Fundamentals of Insurance Planning and Risk Management Assignment

Fundamentals of Insurance Planning and Risk Management - Assignment Example conduct damages needs to be purchased for an amount that takes all expenses into consideration. It is estimated that life insurance will be essential for an amount of $1,025,000. Following calculation sheds light on this figure75% of consolidated income is required for 14 years for a reason as noted above. University expenses are calculated for 4 years for both(prenominal) Mike and Karen. It is assumed that before the university, expenses will be managed from the family maintenance fund.According to the needs approach, when calculating expenses, it is trump out to overestimate needs a little. The idea is to buy and pay for a little more insurance than to underestimate and realize mistake when it is too late.The particular overlap that may meet the requirement to finish the gap should be bought. Insurance consultants can be contacted for assistance in this matter to learn which product will be the most a ppropriate from a cost-benefit perspective.Long-term treat insurance Long-term care is typically needed by the elderly, but it is also required by anyone with a debilitating malady or injury who needs assistance to perform activities of daily living (ADLs) like bathing, feeding, and getting dressed to kill(p) (Beam, Wiening, Bickelhaupt 2005). Long-term care insurance ensures that any costs associated with care are covered, thereby lessening the pecuniary burden on oneself and family.