What's Your LPF?

06/13/2016 Life Insurance
If you spend any significant amount of time outdoors—especially in the summer—you probably use sunscreen. Do you know how to pick which sunscreen to use? They’re all labeled based on their SPF level. If you’ve never bothered to read the fine print, SPF stands for “Sun Protection Factor.” It’s basically a rough estimate of how long the sunscreen would allow you to stay out in the sun without getting burned. Adding sunscreen multiplies the amount of time you can safely spend in the sun without risk of damaging your skin. So, if you can normally spend 20 minutes outside unprotected without getting a sunburn, adding a coat of SPF 30 to your epidermis would multiply that time by a factor of 30, extending your safe time to about 10 hours.


The thing is, we all have a different starting point, thanks to our differences in skin tone and sensitivity to ultraviolet light. Likewise, we have different habits and needs when it comes to outdoor activities. A person who works outside daily might want 8- or 10-hour protection, while a beach-going vacationer has the luxury of taking several breaks during the day to reapply sunscreen. But you have to understand how sunscreen works and what “SPF” actually means to make the right decision for your specific skin type and plans.

In that way, sunscreen is a lot like life insurance. If you know you need life insurance, but you don’t understand how it works, you’ll have a hard time matching the proper policy and amount to your specific situation. In the same way that you choose a sunscreen based on how long it will allow you to safely enjoy the outdoors, you should choose a life insurance plan that will extend your loved ones’ ability to maintain their standard of living for as long as necessary in the event of your death. The amount of money required to achieve this goal is different for every family. Call it your “Lifestyle Protection Factor (LPF)” to make it easier to remember. Whether you think you have a good idea what this number might be or you’re totally clueless, a licensed Life Insurance Producer from GPM Life can help you figure it out for certain. Our representatives will work with you to look at your financial strengths and liabilities and help you select a policy and coverage amount that fits your specific situation.


If you have a high net income but a large mortgage and several other liabilities, your LPF might be rather high. On the other hand, if your income is more modest, but you keep your debt to a minimum and focus on saving for the future, you might be looking at a much lower LPF. If you have a moderate debt-to-income ratio and multiple dependents right now, but you’ll soon have all the kids out of college and standing on their own two feet, your LPF may be more flexible, starting off high and decreasing as your financial risk lowers.

To avoid underinsuring or overpaying, you need a licensed professional to walk you through the questions and make a good decision. No two people will have the exact same needs when it comes to sunscreen or life insurance. But if you take the time to educate yourself on how these safeguards work, you can avoid getting burned.

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