Insuring for Your Level of Wealth

Insuring for Your Level of Wealth

Insurance is not always an exciting topic to talk about, but financial planners are well aware of the risks their clients can face when they are underinsured. Whether it is homeowners insurance or life insurance, the different types of risks people face can easily wipe out a portfolio or other assets when their clients are unprepared with inadequate levels of coverage. The more wealth people have, the greater exposure they have to other threats such as cybersecurity and unfortunately lawsuits; these are the types of incidents many people fail to consider when determining their policy coverage amounts. Amassing assets is one thing, but keeping them safe is another.

Consider finding out more about these types of insurance to help protect your wealth:

Life Insurance and Long Term Care Insurance (LTC): These are both primary types of insurance for protecting assets for the living. Life insurance should calculate on income replacement and asset accumulation of the deceased for many years, the impact to the beneficiaries from their income loss during the adjustment period, and paying off all outstanding debt associated with the deceased. LTC insurance protects assets that would otherwise need to be liquidated to pay for individual care in an LTC facility for an extended period. Depending on your state of residence, minimal assets are shielded from liquidation to pay for care with your home being one of the only assets protected if you’re the remaining spouse.

The Federal Deposit Insurance Corporation (FDIC): This covers money deposited in member banks for up to $250,000 per depositor per bank, and per ‘ownership category.’ Depending on the type of account and the ownership category, coverage can easily exceed beyond the $250,000 per depositor level.

The Securities Investor Protection Corporation (SIPC): This secures your cash and securities in member brokerage houses against the failure of the firm and theft. The maximum coverage of SIPC protection is $500,000 which includes a $250,000 limit on cash. You can structure your accounts in different ways (called “separate capacity” by the SIPC) to increase your total coverage. SIPC insurance is automatically part of investor protection when you invest in a member brokerage house. However, SIPC insurance does not cover investment loss due to declining stock market valuations.

Liability Coverage: If you own property such as a car or own a business, liability coverage is added to your insurance policies beyond casualty coverage for your homes, commercial buildings and your vehicles to cover beyond the repairs of the incident, injury, or death in case of being sued. For individuals with a high net worth, this is a way to offset millions from being liquidated from your assets if you end up in a legal battle with a lawsuit award going to the other party.

Umbrella Insurance Coverage: This is added additionally beyond regular property and casualty coverage and can cover items of value such as art, jewelry and sometimes irregular catastrophes such as identity theft or cybersecurity attacks.

Financial security starts with saving and investing, reducing debt and having the appropriate level of insurance coverage that increases as you accumulate wealth over your lifetime. These are not the only types of coverages available but are a good start if you have concerns about being insured for your level of wealth.


*Advisory services offered through Trajan Wealth, L.L.C., an SEC-registered investment adviser. 

*These links are being provided as a convenience and for informational purposes only; they do not constitute an endorsement or an approval by Trajan Wealth, L.L.C., of any of the products, services or opinions of the corporation or organization or individual. Trajan Wealth, L.L.C., bears no responsibility for the accuracy, legality or content of the external site or for that of subsequent links. Contact the external site for answers to questions regarding its content.

Financial Literacy in America: We Are Failing

Financial Literacy puzzle

“Financial literacy refers to the set of skills and knowledge that allows an individual to make informed and effective decisions through their understanding of finances. Education on the management of personal finances is an essential part of the planning and paying for postsecondary education.”– Webster’s Dictionary


Financial literacy includes having a basic understanding of how to pay bills online, manage bank accounts, manage debt, fill out income tax withholding forms at work, and understanding how to save and invest. If financial literacy is education, shouldn’t it happen in schools? Unfortunately, most school districts don’t offer a financial literacy course, and most colleges don’t either. That leaves financial literacy up to parents to educate their children, individuals to learn on their own, or education through a trusted source.

Numerous studies indicate there will be consequences that will hurt our country for years to come. How can we overcome a lack of financial literacy in America?

Bring Financial Literacy into the Work Place

When employees are invited to attend workplace classes on budgeting, saving, and investing, they are more likely to save for retirement and not live beyond their means. These classes are commonly conducted by the financial advisor that oversees the company retirement plan, the HR Department, and other financial literacy educators.

  • Attending an employer-sponsored retirement seminar saw a net worth increase by nearly 27% for those who were in the lowest income bracket (Dartmouth College Study)

Require a Financial Literacy Class to Graduate

  • Only 17 states require a financial literacy class to graduate from high school (the latest study released in 2018)
  • Zero – The number of states that require the passing of a test on basic financial concepts
  • Zero – The number of states that have added financial literacy courses since 2014

Financial literacy experts know that teaching people how to manage their income and expenses and giving them a basic understanding of financial concepts will enable them to have financial successes regardless of their future income.

Credit Scores Improve After a Financial Literacy Class

Having trained teachers that know financial literacy content can help develop better credit behaviors early, even in childhood if offered through the school system. This leads to making on-time payments and understanding how to manage debt and credit.

Who Can Help if You Have Questions About Basic Financial Concepts?

  • A capable educator or financial literacy teacher
  • Securities licensed Financial Advisor
  • A Certified Public Accountant (CPA) Financial illiteracy affects all ages and all socioeconomic levels.

It’s up to all of us to improve financial literacy here in the U.S. if we are to move away from being a debt-ridden society and toward being a society that has financial security.


*Advisory services offered through Trajan Wealth, L.L.C., an SEC-registered investment advisor. 

*These links are being provided as a convenience and for informational purposes only; they do not constitute an endorsement or an approval by Trajan Wealth, L.L.C., of any of the products, services or opinions of the corporation or organization or individual. Trajan Wealth, L.L.C., bears no responsibility for the accuracy, legality or content of the external site or for that of subsequent links. Contact the external site for answers to questions regarding its content.

3rd Annual Charity Golf Tournament

Golf for a good cause?! We are there!

Check out our 3rd Annual Charity Golf Tournament highlights from December 17, 2018, benefiting the Sojourner Center of Arizona. Our clients and guests donated toys and more to brighten the holidays for those affected by domestic violence. While we’re still working on the final tally, there were well over 100 donations. 

Everyone enjoyed a gorgeous day on the links, playing a scramble tournament and multiple other contests, followed by a delicious dinner.  We can’t wait to do it again next year!

Market Update 10-10-18

Market Update

In light of the past week activity in the market, we wanted to share a short update.  Amazingly 6 trading days ago the U.S. Markets were trading at all-time highs.  With today’s selloff, the S&P 500 is now down approximately 5% from those all-time highs.  Many of the salient points today were covered in our latest monthly market update, which can be found here.  The largest issue seems to be stemming from the relative strength of the U.S. economy, which is causing the Fed to raise rates and driving strength in the U.S. dollar.  The result has been significant outperformance of the U.S. equity markets relative to the rest of the world.

Our position is to focus on the long-term, global diversification and taking an appropriate level of risk.  As you look at your accounts, you will see the equity portion lower.  However, as the selloff in equities intensified, we saw bonds go up in price.  So, the conservative portion of your allocation, fixed income, was essentially flat today and dampened the volatility of the equity sell-off.  The sell-off has been sharp and quick, but certainly not out of historical expectations.  We will continue to monitor markets and adjust as necessary.  Please feel free to contact your advisor with additional questions.

Kevin M. Churchill, CFA, CFP®
Chief Investment Officer

Scottsdale/Phoenix Area: (480) 990-3300

Tucson: (520) 321-4100

Salt Lake City Area: (801) 899-7600

Or Click to Contact us today

*Advisory services offered through Trajan Wealth, L.L.C., an SEC-registered investment advisor. 

3 Things being a Marine taught me about being a financial advisor


Hello, this is Jeff Junior, President, and CEO of Trajan Wealth. I’ve spent nearly two decades in financial services helping people manage their wealth, prepare for retirement, and manage the ever-changing financial landscape. But before I was serving my clients in the financial sector, I was serving my country as a Marine. Memorial Day is an important day for reflection as I honor my fellow servicemen and women who have served before, with and after me. This day is an opportunity for us to be grateful, and honor those who have made the ultimate sacrifice for us, our families and our country.

I learned a lot while in the Marines and have found three lessons in particular that now transfer to my role as a financial advisor.

The Real Cost of Credit

2017 was a challenging year for the credit industry. From the data breach at Equifax and multiple lawsuits that follow, it has been a tumultuous time for consumers to have faith in the world of credit. Unfortunately, it’s becoming apparent that for Americans overall, it’s not going to get any better in 2018 as the trend of acquiring more debt increases.

Aside from having to shell out money for damages caused in 2017, the credit industry will have a very lucrative 2018 even after paying fines and settlements thanks in part to the American consumer.

According to MarketWatch, U.S. households owe more than $1 trillion in credit-card debt, and the numbers are only rising. Your typical culprits of irresponsible spending that contribute to increasing credit card debt among Americans includes more access by those considered ‘subprime borrowers,’ increased costs for food and housing and continuous spending on unnecessary items. As the average household holds a balance of $15,983 on credit. The cost of maintaining a lifestyle beyond their means can cost a lot more than anticipated with interest rates on the rise.

7 Tips to Avoid the Most Common Tax Scams

With the significant 2017 cybersecurity leaks involving the personal information of millions of Americans, this year’s tax season is expected to be one of the worst ever for tax scams. Aside from cybersecurity leaks, scammers also target HR departments via emails requesting employee information while posing as the IRS, which has corporations on edge to maintain the security of employee information.

This year’s tax season officially opens January 29th, 2018 and runs through April 17, 2018 and scammers are ready and waiting to file tax returns in the names of other people. Hundreds of thousands of people will file their taxes this year expecting a return, only to find out the return was sent somewhere else. What can you do to protect yourself?

Is Retirement Really About Numbers?

For some people retirement is all about the numbers; the age you plan to retire, how much money you need, and so forth. But is retirement really about numbers?

Numbers give us a baseline to help you financially plan for today and the future. Your numbers can change throughout your life. Maybe you’re already retired or are within ten to twenty years of retiring, but one thing is clear; whether you love them or hate them, numbers play a role in all aspects of your financial life:

How Staying Healthy Affects Your Retirement Portfolio

Every year in January, people make resolutions to maintain better health habits. Logically, we all know a healthy life style can help us live longer and improve quality of life but has it occurred to you that better health can even improve your retirement portfolio? Not only will you be healthier to enjoy activities but you’ll end up saving a tremendous amount on health care. According to this article from Fidelity Investments, retiree healthcare costs are continuing to rise. The estimate for retiree health care spending rises to an average of $275,000 per couple, excluding long-term care expenses. That’s an increase of $15,000 from 2016. Considering how expensive health care currently is, investing in your health now can pay huge dividends in the future. Here is a more detailed break down.

SmartVestor Investment Seminars with Jeff Junior.


Empower yourself with knowledge and avoid life-changing mistakes – Be confident in your financial decisions in 2018! Join local radio host, TV personality and Dave Ramsey advisor, Jeff Junior for a complimentary meal and educational seminar at Flemings Steakhouse and learn: 

What does it mean to be a Dave Ramsey Smartvestor advisor and how does that benefit you? 

What is a “trusted fiduciary” and why is he or she bound and focused, solely on your best interest.

Why a first or even second financial opinion is critical to surviving 20-40 years of retirement.

How to be confident you’re making the best choices with your life altering decisions

What makes Trajan Wealth different and better than others.
– and much more!

Seating is limited and the event will fill quickly.  Please call 480-990-3300 for more information and to reserve your seat. 


Speak to our financial team today about your future goals and how we can help. Most offices are open Monday - Friday, 9 AM- 5 PM, unless otherwise noted.

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