Jewish World Review Feb. 7, 2000 / 1 Adar I, 5760
Ensure your insurability
DEAR BRUCE: What are the criteria that you endorse when it comes to life insurance? I am a 34-year-old homeowner, recently married with no children, and we both are employed. -- G.T. (e-mail)
DEAR G.T.: Currently I don't see any great reason for insurance other then to ensure your insurability. If you bought a decent-sized term policy, if and when the kids come along, and if and when you are, unfortunately, not in the best of shape, you would still have that insurance in place.
As to the necessity for the insurance, if either one of you passes away, the other one will sell the house and get on with his or her life. Given that set of conditions, the only reason that I can see either of you carrying substantial insurance is to ensure that insurability.
DEAR BRUCE: I heard someone call your radio program and ask you about a company that encourages people to bring in three friends and then those people bring in three people. You responded that it was a scam, but now I can't remember the name of the company. Can you tell me the name of that company? -- E.G. (e-mail)
DEAR E.G.: I don't know the name of the company, and I don't recall the conversation. But anytime a company's emphasis is on proselytizing (getting more people) rather than on selling, it is my opinion that it will collapse of its own weight.
There are some companies out there that offer particular products and services so that they cannot legitimately be termed "pyramids," but I am telling you that if it acts like a duck and squawks like a duck and has feathers, you can be pretty sure of what it is.
DEAR BRUCE: I purchased a gift certificate for a friend from the local health spa for $120. She went to redeem the certificate and found that the spa had gone out of business. Is there anyway that I can recover the $120? -- B.G. (e-mail)
DEAR B.G.: I am afraid, my friend, that you are out of luck.
Health spas come and go more regularly than baby teeth at a nursery school. If they are truly out of business, your $120 is gone. This is why I am not enthusiastic about the whole idea of gift certificates. I don't understand why giving cash is crass, but a certificate with a dollar amount on it is acceptable. Maybe someone can explain that one to
Send your questions to JWR contributor Bruce Williams by clicking here. (Questions of general interest will be answered in future columns. Owing to the volume of mail, personal replies cannot be provided.) Interested in buying or selling a house? Let Bruce Williams' "House Smart" be your guide. (Sales of the book help fund JWR).
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