Life Insurance

[flex]

So I'd like suggestions for life insurance carriers.  Who do you have and do you like them?

My life insurance policy is currently through Primerica.  I wasn't super paying attention to what the agent was telling me, but I'm looking at my monthly premiums.  I'll be paying $86.93 until I'm 63, THEN it goes up to 484.79 until 68, and on and on.  When I turn 74 it goes to $1K.  At 80, to $2,100 and then on up.  When I'm 93 it'll be $8,244.77!  Eeep.

Any suggestions?

[Pom]

Do you still need life insurance?

[flex]

For my children, yes.

ETA:  They'd only get my pension if I died within five years after retirement.  I'm on my mom's life insurance...why wouldn't my kids?

[FormerlyRR]

As I remember, AARP had decent rates.

ETA: Primerica is a MLM, I have avoided them like the plague. 

[flex]

Apr 20, 2016 17:31:40 GMT -5 FormerlyRR said:

As I remember, AARP had decent rates.

ETA: Primerica is a MLM, I have avoided them like the plague. 

Tell me again what MLM is?

[FormerlyRR]

Apr 20, 2016 17:36:28 GMT -5 flex said:

Apr 20, 2016 17:31:40 GMT -5 FormerlyRR said:

As I remember, AARP had decent rates.

ETA: Primerica is a MLM, I have avoided them like the plague. 

Tell me again what MLM is?

Multi-Level Marketing

[flex]

::off to look at AARP website::

[flex]

Rats, AARP only goes to $100K. I want $300K.

[MixedBerryJam]

I'm still not sure why you need life insurance. Is it to help take care of your minor grandchildren once you're gone? If so, I think non-life-insurance investments with higher growth potential (of course this means higher risk, too though) would be a better way to invest? Not a financial planner, though. Do you ever hang on MM? They might have some ideas for you.

That said, when I got life insurance at ~40 I went through SelectQuote and I found a very reasonable policy for my needs.

[flex]

Apr 20, 2016 18:07:33 GMT -5 MixedBerryJam said:

I'm still not sure why you need life insurance. Is it to help take care of your minor grandchildren once you're gone? If so, I think non-life-insurance investments with higher growth potential (of course this means higher risk, too though) would be a better way to invest? Not a financial planner, though. Do you ever hang on MM? They might have some ideas for you.

That said, when I got life insurance at ~40 I went through SelectQuote and I found a very reasonable policy for my needs.

My children are not minors: 32, 30 and 22.  Like I said earlier, my mother has my sisters and I, as well as my stepdad, on her life insurance.  I'd like to do the same for my kids.

I will check out SelectQuote, though.  Thank you for the suggestion.

[Pom]

The increased cost of your life insurance policy as you age may not be the best return on your investment to leave an inheritance for your kids. Mr Ps dad made some very bad insurance and annuity choices as he aged and he could have invested in better financial vehicles and been much further ahead. Life insurance in my mind is meant to replace your income during your working years should you pass. I am with Mixed Berry, I'd find a fee based financial advisor (not one that wants to sell you a policy that they make $$$ on) to advise you.

We used Select Quote for shopping for a policy at age 40, 20 year term.

[sweetcheeks]

Apr 20, 2016 19:07:18 GMT -5 Pom said:

The increased cost of your life insurance policy as you age may not be the best return on your investment to leave an inheritance for your kids. Mr Ps dad made some very bad insurance and annuity choices as he aged and he could have invested in better financial vehicles and been much further ahead. Life insurance in my mind is meant to replace your income during your working years should you pass. I am with Mixed Berry, I'd find a fee based financial advisor (not one that wants to sell you a policy that they make $$$ on) to advise you.

We used Select Quote for shopping for a policy at age 40, 20 year term.

Yes to the bolded, as well as funeral costs and carrying costs of your home and car, while in probate and until they can be sold. It's also a good vehicle to cover estate taxes, so the bulk of your estate remains intact for your heirs. It's not the best vehicle, though, to leave an inheritance. However, I do understand you wanting to leave your children with something.  I have a $100,000 variable life policy that costs me $100 a month that I won't need once I retire and my house is paid off. But I struggle with the idea of stopping it at that time, as I'd like to leave my children a small inheritance.

Sounds like the plan you're looking at is some kind of guaranteed renewable term, with the premiums readjusting at the age of each renewal. While guaranteed renewable term is good to have, in case your health makes you uninsurable, the downside is the increased premium cost at each renewal. I don't know if there are any products out there that have a level premium plan for life, other than whole life, which is considered by most to be a poor investment. Traditional term insurance is level, but you run the risk of outliving the term.

I would consult a few life insurance agents to get some quotes. Not all of them are sleazy There's so many different companies, and so many different life insurance products, you really should consult with an expert. It costs you nothing.

[karmasabiotch]

I'm struggling with this too, I have a olive through work but if I leave it retire I woukd imagine that policy ends. I have a tiny one through Triple A that my DH had taken out on me. My financial advisor suggested a term life policy would be a good option since the cost is low but I'd like something that won't end so my DS can be taken care of. I think I'll run into issues due to my weight and probably all the meds I've been put on on the last 7 months.

If you find anything that's reasonably priced please let me know.

[scout8]

I second the other posts suggesting you talk to a financial planner. Or, do some research/reading on your own. I feel like there might be a better approach to what you want to accomplish.

[flex]

Thank you everyone. You've definitely given me a lot to think about. I think I will keep the life insurance for my kids but with a much lower amount.

Any suggestions on how to find a financial planner? Is there a website or something? I don't know where to begin.

[MixedBerryJam]

Apr 21, 2016 15:23:02 GMT -5 flex said:

Thank you everyone. You've definitely given me a lot to think about. I think I will keep the life insurance for my kids but with a much lower amount.

Any suggestions on how to find a financial planner? Is there a website or something? I don't know where to begin.

That I'll leave to others, as mine is my cousin, so he came to me by default (rec'd by my other cousin, who is my attorney). Good luck though!

[Pom]

You can find a fee-based planner here: www.napfa.org Lots of good information there.

If you have anyone experienced in finances that you feel comfortable asking, I would also considering asking for a referral.

Good luck with everything and don't hesitate to ask any other questions here or over on MM.

[seabitch]

We went with AIG Direct when we recently needed a life insurance policy. I am 50 years only and my policy is $42 a month for $250K in coverage, it is a term life policy with the cost fixed for the 10 year term. They were great to work with.

I am on the bench with the others that wonder if there is a better way to leave something for your children. Not sure what that is, but a financial planner is a great start.