Did Prince Have Life Insurance?

 

Written by: Matt Kelly, FBinsure Benefits Producer

Spoiler Alert: Prince passed away at the age of 57.  Typically I don’t follow celebrity media but the death of Prince was all over the national news circuits and rightfully so.  Prince was 17 when his official music career began and by the time he turned 21 he had multiple singles land on Billboard’s top 100.  In 1982 he released a double album “1999” (a sure sign that he was well ahead of his time), which sold over three million copies.

I’ll be honest I didn’t know much about Prince besides his popular songs like “Purple Rain,” “Little Red Corvette” and “When Doves Cry.”  I do remember his iconic Super Bowl half time performance and the stories told by Charlie Murphy while on the Chappelle Show which has been viewed nearly 600,000 times since his death.  If you haven’t seen the clip I can assure you it’s worth watching.

The story now, after the passing of Prince was whether or not he had a will.  The jury is still out on this and I can imagine we will hear more.  When dealing with family and money, especially the amount Prince had it could turn ugly-quick.

It lead me to another important question when Estate planning, or planning for death.  Sounds’ awful planning for death doesn’t it?  Another spoiler alert we’re all going to die.  Debbie Downer over here, it’s my first blog and I’m telling you that you’re going to die.  It’s inevitable and I hate being the bearer of bad news.

Seriously—Did Prince have Life Insurance?  Even more important do you have life insurance?

For sake of argument I’m going to assume that Prince did not have life insurance, and since it’s an assumption I will leave my thoughts right there when it comes to Prince and his Life Insurance Policy or lack thereof.  The lack of Life Insurance coverage in the US is staggering, in 2010 only 44% of Americans had Life Insurance—a 50 year low.

The proof is in the pudding: (data from the 2015 Insurance Barometer Study)

  • More than 4 out of every 10 people do not own a life insurance policy in any amount.
  • Of those who do have life insurance, 1/3 are accounted for through group plans.
  • Across the board, only 3 in 10 Americans feel they have sufficient coverage.
  • The primary reason life insurance is purchased is for final expenses, income replacement and covering a mortgage.
  • Nearly 1/3 of Americans feel the loss of the primary earner in the household would be felt within the month.
  • Considering the previous fact, almost 60% still feel they will not buy life insurance.

So why don’t you have life insurance?  The number one reason people cite not buying life insurance is due to the perceived cost.  Unless you lived like a “Rock Star” for the past 40 years I can assure you Life Insurance isn’t as expensive as you might think.  Coverage and cost do vary and you should work with a professional and a company that you trust.  Questions are good and you should have questions when considering the purchase of life insurance. Getting the correct information and having your questions answered won’t cost you a dime.

If you have questions regarding your existing Life Insurance policy or are looking to set up a life insurance policy, call FBinsure 508-824-8666 or you can email me directly at mkelly@fbinsure.com