Life insurance?

[tn94z]

Can someone explain life insurance to me? I have a small insurance policy through my employer and I can get supplemental fairly cheap. Last year my State Farm agent talked me into getting supplemental life insurance through them and I didn't really do any research before signing up. We are now going through Annual enrollment at work and it has gotten me interested in learning more about life insurance and which I should get.

[FUZO]

Re: Life insurance?

well your wife or daughter gets your money if you pass,or you get a small policy it can pay for just your funeral. Theres a bunch of different ones. And your work should have a packet on several different policies for you and what to get

[tn94z]

Re: Life insurance?

I guess my question is which is better? Term, permanent, etc..

[FUZO]

Re: Life insurance?

long term Imo

[956Vette]

Re: Life insurance?

term, invest the difference

[Strella]

Re: Life insurance?

Def get term man. You should be able to get a very large amount for a pretty low rate considering your age and esp. if youre not a smoker (not sure if you are or not). Im an actuary and most actuaries would agree that you should go with term and invest the rest. Maybe your job will set up some kind of a whole life policy for you which is cool I guess but I wouldnt pump more money into it if you dont have too. Look at the rates for 10, 15 and 20 year term insurances and I think you will be pretty surprised at the rates compared to the amount of coverage. Then i would set up some kind of an investment portfolio, maybe some mutual funds or something and keep adding to it on a regular basis letting it sit and accumulate for the next 20,25, 30 yrs etc.

[tn94z]

Re: Life insurance?

I am pretty sure that term is what I signed up for at our insurance company. The reason I asked about that is because I remember seeing that later on in the term insurance, the prices get a little ridiculous!! Is this normal?

[Strella]

Re: Life insurance?

Sometimes the prices can be set amounts every pay period for life and other times they can be increasing. Either way it shouldn't be that much really, at least compared to whole life. Really the only thing good about whole life is that you can borrow from it if you needed money one day, but you would most likely make more money investing on your own (at least in the long run). I would just look around and shop for the best prices. It also depends on how long of a term you choose. Clearly the shorter the term then the premiums would be lower ie. a 10 yr term vs a 30 yr term.

[Strella]

Re: Life insurance?

Do you know how long of a term you signed up for?

[tn94z]

Re: Life insurance?

Not off the top of my head. I will drag my papers out tonight and look. My wife set it up and then I just went in and signed and half ass paid attention. But I need to get them out and see what's going on

[daved150]

Re: Life insurance?

yea...its pretty cheap for term. i just went back to work and the company gave me a 75k policy....if a car dealer is paying for insurance for an employee, you know that shyt is cheap!!!

[horsepwr]

Re: Life insurance?

Can someone explain life insurance to me? I have a small insurance policy through my employer and I can get supplemental fairly cheap. Last year my State Farm agent talked me into getting supplemental life insurance through them and I didn't really do any research before signing up. We are now going through Annual enrollment at work and it has gotten me interested in learning more about life insurance and which I should get.

I like to have enough to know my wife wouldn't have to work, or find some dude just for bills and health ins. $100K used to be enough. Now we need a good bit more than that. I don't need as much on my family, but I like to have a decent bit more on me. Heaven forbid something happen, but if I were to go, I don't want the finances to be salt in that wound. And I don't want my wife to have to depend on family. I like to know she could pay for a nice home. Purchase a new car, and have about $200-$250K available for my father to help her put it away to live on.
Next you may want to consider if you want to divide term and whole plans. Term gives you fixed rates for a certain time.(like 20yrs). Whole Life is kinda like an investment which you can draw against after it has matured. Some would say go term-life, and invest your money elsewhere before you do a whole-life plan. That's your choice. of course. How dangerous do you live? I don't actually believe in that. I believe that when your day comes, your day comes. Regardless of how you live. There are no accidents when it comes to "checkin-out".