You are to develop a risk management plan for the Pierce family. Your plan should incorporate insurance and noninsurance recommendations. Provide a complete explanation of your assumptions. Remember to make the work your own.

Case facts:

Joe, 37, self-employed carpenter, four employees, nets $60,000 per year

Anita, 37, part-time nurse, earns $30,000 per year

Children: Nathan (12), Isaac (10), Charlotte (6), Lydia (3)

Assets, in $

Personal Cash 12,000

Mutual funds 8,000

IRAs 15,000 401(k) 28,000

Car 20,000 ATV 5,000

Boat 10,000

Personal property 95,000

Home 245,000

Business

Truck 30,000

Tools & materials 60,000

Liabilities

Credit cards 6,000

Car 15,000

Home 168,000

Step 1: Identify and evaluate the risks faced by this family. (1/2 page)

Step 2: Explain the noninsurance risk management techniques you recommend for this family. (1/2 page)

Step 3: Recommend and explain appropriate insurance coverage for this family. (1/2 page)

Step 4: Explain the retirement planning options you would recommend for this family. (1/2 page)

Step 5: Explain the estate planning options you would recommend for this family. (1/2 page)