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For over 20 years I have worked personally with Dave Ramsey, his listeners and team members to help them make important and informed decisions about their insurance needs and the most cost effective ways to address them. Through the years I have responded to over 10,000 of Dave’s listeners regarding their insurance questions.

This blog contains many of the most frequent questions and answers since they provide an excellent resource to Dave's specific advice on very specific insurance questions. I hope you find this information to be a valuable resource that you can refer to many times in the future as you progress along your financial path. Click on the category noted which relates to your question so that you can see the posting currently available. If you do not see your question or still have concerns please don't hesitate to use the "Question Widget" noted on this site for further information or call us toll free at (800) 356-4282.

Many people are surprised that the advice from Dave and I doesn’t always involve the purchase of insurance as the only alternative. Insurance is a key component of any family's financial plan but it can also be a drain and a detriment if the wrong plans are purchased. Implementing the plans and approaches that Dave and I recommend, most importantly, the establishment of an emergency fund, will help reduce a families overall insurance costs and allow them to focus their dollars on more important things such as getting out of debt and growing wealth.

− Jeff Zander

What is the Difference Between the Health Classes Listed on Your Site?

2020 February 27
by zanderins

The health classes listed on our website – Preferred Plus, Preferred, Standard Plus and Standard – are the top four (and most common) rate classes that a company assigns to individual policyholders, which determine the rate an applicant pays for their term life insurance policy.  The rate classification to which you are assigned is based on many factors, including your medical history, occupation, tobacco use, avocations (such as skydiving, scuba, etc.) and other criteria that insurance companies use to measure the risk you represent going forward, and thereby the rate they will charge for the protection. Our Zander Guides can help you determine which health class fits your specific situation, but it is important to know that the final decision on how you will be classified is made by the underwriter at the insurance company.  You can visit our term life quote page and click on the “i” next to the rate class designations to see the specific criteria the companies typically use in this process.

Can I Get Disability Insurance If I Am Over Age 60?

2020 January 29
by zanderins

Many disability insurance companies place limits on the coverages they will offer to applicants based on their age and occupation. Regardless of your age, Dave Ramsey recommends first checking with your employer to see if a group plan is available. Bear in mind that, even through a group plan, there will likely still be limited coverage available if you are over age 60 since most plans only pay benefits to age 65, which is still considered normal retirement age for actuarial purposes. Therefore, if you do purchase a new disability policy beyond age 60, most plans will only pay benefits if you become disabled up to age 65; after that, it is usually only for one or two years.

Where is Zander Insurance Located?

2020 January 29
by zanderins

Our office is located in Nashville, TN, and we serve all of Dave’s listeners across the country from that location. We are licensed to provide all insurance services in all fifty states and, for over 20 years, have provided our clients with a selection of plans that is broader and more expansive than local neighborhood agencies while still offering accountability and personalized service.
No matter where you reside, you can compare rates online right here on our website, or call us toll-free for personalized assistance from one of our knowledgeable Guides.

Do I Base the Amount of Life Insurance I Get on My Gross or Net Income?

2019 August 15
by zanderins

When Dave recommends that families carry 10 to 12 times their income in term life insurance protection, he is referring to gross annual income.  The reason is that, although the death benefit of a life insurance policy is received tax free, once those funds are invested to generate an income for the surviving family members those earnings will still be taxed as a form of income, reducing their overall purchasing power.
The amount of tax may vary from based on earned or unearned income but, with taxes expected to stay level or increase over time (and factoring in the overall low cost of term life insurance), the best approach is to insure to the gross value.

Purchasing Life Insurance for a Dependent with Special Needs

2019 June 10
by zanderins

Many families with special needs dependents consider using term life insurance in conjunction with a special needs trust. The special needs trust would be, in many cases, established by your will, funded initially by a term life policy. There is sometimes an argument of whether to buy a term life policy or cash value life insurance, and Dave still feels that term life is the only way to go. The basic premise for cash value plans is that you will need life insurance your whole life, so the plans overcharge you in the early years to pay the higher costs in the later years. Dave’s opinion is that, if you buy term life insurance, you avoid this overpayment period and use the savings to attack debt and to build savings. With 15 or 20-year level term insurance you have time to eliminate your debt and grow your savings so you no longer need life insurance.


Determining the amount of coverage would be similar to the regular process he discusses, in that you need to measure the amount of funds that would be needed to support your dependent per year and then multiply that amount (typically by 10) to represent the amount of coverage to purchase.  For example, if they needed $30k a year to maintain their assistance and address future needs, then an amount of $300k in life insurance (which invested at 10%) would generate those needed funds.  Some people utilize a lower interest rate return, which would increase the multiple of used.  Since Term life is so much cheaper than a cash value plan you would be investing/savings the difference for the 20 or 30 year period of the life insurance so, at the policy expiry, the savings is now used to address their ongoing needs.

Is There a Benefit to Having Policies with Different Term Lengths?

2019 March 15
by zanderins

“Laddering” policies is a common strategy, as many people anticipate needing less life insurance as they get older and are further along in their debt-free journey. This is where the Insured staggers policies at varying term lengths to cover specific needs, and is especially helpful if you have major financial obligations that end at different times. The face amount for each policy would reflect the amount of money needed to pay off a specific obligation. For instance, an Insured may have one 15-year policy to cover their mortgage, and a 20 or 30-year policy related to other needs such as income replacement until retirement and education expenses for their children.
An additional benefit to laddering policies is the potential cost savings over buying one long-term policy with a high amount of coverage, as shorter term periods result in lower premiums.


Can I Have Multiple Life Insurance Policies at the Same Time?

2019 March 15
by zanderins

Yes, you can. However, it is important to understand that the total amount of coverage that you have in place or are applying for must be justifiable based on your income and net worth. If you already have a significant amount of insurance in place and apply for another policy, the insurance company could limit the amount for which you are approved in order to keep you from being over insured. Remember, Dave recommends having 10-12 times your annual income in term life coverage, whether it is in one policy or split between multiple policies.

What Coverages are Available to Children on Zander’s ID Theft Protection Plan?

2018 December 11
by zanderins

When a child is added to a Family plan with Zander, they will receive the same benefits offered to their parents up to the age of 18. After that point, they are still eligible for lost wallet protection, restoration and recovery services until age 26 as long as they can still be claimed as a dependent by their parents.

Federal law restricts our ability to offer personal information monitoring for those over the age of 18 without their consent. However, the child would have the option to enroll in an individual plan on their own, allowing them to take advantage of the full breadth of our services.

What is Home Title Fraud and Is It Covered by Zander’s ID Theft Protection Plan?

2018 December 11
by zanderins

Home title fraud is a prevalent and terrifying form of identity theft. Cyber thieves target homeowners by scouring electronic records for homes that have accrued equity, then file the paperwork to change the ownership of the home to themselves. They then use your equity to take out large personal loans in your name – they can even sell your home without your knowledge. Most people are not aware that title theft has occurred until they receive a foreclosure notice in the mail.

Zander Identity Theft Solutions covers all types of identity theft, including home title fraud. While there are other plans out there that offer protection against home title fraud specifically, there is no need to purchase a separate program. If you are a victim of home title fraud and are a member of Zander ID Theft Solutions, our restoration and recovery agents will help you restore your identity to pre-theft status.

Are Credit Freezes Useful in Preventing ID Theft?

2018 September 27

The primary function of a credit freeze is to stop any access to your credit report, which can be a very valuable tool to help protect you from identity theft. However, while they might seem like an ideal way to combat identity theft, it is not comprehensive enough to serve as your only line of defense.

Your credit is accessed (for legitimate reasons) more often than you probably think. If you place a freeze on your credit report, then every time you sign up for utilities, activate new cell phone service, or apply for insurance, you will have to “unfreeze” your credit, which could take up to 48 hours. Then you have to go through the trouble of placing the freeze again after each transaction. It’s not exactly a convenient process.

Aside from the trouble of repeatedly placing and removing these freezes, the risk of identity theft goes far beyond credit. Thieves are always finding new ways to exploit your information in unique and terrifying ways, through medical ID theft, employment fraud, utilities fraud, Social Security fraud, and more. None of these types of fraud are credit-related and would therefore not be thwarted by a credit freeze.