Texas Life Insurance Case Study

Single and Working (One Income)

John is an independent massage therapist in Texas, unmarried and living alone, and makes around $66,000 a year. His yearly expenses without rent are around 30,000 while he pays 21,000 in house rent. He charges his customers per hour of his service; therefore, he is capable of saving a little for himself. John got himself into an accident, which made him unable to do his job. He now has to pay for his medical expenses and the physiotherapy sessions for the entire year to get back. His savings would not be enough to cover all the expenses, which will eventually lead to debt. He could have avoided this situation if he had an individual insurance plan, which costs around $600 on average. Texas Income Protection plan can also provide him with both short and long-term protection on his income while he is under medical care.

Married with no Children (Two Incomes)

Sebastian and Sarah are married and both of them work in sales. Their yearly income is around $83,500 each, which leaves them with enough savings for the year that they are planning to use on purchasing two cars. However, Sebastian has been diagnosed with cancer, which comes with expenses of chemotherapy and drugs. In such difficult times, Sebastian and Sarah could have overcome the challenges if they had adopted the income protection plan, which would have enabled them to secure a percentage of their salary under disability coverage. Similarly, an individual or group insurance would also have benefited them with their expenses so that they could use their savings for the much-needed car.

Married with Children (One Income)

George and Rose have been married for 10 years and have two children. George is a surgeon with a yearly salary of $400,000. Rose is a homemaker and one of their children goes to school. They can easily afford the yearly expenses including house rent, bills, school fees, etc. However, in an unfortunate accident, George dies leaving his family behind with no source of income. Rose now has to pay the rent of their apartment along with other expenses. This situation could have been avoided if George had undertaken Texas life insurance for physicians and income protection insurance. 

Married with Adult Children (Close to Retirement)

Hudson and Linda are both approaching retirement and both of their children have moved out and had families of their own. However, their son Liam has encountered a deadly accident that has made him disable for life. Liam with his family has moved back to Hudson and Linda’s house, as he is unable to pay rent and utilities. Linda and Hudson now have to provide financial support to their son’s family by working overtime. This situation could be avoided if they provide necessary funds for Liam to undertake disability income insurance (Texas Income Protection Plan) and life insurance to cover his family expenses and house rent.