Inflation, Life Expectancy, and the Loss of Betty White

When I think about it past year, several major themes come to mind: inflation, life expectancy, and the loss of my friend, Betty White.

Inflation, a term that a year ago was largely unknown to anyone under the age of 40, has taken a severe toll on our overall economy, and while there are signs that things might be improving, my experience has been that once prices rise, they typically don’t fall, at least not right away.

So while we may see a slowing of price increases for consumer goods and the like, we may not see drops in prices for everyday household goods anytime soon.

Oil continues to be a conundrum that’s impacted by the global markets, the war in Ukraine, and levels of strategic reserves.

Thankfully, gas prices have decreased a bit since the crazy days in the summer.

The net effect is that seniors will continue to look for alternate sources of income, and we remain busy doing life insurance policy appraisals for seniors who want to better understand the value of an unneeded or expensive life insurance policy.

The Pandemic

This year is also the second year in which life expectancies in the United States dropped, a phenomenon that we haven’t seen in decades.

It’s been many years since we last saw life expectancies decrease by a significant amount, and now it’s been two years in a row.

What this tells me is that the pandemic had a much broader impact on the overall health of seniors and that it changed the equation for both savings and costs for seniors.

When it comes to the secondary market for life insurance, lower life expectancy is a good thing.

While it may not wholly counterbalance some other market factors, it’s another reason for seniors and their advisors to assess the client’s plans for a life insurance policy, knowing the sale might be the best possible option.

If not, at least you understand the value of the asset in case you should decide to sell in 2023 or beyond.

My Friend

Lastly, I’d be utterly remiss if I didn’t remember 2022 as the year that we lost my friend Betty White.

I first met her 20 years ago when we were fortunate enough to secure her to help us with some endorsements for our life insurance settlement company.

At the time, I was skeptical of whether she would work with us, and we even got some ribbing from competitors when we engaged her.

Little did I know that signing up a television icon to help us with some video campaigns for agents and advisors would turn into a 20-year friendship that would include a viral music video, an explainer cartoon, and many visits to her home and her beloved L.A. Zoo.

I was her guest when she hosted “Saturday Night Live” — and I even attended the infamous after-party.

How to Live a Long Life

Betty had many secrets to her longevity, including no issues with a Grey Goose and orange juice, naked hotdogs, and french fries, but I remember a few things that affected me.