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Bob and Barbara Castle are each 39 years old and have sought your advice with re

ID: 2666425 • Letter: B

Question

Bob and Barbara Castle are each 39 years old and have sought your advice with regard to their financial affairs. Bob is a school administrator making $75,000 per year and Barbara is not employed outside of the home. The Castles' net worth is approximately $190,000. They have three kids, aged 6, 10, and 14. You have determined that the Castles currently have adequate life, health, auto, and homeowner's insurance. Which of the following forms of insurance is likely to fulfill their highest priority risk management need? Disability income insurance Long-term care insurance Major medical insurance Mortgage insurance Umbrella liability insurance

Explanation / Answer

a) if Bob were injured or ill and could not work that would be the biggest threat to the family financial security.