Kathy Jones was a junior at Glenbard High School. She had two younger brothers. Her father, the assistant manager of a local supermarket, had take-home pay of $4,000 a month. He had a group health insurance policy and a $40,000 life insurance policy. He said that he could not afford to buy additional insurance. All of his monthly salary was used to meet current expenses, including car and house payments, food, clothing, transportation, children's allowances, recreation and entertainment, and vacation trips. REQUIRED: Do you think Kathy's father was planning wisely for the welfare of his family? Explain.

And

Jeff and Ann are both 28 years old. They have been married for three years, and they have a son who is almost 2. They expect their second child in a few months. Jeff is a teller in a local bank. He has just received a $30-a-week raise. His income is $480 a week, which, after taxes, leaves him with $1,648 a month. His company provides $20,000 of life insurance, a medical/hospital/surgical plan, and a major medical plan. All of these group plans protect him as long as he stays with the bank. Under Social Security, they also had some basic protection against the loss of Jeff's income if he became totally disabled or if he died before the children were 18. REQUIRED: In your opinion, do Jeff and Ann need additional insurance? Why or why not?