By Chuck Jones

If Financial Security in Troubled Times were a videotape, we'd see, over and over again, the disturbing, provoking images of two large passenger jets, one after the other, slamming into the sides of two majestic, towering symbols of America. Author Ric Edelman invokes the image and outrage of Sept. 11 on nearly every other page of his latest book.

It's not without good purpose that he recalls the horror of the attack on America. With his book, written over a weekend less than two weeks after the attack, Edelman seeks to shock America out of economic complacency just like the image of the smoking Twin Towers shocked the country out of its innocence.

“Personal finance is entirely about emotion, because how you feel determines how you behave."

Edelman writes with emotion about emotion: "This is a book about emotions. That might seem strange to say; after all, you're reading this book for its financial advice, and it is written by a financial advisor. But the truth is that personal finance is entirely about emotion, because how you feel determines how you behave. And because the horrific events of September 11 raised such powerful emotions in all of us, they are where we must begin."

Agents are the good guys
The bulk of Edelman's financial advice concerns various forms of insurance—life, health, disability income (DI), long-term care, etc.—and he's a big advocate of consumers working with insurance agents. "Like so many other areas of personal finance, each type of insurance offers strengths and weaknesses," he writes. "Which type to buy depends on your circumstances. Nothing can replace the personal advice provided by your financial planner or insurance agent." He later writes: "To make sure you're getting the best policy for the best price, rely on the guidance of a financial advisor."

Financial Security in Troubled Times Ric Edelman HarperCollins $14.95, hard cover www.harpercollins.com

He also gives plenty of common-sense advice on insurance itself. He writes this about DI insurance: "Never buy a cheap DI policy. The cheaper a DI policy, the less likely it will pay a claim, and if a claim is said, the less it will pay. This is very different from life insurance, where buying the least expensive policy often is a very smart strategy."

Other insurance advice: Consolidate your life insurance policies, and avoid buying accidental death riders, sometimes called double-indemnity coverage: "This rider says that if your death is caused by an accident, your heirs will receive additional money . . . as much as twice the normal death benefit. It's an absurd option, because death is death. Dying in a bus accident . . . instead of dying from cancer is not going to change your family's financial need. Therefore, get the coverage you need and skip this rider."

He further writes: Avoid accident and dread disease insurance, and if you have such policies, cancel them in favor of more comprehensive policies. … You want insurance that will pay because you incur costs, not because you incur costs for certain reasons."

Not all of Edelman's recommendations revolve on insurance. He has plenty to say about estate planning, retirement and investments. And he gives his thoughts on when you should save money ("Keep in cash reserves a minimum of three months' worth of spending, and preferably six months'") and when you should spend it ("Hug your family, wave a flag, light a candle, go to church, say a prayer, give blood, make a donation and spend some of your money … Do [it] today.").

Financial Security in Troubled Times is a guidebook for an America stunned by the events of Sept. 11, and a good guidebook it is.

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	Fusion Management By Dr. Stanley A. Marash, with Paul Berman and Michael Flynn QSU Publishing www.qsuonline.com $24.95, hard cover

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