HamiC

Aside from a fairly generous policy through work, I have had no additional life insurance. As a general rule, I was more interested in savings........but with child #2 on the way and 32 hitting in a few days, I have decided to get a 30yr term life policy to supplement the policy at work.

Anyone have any good insights into life insurance?

NoSoup

Well, it depends on how much spare cash you have on hand, but I would definately think about whether or not a term or whole life policy, maybe even universal, would be better for you.

That way, after a set amount of time, you will have something to show for all of they payments you have made, with term, unless you kick the bucket within those 30 years, at the end, you'll have nothing to show for it.

Once nice thing with other types of life insurance is that you can build up a cash value...

Just my 2 cents

gar1976

Whole life only makes good sense if you're investment grows over time - make sure that you're getting a good return on your dollars!

I've heard that you want five times your annual salary in insurance coverage, but that could just be propaganda from the insruance companies. Just ask yourself how much moolah you think it would take for your family to get back on their feet if you were to die (eg, wife go back to school to re-enter the workforce, college, etc.).

Cynthetiq

I was just thinking about this subject too.

IMHO the policy at work is the best bang for the buck since I'm able to get a good rate and cover all the amounts that I'm looking to cover.

I also think that you need to determine what it is you want to cover for the family. Are you trying to give them a winning lotto ticket to the point where you are more valuable to them dead than alive? Are you trying to cover all debts so that the mortgage, credit cards, loans, are all covered?

My scenario is that if one of us dies the survivor will invariably have to sell the house within one to two years. So I want to get enough coverage to pay off the mortgage so that the survivor doesn't have to worry about that.

For yourself, you may want to make sure that there's enough for college educations, etc. for the kids on top of that.

since I didn't think about this last November when open elections happened, I'll have to wait or by a short term policy.

__________________
I don't care if you are black, white, purple, green, Chinese, Japanese, Korean, hippie, cop, bum, admin, user, English, Irish, French, Catholic, Protestant, Jewish, Buddhist, Muslim, indian, cowboy, tall, short, fat, skinny, emo, punk, mod, rocker, straight, gay, lesbian, jock, nerd, geek, Democrat, Republican, Libertarian, Independent, driver, pedestrian, or bicyclist, either you're an asshole or you're not.

HamiC

I'm already maxed out on the work policy....9xSalary.....a fair amount, but realistically not enough that my family could continue their present lifestyle for any significant period of time.

The thought process behind the additional term life policy is that while I am relatively young (32), it is pretty cheap and will cover the wife and kids if I should die during my main earning years. If I make it to 62, they (and I) won't need life insurance anymore. The 401k and other investments should do the trick by then.

BigBlueWrecking

There are new types of Universal Life policies that act like Term policies but are a little cheaper. These do not build cash value, nor are they guaranteed for life. You have to ask someone to run you a proposal for a Guaranteed Death Benefit for 20 or 30 years. At your age you will come out better that way, and it gives you a little more flexibilty if you decide to keep it.

Young people always think that their investments will cover the rest, they are usually wrong. It is almost impossible to get a 60 year old man to give up his insurance no matter how much money they have.