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Unveiling the Secrets of Risk Management for College Students - Transcript

Unveiling the Secrets of Risk Management for College Students - Transcript

September 14, 2023

Jason Fuchs:[00:00:00] Alright, the numbers are moving. That means we did something right. Ready? Yes.

Jual Fuchs: Gentlemen come to that, a podcast of folks looking to expand the knowledge about finance. This podcast is hosted Jason.

Jual Fuchs: Sage financial bikers and I love them. And now you host my daddy.

Jason Fuchs: Thanks Jewel. You did such a great job. You ready to start the show? Yes.

Jason Fuchs: Ladies and gentlemen, welcome to Dad Sense. I'm your host, Jason Fuchs. With me is the ever so lovely. Amber. Hey. Hey. Hi there. Thanks for coming. Thanks for having me. Good to have you on the show. I'm always happy to be here and we're happy to have you. Aw, [00:01:00] ladies and gentlemen, did you know that 90% of Americans are anxious about money, but.

Jason Fuchs: Did you know that people who listen to Dad Sense are three times happier than those who don't? That's right on Dad Sense. We turn your financial frowns upside down and Dad Sense offers tons of valuable financial advice to help you reach your full potential. You get our 2 cents. Get it. Advice across investments, taxes, saving money, managing debt, and building income to name a few.

Jason Fuchs: So ladies and gentlemen, keep listening and empower your finances today. And guess what, Amber? Oh, what? Not only am I the managing director, a financial advisor, but I also happen to be a dad. Yes. So I'll share my wins, my struggles as a father too. And I am fortunate to have you with me to help. Oh, thanks.

Jason Fuchs: Today, Amber, we have an [00:02:00] excellent episode. Ladies and gentlemen, if you have teenagers, you're likely very in touch with the adage, one day you're changing diapers, and the next you're sending them off to college.

Jason Fuchs: How do you feel about that, Amber? I feel scared. I do too! I mean, Jewel's only about to turn five, so we've got a lot of time, but I feel like she just turned four. Yeah. All of the adages that we've been told have been true. Absolutely. It's hard to believe it until you experience it, but yes. I agree. And last month, We focused on back to school, back to college this month.

Jason Fuchs: I want to focus on risk management and asset protection. Okay. we talked about that old adage, right? And one of the results of that compressed package of time is the bracing reality that your college bound teen. We'll need [00:03:00] countless checklist items, but don't forget the need for insurance, ladies and gentlemen.

Jason Fuchs: And that is our financial topic of today's episode. Five types of insurance your college student might need. What do you think Amber? Cool. That's a good idea. I think so too. Thank you. Well, I told you we're gonna do a joke of the episode, right? Yes. So, hehehehe Jewel tricked both of us the other day with something she brought home from school.

Jason Fuchs: Uh huh. Now you know where I'm coming from, Amber. Yeah, yeah, yeah. But our, our listeners don't. Uh huh. Alright, so let's get into that joke. Oh, do you like a brownie yeah, I love a brownie. Like food? And ladies and gentlemen, Jewel is literally handing me a brown letter E. Ah! It's the letter E and it's brown? You got me good. Who taught you that trick? Did your teacher teach you that trick?

Jason Fuchs:[00:04:00] Yeah. Yeah? You're sneaky, huh? The teacher said, Trick the parents. So you tricked Mommy and Daddy? Yeah. That's a good job. Nice job. I'm proud of

Jason Fuchs: that was a pretty good one, huh Amber? That was really good. She, she loves a good joke. She does. That one, that one really got me. That one was hilarious. And I was busy. I was doing something around the house. So when she was trying to get the brownie to me, I'm thinking, man, after all this cleaning, I'm going to get a delicious brownie.

Jason Fuchs: She talked about brownies with her. Friends at school, right? Uh huh. And she walked up and handed me that brownie. Ah, I laughed so hard. That was a good one, for sure.

Jason Fuchs: So ladies and gentlemen, our daughter Jewel is quite the comedian these days.

Jason Fuchs: I'm sure your kids, your grandkids are out there telling you all kinds of jokes, making you laugh in all kinds of ways. We want to hear about it. Send those jokes, the videos, the photos, whatever. To info at [00:05:00] SagePathFA. com, maybe on one of these episodes, we'll feature your video. That'd be cool. That'd be fun, right?

Jason Fuchs: Yeah. Yeah. I'm looking forward to it.

Jason Fuchs: Well, my life is a little exciting right now. Ladies and gentlemen... As we record, my foot is elevated in a boot. On a scooter.

Jason Fuchs: On a scooter. No more crutches, thank goodness. Long story short, ladies and gentlemen, I had a bad landing skydiving and landed on the outside of my right heel. It didn't roll, but the impact was tremendous and I felt the pain immediately. It actually went away, so I had two more jumps, Amber. I was fine, I was walking around.

Jason Fuchs: But by the time I got home from DeLan, which is about an hour and a half drive, it was pretty swollen. Mm hmm. That was on a Saturday. Yeah, by the time we woke up on Sunday. Whoo. Yep. That swelling had gotten a little out of control. So I went to urgent care the x rays looked okay, and then saw the orthopedist yesterday who says Quote unquote.

Jason Fuchs: It's not broken [00:06:00] so far, right? But I guess they need to wait for it to heal for a couple months to really see if there's some sort of hairline Fracture and yeah, if not two months two weeks after that, I'll be probably back on my feet. So yeah for week recovery If there's a break, it'll be 12 weeks, but I'm, I'm, I'm feeling good about this.

Jason Fuchs: I don't think it's broken. We've had several professionals tell me it wasn't broken, so feeling good, good, crazy times though. Crazy time. I've jumped out of a plane 630 times though, and this is the first time I've truly had an injury. Yep. So if you look at it from a statistical standpoint. I don't feel too bad about it.

Jason Fuchs: Yeah. I mean, from an achy standpoint, I don't like it, but yeah, well in it right now, at least while you have to keep it off any weight off of it. Um, it does add complexion to our schedules. I'll say makes things a little rough, but I'm trying to pick up other areas of the house that you typically manage so we can balance it out.

Jason Fuchs:[00:07:00] Yeah. Doing our best to make it work because health is important. Exactly. But thank you. You are incredibly supportive of. All that I do, and with no questions asked, you were there to help. Around the house and you're constantly asking to help me with things as I'm scooting around or hopping around and I keep saying no And I just want to feel normal But thank you, You're welcome

Jason Fuchs: my foot is pretty much top of mind for me these days. I'm wondering though, what is top of mind for you, Amber? Well, I have a lot of things going on right now with YOLO, luxury consignment.

Jason Fuchs: And, uh, the one that I'm most focused on and certainly is top of mind is I have a big event coming up for YOLO, which I'm super excited about. It'll be at the end of September here in our local area. That one's gonna be a big one. Yeah, if anybody is local, please reach out to me. I'd love to share more details with you.

Jason Fuchs:[00:08:00] But I'm going to be participating in a local fashion show. Yeah, that's neat. And doing a pop up event that's associated with the fashion show. Ooh, la la. And there's just a lot of details that go into that. And filling out, uh, all of the details, making sure everything is ready to go in preparation for that, is what I'm focused on right now, and it's really fun.

Jason Fuchs: Things like this. Are what really get me excited and engaged and I love working on all the little details to make it all come together. I love it. That's so much fun and you just got off a photo shoot where you had that jeepster. Yes. That car from the 1940s. Yes. A friend of yours or a contact of yours restored fully.

Jason Fuchs: Yes, that car was beautiful. We had models and really nice dresses and you had some nice handbags. That was really cool. That one was really cool for sure. So that was at the beginning of September, right at the beginning of September, coordinated [00:09:00] a pretty big fashion shoot for YOLO again, like you mentioned with a vintage car.

Jason Fuchs: Yeah, that was so cool. It was really neat. And so we're calling it our fall. Uh, fashion photo shoot for YOLO and we used this car and all of the colors were tied together for this fall feeling, fall setting, and kind of made, romanticized it a little bit to make it feel like we were going on travel, taking a trip in this beautiful car.

Jason Fuchs: Yeah, yeah, it was really neat and I think you nailed it. Thank you. Yeah, that was definitely another project that I worked on for YOLO that took a while, a lot of little details and they all came together. And I actually just got the photos from that this week as I immediately switched gears into planning for this other event.

Jason Fuchs: But we have over 800 pictures and that's just from the photographer. In addition to the behind the scenes pictures that we have, we probably have over a thousand, [00:10:00] which is awesome. I mean, it's through all those sounds. It's like a nightmare. Well, it's nice to have options. That's the good thing, because we have a lot of options, so...

Jason Fuchs: You know, who knows? I don't know what the percentages are on this. I'm not a photographer, but obviously not all of the photos come out well. Yeah, that's true. But we have a lot of options. And um, and the, the models were great. Everything just came together on that. I love it. Yeah. Turned out really nice. It really did.

Jason Fuchs: Nice work. Thank you. Well, I, I think we should transition into the financial topic. Our listeners are probably sick of hearing us talk. Ha ha ha. Well, they're going to hear some more in the financial topic. At least it'll be advice though, right? Yes. I'm kidding. A little sarcasm there, ladies and gentlemen. All right, let's get into our financial topic now.[00:11:00]

Jason Fuchs: And welcome back to today's financial topic. Five types of insurance your college student might need.

Jason Fuchs: Now, I mentioned this earlier in the episode. Lots of our listeners out there, Amber, have teenagers that they're caring for. We, fortunately, have a four year old going on five that we're taking care of, so we've got some time before we have that college discussion. Yep.

Jason Fuchs: But ladies and gentlemen, when your kids, your grandkids, are going to college, they are going to need a ton of things, and it's not just about the things. There's gonna be lots of items that you're checking off on your checklists. But, not many folks consider the need for insurance.

Jason Fuchs: Matter of fact, Amber, not many financial advisors talk about insurance in relation to college students. Kind of a shame. But at SagePath, we do. So what I'd like to do, Amber, [00:12:00] if it's okay with you, get into five types of insurance. Your college student might need. Sounds interesting. Maybe not your college student, maybe our listeners college students.

Jason Fuchs: In two blinks of an eye, this will be relevant, so yes. Alright, let's jump into it. But before we even get into the five, I want to start with the most common, well known type of insurance. What do you think that is? Health insurance. Yeah! You nailed it. Nailed it. The wife of a financial advisor. Health or car is most common to me, at least.

Jason Fuchs: Well... It's, this one is not one of the five that I'm talking about today, but it's so important. I wanted to start and list it separately. Did you know that most U. S. colleges require students to have health insurance? That sounds logical. I think it makes sense. Next to all the 8 million other things they require, right?

Jason Fuchs: Correct. Well, thanks to the Affordable Care Act, your college student can remain on your [00:13:00] health insurance plan until age 26, ladies and gentlemen. That's pretty incredible, isn't it? Yeah, that's a long time. It is. But, there are situations where your health insurance doesn't cover your teen, or maybe that health insurance does not meet the college requirements.

Jason Fuchs: If that's the case, you want to explore other options, including the college's health care plan, which is sometimes pricey. Colleges do offer health care plans, but like everything else... In my opinion, it's way overpriced. Cha ching. Cha ching. All about that dollar dollar bill. So, what are other insurances you may want to consider for your college student while they're away from home?

Jason Fuchs: Well, Amber, ladies and gentlemen, I am so glad you asked.

Jason Fuchs: Should an accident or maybe some other Unforeseen event occur the idea is to relieve some of the stress of the student or maybe some of the stress of the [00:14:00] parents Right, it creates financial stress. There are five other insurance types worth Considering and that's what we're gonna cover now. You ready ready?

Jason Fuchs: All right, number one and you mentioned this the other most common type of Insurance car insurance. Yeah. Ladies and gentlemen, likely your college age student can remain on your policy while in college. However, make sure you talk to your insurance professional, your Company that handles the policy, discuss where your student is attending, because that might increase your rates.

Jason Fuchs: Right. And you want to let those folks know where your student will be. Because we're in Florida, that's where our car insurance is registered. If Jewel's in Virginia, Virginia Tech. We've got to let the insurance company know she's in another state anyway, right? Go Hokies! And I see you fist bumping right there, so that must...

Jason Fuchs: Go Hokies! No pressure, Jewel. Also, many insurance companies, they offer student [00:15:00] discounts for students who maintain a B average. So, talk to your insurance professional, ladies and gentlemen, or the insurance company. Make sure you ask about those special rates, special discounts. And keep in touch with your student and the insurance company throughout that length of time.

Jason Fuchs: Does that make sense, Amber? Yep. I vaguely remember that, uh, discount based on grades from oh so long ago. I didn't have that luxury back in my day. When I was 18, I bought my own car, I had my own car insurance, and I was even trying to get in state tuition at Virginia Tech, because at the time I was in Maryland.

Jason Fuchs: So I converted everything to Virginia. I was... My insurance was in Virginia, my, even my health insurance. I was paying my own health insurance. I had my own house, everything, and Virginia Tech. I went through several meetings and I finally got to the appeals board where the dean was present and they said they had this magical age of age [00:16:00] 26.

Jason Fuchs: If you applied for in state, you'd be granted in state, but it wouldn't come into effect until age 26. Okay. Yep. So lots of work for not the greatest answer. There you go. Yep. Alright, number two, renter's insurance. Now some of you listening, your child might live off campus. Your homeowner's insurance may or may not cover them.

Jason Fuchs: Chances are it doesn't cover them. Especially if you're in another state, Amber. Each insurance company has its own requirements regarding insurance possessions outside of physical property. And your student in housing outside of your own house, ladies and gentlemen, is considered outside the physical property.

Jason Fuchs: So again, make sure you're talking to your insurance professional or the insurance company because you want to determine if your student is covered or if you need to purchase renter's insurance, even if they live in the dorm, Amber, [00:17:00] it's incredibly important. Now if your student lives off campus, I touched on this.

Jason Fuchs: A moment ago, renter's insurance is essential. Yes. You want to look for a policy that will cover temporary living expenses in case the off camp housing has a fire, flood, other damage, and that does happen every now and then. My freshman year at Virginia Tech. Our dorm, part of it was renovated because it had asbestos.

Jason Fuchs: Oh gosh. So we had to live somewhere else. It was quite an event. So, if you're living somewhere that has damage, repairs could be necessary, and that means parents might be responsible for off campus or other alternative housing for a while. Mm hmm. Okay? Yep. Alright, and that leads us to number three. This is a big one.

Jason Fuchs: Not many people know of electronics insurance. Ooh, that's smart. [00:18:00] Yeah. Often electronics are covered by your homeowner's policy or your renter's insurance, but they may have a high deductible if you replace them. Now, our AMX platinum, because I pay our phone bill through Amex, we actually get insurance for our phones.

Jason Fuchs: Ooh, that's cool. I have added insurance on top of that. But, the point is, if our phones break, I can go through Amex or Sureon to replace the item. Interesting. Phones are expensive. Yeah. I mean, it's like buying a computer nowadays, right? It basically is a computer. Yeah, yeah. So, you may want to purchase a protection plan that covers the gadgets against theft, damage, or loss up to the replacement value.

Jason Fuchs: Anything can happen in college. Oh yeah. Especially theft. Well, I remember my freshman year, I had two interesting situations. Did not have a laptop at that time. So this was pre dating [00:19:00] laptop. But if I had had a laptop in my backpack... One, when I was wearing Birkenstocks, walking down a wet hill and slid I'm laughing because Virginia Tech is full of wet hills.

Jason Fuchs: Yes, slid And fell, and I had my backpack on. If I had had a laptop in it, it certainly would have been damaged. Oh, yeah. And then another time when I was sitting in my classroom and I was chilly, so I wrapped my sweatshirt over my knees in the chair that was a swivel chair. Oh, no. And continued to swivel and ended up making myself fall out of the chair.

Jason Fuchs: Um, like an egg. I couldn't get out of my sweatshirt to stop the fall. So many questions. I certainly would have damaged my laptop at that time as well. And, and, you know, I did have a cell phone, but it was not as sophisticated as they are now. Oh, I mean, you drop a cell phone four inches and it shatters.

Jason Fuchs: Yeah, so I mean, certainly. A lot of [00:20:00] things can happen in college, especially to electronics, but like, silly things like that could happen and really damage and be very expensive. Yep, yep. So ladies and gentlemen, you also want to check if the electronics are covered while living in the dorm or used at other campus locations.

Jason Fuchs: Again, if you're living in Florida, your child's in Virginia. You have to let your professional know, or if you're talking to the insurance company directly, you have to let them know. Mm hmm.

Jason Fuchs: Alright, number four, identity theft insurance. Ah. And most folks don't think about identity theft insurance in relation to college students. However, those folks, they're often the target of identity theft for the following reasons. One, they live in close contact with others without secure environments to store personal items.

Jason Fuchs: Yep. Number two, they knowingly share Personal information through social media, like phone numbers, addresses, et [00:21:00] cetera. Yep. Number three, they forget or don't shred confidential documents and number four, they fail to choose secure passwords or they may share those with others. 1, 2, 3, 4, Is not an effective password or one, one, one, one, one, one.

Jason Fuchs: So identity theft plans, they often include credit monitoring and recovery, and they may include covering legal costs as well because trying to get your identity restored can take a lot of time, a lot of legal effort, and not many people think about that part. Interesting. And this type of insurance, it's vital.

Jason Fuchs: to helping your student cover the financial loss they may experience if their identity or person information is stolen. I keep saying this, Amber, but ladies and gentlemen, make sure you talk to your insurance professional or the insurance company directly. You want to see if an identity theft rider can be [00:22:00] added to your homeowner's policy.

Jason Fuchs: Or maybe you should consider purchasing an individual policy for your college student. Very good.

Jason Fuchs: And lastly, number five, personal liability insurance. Interesting. And this is a little bit of a reach, but often personal liability insurance, it's included in the parent's homeowner's policy. Maybe even in the renter's policy. Still, I think it's a good idea to ensure it will cover your student while they're away at college.

Jason Fuchs: For example... Personal liability insurance covers legal expenses if your student harms someone or gets sued. Or, if your student damages someone's property and needs to replace it, or causes bodily injury and maybe has to pay for someone else's medical bills. And I don't know about your experience in college, Amber.

Jason Fuchs: But all of the above are things I was exposed to. And [00:23:00] nowadays, I feel like people are at even greater risk for being sued. I mean, think about it. You're at a party with your friends. Someone you invited to your apartment or your dorm has some, too much to drink. They have to go to the hospital or, I don't know, maybe they leave their dorm, get hit.

Jason Fuchs: Or hurt and have to go to the hospital. Well, now you could potentially be liable for all of that. Right. And the personal liability insurance would just add protection. I mean, it could also be something as simple as... Wearing Birkenstocks and walking down a wet hill or spinning in a chair and falling over and hitting your head I mean, I yes, I you're knocking into other people exactly I really hurt my bottom when I slipped and fell on to my booty and But I I did Yell to to other people to watch out to get out of the way because I could not stop myself I could have easily knocked other people out.

Jason Fuchs: Oh, yeah It's spinning in a chair. I mean, you could have hit somebody in your class. Yeah. You never know. [00:24:00] I mean, it could so easily happen. During my freshman year, I was walking across the drill field and a friend of mine jumped on my back. I slid in a hole and I fractured my tibia. Had I known she had personal liability insurance, I would have sued her.

Jason Fuchs: I'm kidding. I'm totally kidding. I'm totally kidding. But. She would have been at risk. Yes. And back then, I don't feel like people were suing each other over things like hot coffee. Duh. Yeah. Or, I've heard a story about somebody driving an RV, they put it on cruise control, and the RV company didn't label it cruise control, they called it autopilot.

Jason Fuchs: So the person sued the RV company. Yeah. Because the RV crashed. Right. But anyway, my point is, you never know what people are thinking. And ladies and gentlemen, It is so important to protect yourself. Yep, and your family. Yep. So let's wrap this up. Ladies and gentlemen, before you purchase any of these types of insurance, consult [00:25:00] with your insurance professional or the insurance company directly.

Jason Fuchs: You want to determine if you can add them to your own insurance policy or not. We are here to help too. Reach out to us, we'd be happy to make ourselves available to you. And remember, your student is living independently for the first time in their lives. Having extra protection in place can provide peace of mind for both of you.

Jason Fuchs: I mean, it's enough that we have to worry about our kids going off on their own to college. We have no idea what they're doing, Amber, other than what they tell us, right? Right. So it's just nice to have that peace of mind for both parties. Ladies and gentlemen, give our office a call if you need clarification on any of the info covered or if you want to discuss college funding situations, protecting your college student.

Jason Fuchs: I mean, if there's anything else financially you want to talk about, we cover all kinds of financial topics. The point is, ladies and [00:26:00] gentlemen, we are here to help. Amber, it is always a pleasure. I'm so glad you're back. Thank you for being here. Thank you so much for having me. Don't ever leave, because I will find you.

Jason Fuchs: Okay. Movie quote. Anyway, ladies and gentlemen,

as always, we are here as your trusted resource. Thank you ladies and gentlemen, for listening to the show today. I'm wondering, do you know anyone like you who sometimes gets stuck navigating overwhelming financial situations or. Who could generally benefit from the info here on Dads Sense? If so, would you mind sharing this episode with that person or anyone you think would enjoy it?

We would love to have more listeners just like you. And if you are enjoying Dads sense, the biggest compliments we ever get are honest reviews if you've left us a review. Thank you. We appreciate you. And if you haven't, Would you mind leaving us one? [00:27:00] And if the review isn't positive, let us know what we should do to improve it.

We read all of those reviews, so again, thank you so much. And ladies and gentlemen, if you need help managing your financial affairs, we are accepting new clients. Head to sage path to see what we're all about. That is in the description of the podcast. You can call us, email us. All of that info is in the description.

Like I said, thank you again for joining us. Ladies and gentlemen. Amber, thank you so much for being here. Thank you for having me. It's been such a joy. It's always fun. I agree. And ladies and gentlemen, we will see you next Thursday for a new episode of Dad Sense. Make it a great day. Oh, oh, oh. Santa Claus, otherwise known as Old Saint Sage.

Jason has me on payroll, so his three year old dog get all the toys ahead of schedule. I'm visiting. [00:28:00] We don't want to irritate. Securities and investment advisory services offered to F S C Securities Corporation, F S C Member Finra, s i, PC F S C is separately owned in other entities in marketing products or services.

Referenc to our independent of f s, Jason Fugues, Amber Fu Financial Advisor. Oh, oh, oh.