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Life Insurance 101: Choosing the Right Policy September 18, 2018


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Cracking the complex and confusing lingo of life insurance can be a chore. Following is a tutorial that might help:
Term Life: Term life insurance provides basic protection in the event of an untimely death. It can be purchased in various durations, ranging from five to 35 years. There are various types of term life policies, including level, annual renewable and mortgage insurance. Some term life policies are guaranteed renewable, while others are not.
Permanent Life: Unlike term life, which may expire at the end of the original duration without having ever paid a claim, permanent life insurance remains in effect until the policy matures. It also builds cash value in addition to the face value of the death benefit. There are several forms of permanent life insurance, including whole life, universal life, limited pay and endowment.
Whole Life: Whole life insurance combines a level premium with cash value and guaranteed death benefit. Although typically more expensive to fund in the initial stages, whole life policies are typically less expensive for those who intend to hold a policy for 20 years or longer, due to the increased dividend payments that offset the cost of premiums later in the life of the policy.
Universal Life: Universal life insurance provides permanent coverage and higher rates of return in exchange for a decreasing cash amount. Premiums tend to be flexible, and death benefits may also be modified in keeping with the ability and needs of the policyholder.
Limited Pay: Limited pay is a less commonly used form of permanent life insurance that locks in a payment period by which all premiums must be completed.
Endowments: Endowments are a form of life insurance that tend to be more expensive due to a reduced payment period. The cash value of the policy is expected to equal the death benefit by a specified period or age. Over funding certain whole life policies could result in the Internal Revenue Service designating a policy a Modified Endowment Plan and subject to different tax rules and rates.
When in doubt, speak to your agent about the right policy for your life stage.
This article and any information contained herein is intended for informational purposes only and should not be construed as legal advice.  The publisher will not be responsible for errors or omissions or any damages, howsoever caused, that result from its use.  Seek competent legal counsel for advice on any legal matter.


Why Life Insurance Equals Love for Newlyweds September 11, 2018

While it might not seem like the most romantic part of planning a future life of matrimonial bliss, it could be one of the most important. Life insurance is an essential part of creating a future together and making sure the one you love is provided for in any situation.


wedding - bride and groom from behind

The first step in purchasing life insurance is to decide on the type of policy. There are essentially two primary types: whole life and term. Whole-life insurance tends to be more expensive but has a cash value that can offset a portion of the cost of the policy. Term life insurance is more affordable but has little to no cash value at the end of the term. Most term life insurance can be purchased for one to 45 years’ duration.

Young, healthy and Non-Smoking People Get the Best Rates. Lock in the best prices while you are able. As with most insurance policies, the time to buy is when you least expect to need it.

Buy a Policy for Everyone. Even if only one person is working while the other is in college or remains home with children, it’s important to plan ahead. Consider the cost of replacing the help the other person contributes. Don’t forget to purchase enough to replace the lost income over a lifetime, not just the current level of expenditures or earnings.

Understand Taxes and other Obligations. Life insurance provided by an employer is good, but a self-purchased policy is often better. Not only does it remain in effect if you switch jobs, but it’s not taxable in the event of a settlement.

This article and any information contained herein is intended for informational purposes only and should not be construed as legal advice.  The publisher will not be responsible for errors or omissions or any damages, howsoever caused, that result from its use.  Seek competent legal counsel for advice on any legal matter.


Dave Krause Receives John Finney Lifetime Award September 5, 2018

Dave Krause - John Finney Lifetime Award - webWhen a family has a child being treated for cancer, it quickly becomes a daily struggle just to hold everything that matters together. For families under such constant stress, Joshua’s Camp is a very special retreat with a life-renewing mission. This camp would become a second home for Dave Krause and his family.   

Dave Krause, VP/Commercial Lender at Forward Bank, became involved with Joshua’s Camp after his son Will was diagnosed with Leukemia in 2012. Their child life specialist suggested they attend Joshua’s Camp, which was brand new at the time.

“It was an amazing experience for all of us,” commented Krause. “As a parent many times you feel as if you are fighting this battle alone, HIPPA does not allow your care team to introduce you to others that are experiencing similar issues. JC has no limitations, so you are encouraged to talk with the other families and develop relationships.”

Joshua Camp also focuses on the whole family and offers everyone the opportunity to step back, relax, and experience the feeling of solid ground. “Our son Ben was just as important as Will was, but during treatment, siblings are sort of forgotten,” said Krause. “John Finney, JC Founder, always said the childhood cancer was a family disease fought in the body of a child.”

After Krause’s first camp in April 2012, Finney approached him about serving on the board that was being established for Joshua’s Camp. “I, of course said yes,” recalls Krause. “I didn’t know I would be named President of the board that has no term limits!” 

On Saturday, August 25 at the annual “Evening on the Stage” fundraiser, Krause was presented with the John Finney Lifetime Award for his work on the Joshua’s Camp Advisory Board and for establishing structure to an organization that truly started at a kitchen table. The award is fondly named after John Finney, who lost his battle to cancer in January 2015.

“We’re proud of Dave’s accomplishments and his dedication to an organization that is very near to his heart,” commented Bill Sennholz, President/CEO at Forward Bank. “This a great example of an employee  taking the time and energy to make a difference in our communities and the lives of the people who live here.”


What Should You Do with an Old Life-Insurance Policy? September 4, 2018

Life insurance is easy to forget when you don’t need it. As you near retirement, it might be a good time to reevaluate your needs. Is your old policy — possibly purchased decades ago — still serving a purpose?

Life insurance is important as we start our adult lives — get married, buy homes, have children. That’s because we want to provide for our loved ones should a tragic accident or illness prohibit us from providing financial assistance. But then life goes on. Our children grow up. We pay off our mortgages. We retire, and we’re living (hopefully) comfortable lives provided by our Social Security income and retirement savings. But we have these old life-insurance policies, and we’re still paying premiums for them. What should we do?


One option is to simply stop paying premiums and let the policy lapse. The money you paid in premiums could be used in a number of other ways that are more beneficial given your current life circumstances. For example, you could use the proceeds to pay down any debt you have. You could use the money to add to your nest egg, investing it in a manner that will, hopefully, grow over time. Or you could invest it in long-term care insurance (or a dedicated “rainy day” fund to be used for long-term expenses, should you need them as you age). Of course, the policy may still benefit you. Just because you have no children living at home doesn’t mean you don’t need life insurance.

Think of all the ways the people in your life could be affected by your death, and ask yourself how your life-insurance proceeds would help them. If you can come up with enough ways, it might be worth keeping your policy in effect and reevaluating in another one to five years.

This article and any information contained herein is intended for informational purposes only and should not be construed as legal advice.  The publisher will not be responsible for errors or omissions or any damages, howsoever caused, that result from its use.  Seek competent legal counsel for advice on any legal matter.


Forward Bank & Forward Insurance Donates $15,000 to Thorp Athletic Booster Club August 29, 2018

Forward Bank and Forward Insurance donates $15,000 to the Thorp Athletic Booster Club to support the remodeling project and addition to the Thorp School.  Specifically the funds will be used for the new weight room and fitness center.


Thorp Booster Club - Forward Bank - Forward Insurance - Check Presentation at Golf Outing

Many of the Forward staff in Thorp are Alumni of Thorp High School and are always looking for ways to give back to the place that has impacted their lives so positively. So, it was an easy call when the Thorp Athletic Booster Club President, Rob Krzyanowski approached Forward Bank and Forward Insurance for a donation to the project.

“A donation of this magnitude is part of our mission to give back to our community,” commented Samantha Hubbard, Office Manager for Forward Bank. “Our community support is how we pay dividends to our owners. Instead of sending checks to individuals, we invest in our community with projects like this.”


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