Sandra Bailey, Life Insurance Broker
Sandra Bailey
Women Financial Power, LLC
Life Insurance Broker Licensed in TN
15+ Years of Experience
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Cordova, TN
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About Me
Hello, and thank you for stopping by my page.
At Women Financial Power, we specialize in Retirement and Insurance Planning. Life insurance is often one of the most important tools we use to help clients protect their families, build wealth, and create financial security.
What's your reason for purchasing life insurance?
🔹 Final Expenses
Provide your loved ones with the financial resources they need during a difficult time, so they can focus on healing rather than worrying about funeral and other final expenses.
🔹 Legacy Planning
Life insurance can be one of the most efficient ways to leave a tax-free legacy to your family, loved ones, or favorite charity.
🔹 Estate Planning
Life insurance proceeds can help provide liquidity to pay estate taxes and other expenses, helping preserve assets for future generations.
🔹 Retirement Planning
Life insurance can play an important role in a retirement income strategy. Certain policies may accumulate cash value that can potentially be accessed to supplement retirement income on a tax-advantaged basis. For an interesting example, research the retirement strategy used for Jim Harbaugh during his tenure at the University of Michigan.
🔹 Long-Term Care Planning
Some life insurance policies offer living benefits that can help cover expenses associated with chronic illness or long-term care needs.
🔹 Business Owner Planning
Are you a business owner? Life insurance can help protect your business with Key Person coverage and funding for Buy-Sell Agreements, helping ensure a smooth transition and financial stability when the unexpected happens.
Life insurance is not just about what happens when you're gone. It's about protecting the people you love, creating financial flexibility during retirement, preparing for life's unexpected events, and leaving a legacy that reflects your values.
What role do you want life insurance to play in your financial future?
Q&A with Sandra Bailey
Can I change my beneficiary on a life insurance policy?
Answer: You surely can! If it’s a revocable beneficiary.
You can contact your insurance agent or you can call the insurance company to request the change.
If it’s an irrevocable beneficiary, you cannot change it without their convent. However, most life insurance beneficiaries are revocable, unless you told your agent to make them irrevocable.
Therefore most likely yours is revocable, thus can be changed. I have never written an application with an irrevocable beneficiary but just saying it can be done both ways.
You can check your application that’s included as part of the life insurance contract. Check the beneficiary section to see what type of beneficiary is checked.
Hope this helps. Long answer but all the details :-)
What is the most common mistake people make when buying life insurance?
Answer: A mistake I’ve seen is when people purchase life insurance from a tv ad & not speak with a broker. Some plans advertise, no one will be turned down. Many times they will place you in a guaranteed issue life insurance plan. Some of these plan require a 2-3 year wait before the claim is paid. Now if your health is poor, this may be the only plan you’ll qualify for. But you should at least try for a level plan 1st. They”!!
2nd thought ….
I don’t believe you can make a mistake when buying life insurance. However, you must ask yourself: Why do I want life insurance?
Do you want it for a specific period of time? For mortgage protection or to make sure your minor children get through college if God called you home too soon.
Do you want a permanent plan that won’t expire?
For burial or final expenses, for leaving a legacy, estate planning, supplementing retirement with cash value, wanting long-term care or chronic illness included in your plan.
What is simplified issue vs. guaranteed issue life insurance?
Answer: “Simplified Issue” is when the insurance company does not require a paramed (physical) on you. During the application process, they will ask you to sign a HIPPA form. You’re giving them permission to request your medical history. Your MIB(Medical Information Bureau) report & your RX, prescription drug check. The insurance company will approve or decline you based on this information. No medical exams required.
“Guaranteed Issue” is when the insurance company will not ask any health questions. There is a wait period of 2 years mainly but some carriers have a 3 year wait before they will pay out the death benefit. If you die before the 2 or 3 year wait period, most companies will return your premiums back to you plus interest. Some carriers will pay you 10% interest while other carriers may pay less.
Hope this explains the difference. Thanks for the question.
Can I sell my life insurance policy for cash?
Answer: Yes you can. It’s called a Life Settlement.
What I’ve seen is you’ll get more money for your life insurance policy if you’re older & have health issues. This makes the companies want to purchase it. You can use the cash to help with long-term care while you’re living if you don’t have long-term care insurance. Or you can use it for whatever you want.
If you’re young & healthy you may not be able to sale your life insurance policy. If you’re older & healthy, you may get less than if you were unhealthy. Hope this makes sense.
The life settlement company purchasing your policy so now they own it. They assume paying the premiums & they are now the beneficiary.
You’ll want to get with a broker so they can check all the life settlement companies for you or you can check around yourself & don’t accept the first offer.
Hope this was beneficial & answered your question.
What is the difference between universal life insurance and whole life insurance?
Answer: Both are permanent life insurance plans.
However WL has riders that UL doesn’t.
WL has a reduced paid up rider. If you stop paying, you may still have a paid up policy.
WL is more expensive as it offers guarantees to age 121. Final expense policies are written with WL
UL is more flexible. If you have cash value(CV) in your policy, it can be used to keep the policy in force until the cash runs out. UL is less expensive so has gotten more popular. Some companies are looking at paid up riders also. There are some Guaranteed UL policies that offer guarantees to age 121 while others offer non guarantees.
Be sure your agent or broker explains these to your understanding before you make a decision & purchase.
How can I lower my life insurance premiums?
Answer: Life insurance is based on age, health conditions & tobacco usage.
The younger & healthier one is, they’ll get the best rate. This is why it’s best to purchase life insurance on children.
The question however: “How can you lower your life insurance premiums?”
If you were a smoker & stop smoking, you can request non-tobacco rates.
You can get with a broker who can shop various carriers for you in an effort to find a less expensive premium. There are a lot of carriers out here so you can shop around.
If you’ve had your policy for a long time, you were younger & may not find anything lower. It all depends. Just shop around to find out before giving up.
How do I calculate the death benefit I should choose?
Answer: Use the DIME method or approach to determine how much life insurance you’ll need.
D - Debt: How much debt will be owed when passed away. If you have a car loan…Would it be repo?
I - Income: what’s your annual income & how many years will your loved ones need that income if you passed away.
M- Mortgage: What’s the balance on your home mortgage or how much is the annual rent that will be needed in your absence & for how many years.
E- Education: for your young children’s future plus day to day Expenses for your family.
If this is a high number, you can always get a term policy for the length of the mtg & to get your children through college. Purchase a permanent policy for final expenses or to supplement retirement & long-term care coverage.
Good luck in purchasing life insurance. Great question.