As we wrap up Life Insurance Awareness Month, I would ask, “Are you at risk?”

Many Americans buy life insurance to cover a need, with the vast majority recognizing that it is important to protect loved ones with life insurance. In a recent survey 70 percent agree that most people need coverage, but only 59 percent have it. Surprisingly, 41 percent of U.S. households have no life insurance at all, while more than 20 percent of U.S. households that do say they need additional insurance. More tellingly, 69 percent of owners would have trouble paying living expenses in two years or less if they were to lose their primary wage earner.

Most Americans do not buy life insurance because they think it is too expensive.

Illustrating the need for insurance, the life insurance industry pays $62 billion to beneficiaries each year, providing a tremendous source of financial relief and security to families that experience the loss of a loved one.

Deciding how much insurance is needed requires some thought and research of one’s personal finances, goals and future needs. Risk assessment is a tool used in many disciplines to evaluate needs and appropriate action to mitigate risks. The insurance industry employs risk assessment in the development of needs analysis to determine the amount of insurance appropriate for each individual.

As a 30-year law enforcement officer, specializing in crime prevention, I utilized a type of risk assessment extensively in my duties. Whether performing a physical security survey of a home or business, or looking at a public area, such as a park, for places of opportunity for criminals to victimize unsuspecting citizens, risk assessment is a useful tool to provide corrective action to remove or lessen exposure to safety or security risks.

The strategies to manage risks (uncertainties with negative consequences) typically include transferring the risk to another party, avoiding the risk, reducing the negative effect or probability of the risk, or even accepting some or all of the potential or actual consequences of a particular risk.

The same is true when considering the needs for appropriate life insurance coverage. Insurance is the classic example of transferring the risk to another party, the insurance provider. Upon the death of an individual, financial burdens to the survivors are lessened by the financial support provided by the policy/certificate benefits. Although we may delay the inevitable with healthy living habits and avoiding behaviors that could cause injury or death, all can agree that dying is a part of life.

The least desirable condition when considering life insurance protection is to accept the risk and not acquire coverage at all. This leaves an undue burden on survivors, compounding the emotional loss with the future financial burden of living.

Life insurance in most cases is not be as expensive as most Americans think. Hermann Sons Life offers financial protection plus benefits, offering additional value for our members.

A Hermann Sons Life agent will be happy to visit with you and discuss your needs and offer appropriate coverage recommendations. For anyone who would like to research their individual needs independently, we also have a very useful needs analysis link on our website. Go to www.hermannsonslife.org and click on the Products section. Choose What’s Right For Me, where you will find a Life Insurance Needs Calculator. The results of your research will greatly advance the discussion as to what types of products and coverage you may need when an agent visits.

Hermann Sons Life is proud of our heritage in providing life insurance, retirement products and living benefits for generations of Texas families. From the first San Antonio lodge in 1861 to the present, and for the future, Hermann Sons Life is here for you.