Look for Insurance Gaps
Here is an action from Jonathan Clements‘ blog Humble Dollar. Jonathan Clements was a longtime personal finance columnist for The Wall Street Journal, and he offers great advice at the best price you can get…free:
LOOK FOR INSURANCE GAPS. Many folks agonize over whether their policies are too large or small. A bigger danger: Not having coverage at all, because your life has changed but your insurance hasn’t kept up. Just had kids? It’s time for life insurance. Grown wealthy? Consider umbrella liability insurance. Started working for yourself? You may need disability coverage.
I’ve written a good bit about insurance. Here’s an article about getting properly insured.
How is insurance different for those in the military? It is a little more complicated. Many life insurance policies used to have war/military clauses. Some cater to the military, though, and aren’t as restrictive. Here’s how to buy life insurance in the military. Also, don’t forget about the other death benefits of being in the military.
It is also hard to get supplemental disability insurance (DI) if you need it. Most of us in the military are okay with the coverage we get from the military’s disability system, but if you are a top earner like a pilot, nuclear engineer, doctor, dentist, or someone else with a high salary and bonuses, you might want to check out this article on the White Coat Investor. While written for doctors, the company I wrote the article with also will sell insurance to other military high earners.
What insurance do I have right now? What insurance did I used to have? Here’s the current status:
- Disability insurance – I used to have supplemental DI, but I cancelled it because I no longer need it due to my adequate net worth and the military disability system.
- Medical insurance – TRICARE Prime, baby! Which is the most under-appreciated benefit of being in the military, by the way.
- Homeowner’s insurance – Got that through USAA.
- Renter’s insurance – I don’t rent, but when I did I had it through USAA.
- Auto insurance – I have our three vehicles insured through USAA.
- Umbrella liability insurance – I have enough through USAA to cover my net worth, which is the usual recommendation.
- Life insurance – I only have SGLI right now because I no longer need more than that. I’ve had as much as $3,000,000 total during my life, most of it through Navy Mutual Aid Association.
- Flood insurance – I’ve got flood insurance through USAA and FloodSmart.gov.
Officer Photographs Once Again Removed from Promotion Boards
You can read the NAVADMIN here, but the BLUF is:
- They will no longer display photos in any promotion boards or boards that have to do with “assignment, training, education and command.” In other words, not at the command/milestone screening board.
- You still have to have a photograph in your officer record. It just won’t be displayed.
This is exactly the same as when they took them away in 2016, although in this case it was done as part of a SECDEF initiative to remove bias in promotion boards.
SG’s Message – Full Speed Ahead-After a Short Break…
Esteemed Shipmates,
Labor Day typically marks the unofficial end of summer and a return to school for many; and this year, we are reminded that 2020 is anything but typical. What IS typical is your outstanding support of our war fighters and their families. So, before we secure for the holiday weekend I want to thank you for YOUR labors and the contributions you make to defend our freedoms. I’d especially like to recognize our shipmates who are “standing the watch” this weekend on behalf of Navy Medicine. Thank you for your selfless dedication and team spirit.
Since the early part of February, Navy Medicine has been operating at flank speed. We have and will continue to answer the call by responding to those we serve; our patients, our families, our warfighters, and in federal emergencies to our fellow citizens. No one can stay at flank speed indefinitely, so if possible this weekend, please throttle back, spend some quality time with friends and family (in a socially distanced way of course!) and recharge your batteries. Refreshed, we will be able to redouble our efforts against this implacable adversary.
In recent messages, I have highlighted the tremendous efforts we have made to rapidly deploy our medical capabilities, both at home and abroad, in support of the COVID-19 response. I have watched in admiration as the Navy Medicine team has demonstrated its power in incredibly agile and novel ways. The nation now knows what we have always known, and that is that we are always ready to answer the call and to provide a fully capable medical force no matter how challenging or unique the contingency.
Throughout the pandemic we have learned much about our strengths and have also identified areas where we can improve. We continue to gather these lessons learned and are committed to ensure they are lessons applied and don’t just get filed away. The COVID response has demonstrated the importance and value of rapid cycle feedback from “the deck plate” so I encourage you to share your insights, of both your successes and your challenges, with your leadership so we can use them to build a stronger and even more effective Navy Medicine.
Finally I wanted to reaffirm how appreciative I am of what you all are doing. Please know that it is not just me that is incredibly appreciative; it is the Secretary of the Navy, the CNO, and the Commandant of the Marine Corps. Vice Admiral Sawyer; who runs Operations for the Navy, has repeatedly stated how much he appreciates the support that we are providing by rising to the occasion, answering the mail, providing guidance for health protection; and when necessary, getting people out the door quickly…fully demonstrating the power of Navy Medicine!
It’s a privilege to be your Surgeon General and be in a position to support each of you, advocate for you, and to bask in your impressive successes. Wishing you all the best for a safe and restful holiday weekend. Come back from this well-deserved time off rested, recharged and ready to proceed full speed ahead!
With my continued respect and admiration, SG
Bruce L. Gillingham, MD, CPE, AOA
RADM, MC, USN
Surgeon General, U.S. Navy
Chief, Bureau of Medicine and Surgery
Finance Friday Articles
Here are my favorites this week:
How Should You Invest in Real Estate?
Recommendations From a Financial Advisor
Here are the rest of the articles:
5 Steps To Winning at Personal Finance
Envisioning a post-pandemic future
How Do Social Security Inflation Adjustments Work?
Learning From Our Biggest Mistakes in Real Estate Investing
Much Appreciated – A Discussion of Capital Gains Tax Rates
My Strategy For Dealing With FOMO
No, Robinhood Traders Aren’t Affecting the Stock Market
Stealth Wealth and Financial Independence: A Q&A with PoF
Term Life Insurance: What You Need to Know Before You Buy
The 2 Variables That Drive Stock Prices
The Case For a Post-Covid Spending Boom
The Do’s and Don’ts of Physician Contract Reviews
Three Limiting Beliefs Stopping you From Investing in Real Estate
Top 5 Reasons Your Doctor Has a Side Hustle
Using A Family Dynasty 529 Plan For Multigenerational College Planning
Throwback Thursday Classic Post – New Process to Digitally Submit Your Promotion Board Photo
Here is an update on this new process from your Detailing shop:
Officers now have the option of uploading their photo to their Official Military Personnel File (OMPF) electronically via MyNavy Portal (MNP), saving the time and costs associated with printing and mailing:
- Go to https://my.navy.mil and log in with your CAC Card.
- Go to “My Record” at the top, then find “Officer Photograph.”
- The form NAVPERS 1070/884 will open and photos can be uploaded directly to the form and submitted to the OMPF.
- You must use your DOD ID (not your SSN).
Defense Innovation Unit Teaching Artificial Intelligence to Detect Cancer
Here’s a link to some cool work your Medical Corps colleagues are doing:
Defense Innovation Unit Teaching Artificial Intelligence to Detect Cancer
Military Death Benefits – Beyond SGLI
It is a little morbid to think about, but we’re all going to die. This means we all need to plan for it.
Everyone knows about life insurance, but what else does your family get if you die while in the military? Without knowing the answer to this question, it is impossible to execute a complete plan in the event of your death.
Here is a quick summary of the major benefits your family would receive if you died while in the military:
Servicemember’s Group Life Insurance (SGLI) – Most know this as the military life insurance policy. It pays up to $400,000, although you can reduce this amount if you want.
Death Gratuity – This is a tax free $100,000 payment that does to the beneficiary of your choice.
Casualty Assistance Officer (CAO) – Your next of kin gets assigned a CAO to help them apply for benefits.
Dependency and Indemnity Compensation (DIC) – This pays a monthly, tax free allowance of $1,283.11 to the spouse and an additional $317.87 per child under age 18. If you have at least one child, you get another $270 per month for two years. The rates are adjusted annually for inflation. In addition, depending on their income, some surviving parents could receive this.
Survivor Benefit Program (SBP) – The SBP pays a monthly benefit equal to 55% of the service member’s retirement pay if they were retired at 100% disability at the time of their death. It is reduced dollar-for-dollar by the amount of DIC the spouse receives.
Burial Benefits – You’d get some burial expenses and entitlements from the VA.
Fry Scholarship – The Marine Gunnery Sergeant John David Fry Scholarship provides Post-9/11 GI Bill benefits to the children and surviving spouses of Servicemembers who died in the line of duty while on active duty after September 10, 2001. Eligible beneficiaries attending school may receive up to 36 months of benefits at the 100% level.
Survivors’ and Dependents’ Educational Assistance (DEA) – The DEA Program offers education and training opportunities to eligible dependents of Veterans who are permanently and totally disabled due to a service-related condition or of Veterans who died while on active duty or as a result of a service-related condition.
Other Scholarships – Check the Fisher House Foundation’s scholarship search tool.
Commissary and Exchange Shopping Privileges – These continue.
VA Home Loans – Eligibility for these remains.
TRICARE – Your family can continue to use Tricare as usual for three years. After three years, coverage for children doesn’t change—they are covered as “active duty family members” until they age out of TRICARE or lose eligibility for other reasons. Coverage for surviving spouses changes to that of a retired family member.
As you can see, there are quite a lot of death benefits besides SGLI. Make sure take these into account when figuring out your estate plan.
Associate Director for Strategy and Operations – NMRTC Portsmouth – O4
The Director of Strategy and Operations (DSO) at NMRTC Portsmouth seeks qualified applicants from all Corps at the O-4 level for the position of Associate DSO. The position announcement is here. Candidates should submit the following documentation by email to john.w.roman4.mil < at > mail.mil no later than 15 Sept 2020.
- Any combination of, but no more than three total, Fitness Reports or letters of reference.
- CV, BIO, last 3 years of PRIMS Data.
- 1 page letter of intent/motivational statement.
- Director’s endorsement.
- Detailer concurrence if outside NMCP candidate.
V/R,
John W. Roman MD, FAAD
LCDR, MC, USN
Director of Strategy and Operations
Director of HELP (Health Experts Online Portal)
Office Phone: 757-953-7217
Joel Schofer's Career Planning Blog 