Advertising has positioned diamonds and expensive cars as gifts of love. The Life and Health Foundation for Education has documented how life insurance is also such a gift.

From the link below, you can view a video about Jodie and Dennis Danduran. The couple decided to purchase life insurance shortly after adopting the first of their five children. Though Dennis was the primary breadwinner, they wisely determined that Jodie, a stay-at-home mom, also needed a considerable amount of coverage. They decided this when they realized what it would cost to pay someone to perform all roles she filled. That planning made all the difference when Jodie died suddenly of an aneurysm at 39. The insurance money has allowed Dennis to switch to a job that gives him more time to take care of the kids, and has also been used for living expenses and to set up college funds.

http://www.lifehappens.org/reallifestories/danduran

Call us about this important gift for those you love.

Check the renewal date on your drivers license!

The 2008 Massachusetts cutbacks included eliminating the drivers license renewal announcement mailing. In most cases licenses renew on your birthday every 5 years. Class D license renewals are currently $40. If you don't have outstanding tickets or warrants, you may be able to remew on line. Click the link below for more information on Registry of Motor Vehicle notification cutbacks.

http://www.mass.gov/rmv/alerts/economymsg.htm

This has been a troubling year for the stock market, investment banks, mortgage brokers, and some commercial banks. The largest insurer AIG has also received government funds.

What about the other insurers? Overall, most insurers are doing well. They haven't been impacted by the stock market because their reserves are only minimally invested in stocks. Below are links to the public financial sites for the three major insurers with whom we work.

Safety Insurance

MetLife

State Auto parent of Patrons Group

In addition, most insurers we work with are covered under the Massachusetts Guaranty Funds. The largest exception are surplus lines companies (non-admitted companies) which are almost exclusively for certain types of commercial property and liability policies. Clients sign a surplus lines affidavit when they purchase policies from a non-admitted company.

Property and casualty guaranty funds cover virtually all claims arising during a policy coverage period. For occurance type policies - including almost all home and auto policies - this basically means claims on covered perils that occurred during the policy term. The link below will provide more information about the New England states' funds.

Guaranty Fund Management Services

Life, health and annuities have guaranty funds. Benefits can be limited in certain situations. In Massachusetts, life insurance death benefits from one insurer can be limited to $300,000 per life, or the cash surrender value can be limited to $100,000 per life. Health claims can be limited to $100,000 per life, and annuity benefits (present value) can be limited to $100,000 per contract owner. The link below will provide more information about the Massachusetts fund.

Massachusetts Life & Health Insurance Guaranty Association

Call us if you have more questions about a specific insurer.

Thank you for working with Beacon Insurance. Email Jordan Hegedus any other insurance topics you'd like us to explore. jordan@gotobeacon.com

Happy Holidays and Best wishes for the New Year!