while you grow your business and beyond. Coverage for your home business The coverage under most home business insurance policies is similar to that of most small business insurance policies. Property Coverage - Includes coverage for losses to your building and premises, business personal property and contents. Liability - Covers damages to your business for losses to third parties from: Bodily Injury — people injured on your premises or by a product you manufacture or sell. Personal Injury — violations of privacy, false imprisonment, wrongful eviction, etc. Advertising Injury — for losses due to alleged slander, libel, or copyright infringement by you or your employees. Many of us are re-evaluating our lifestyles and operating a home-based business may provide a new opportunity. Call me — I can give you information you need to help select coverage that you want. Forward this to someone you know — I can show them coverage that may fit their home-based business needs too. Contact Me: Marianne Hobbs Insurance Agency 602.547.1970 or http://www.farmersagent.com/mhobbs

To Buy Or To Lease?

To Buy or Lease? If you’re interested in a new car, the question typically arises: Should I lease or buy? As is often the case, it depends on your individual situation. Many people equate leasing with renting but it may be more useful to consider leasing as financing the use of a vehicle whereas buying with a loan finances the purchase of a vehicle. Your lifestyle, your priorities As you think about whether to lease or buy a new vehicle, it’s important to make financial comparisons but it’s also important to consider your lifestyle, your objectives and personal priorities — what’s important to you. If you … Enjoy driving a new car every three or four years; want lower monthly payments; want a car that is always under warranty; don’t want to trade or sell used cars; don’t care about building equity in your vehicle; have a predictable lifestyle and drive an average number of miles per year1; properly maintain your cars and are willing to pay more over the long haul to get these benefits, then you may want to consider leasing. On the other hand, if you … Value long-term cost savings over lower monthly payments; enjoy owning your vehicle and would like to pay it off and be payment-free for a while; don’t mind the unexpected cost of repairs after the warranty has expired; like to customize your vehicle; drive more than the average number of miles per year and don’t mind higher monthly payments, then you may want to consider buying your vehicle. Caveat: Lack of flexibility Some consider the inflexibility of the lease agreement a significant drawback of leasing. If you want or need to terminate your agreement before maturity, you will likely pay a significant penalty for early termination. In many cases, the penalty may equal the remainder of payments due under the agreement. So before you enter into a lease make sure your lifestyle and ability-to-pay are predictable and stable. Contact me:Marianne Hobbs Insurance Agency 602.547.1970 OR http://www.farmersagent.com/mhobbs Visit http://www.smartmoney.com/calculator/autos/buy-or-lease-a-car-1302833645461 for more information about leasing. When you decide which option you feel is appropriate for your situation, call me. We can sit down and review your coverage and options so you can be sure you have the insurance you want to go with your new ride. 1According to SmartMoney, the average American driver puts about 12,000 miles per year on his or her car. (http://www.smartmoney.com/calculator/autos/buy-or-lease-a-car-1302833645461) The Case for Leasing Allows you to get a new car frequently Provides short-term affordability Results in fewer repair bills Avoids upside-down loans The Case against Leasing You don’t own the vehicle Penalties for early lease termination Additional charges for excessive mileage and any damage to the vehicle Must buy or return car at end of lease