topic Re: Term Insurance in Community Chat

Insurance!

HouseMouse — Wed, 22 Apr 2020 15:17:51 GMT

Hi, I have had term life insurance for 20 years and have paid around $215 a year. I got a notice this week that my yearly cost will go up to $1,500 a year. That is alot more than I expected and cant afford this each year. Having asthma and age over 60 I guess it increases after 20 years!

My question if anyone can suggest anything is do I need to have life insurance?

I have my home, auto and term life all at one insurance company and have not checked around. My worry is that it will be very high per year for the term insurance anywhere.

Re: Term Insurance

CelticCrafter — Sat, 18 Apr 2020 16:08:50 GMT

Only you know if you need life insurance.

Do you have enough saved for burial or cremation services.

Is your house paid for, is your car paid for, what kind of credit card debt would there be.....

Re: Term Insurance

millieshops — Sat, 18 Apr 2020 16:18:04 GMT

@HouseMouseOne more question to ask yourself before you buy - Who is dependent on that insurance? If it's no one and you've answered @CelticCrafter 's questions - then why ask yourself why you are buying life insrance.

Re: Term Insurance

char1976 — Sat, 18 Apr 2020 16:23:28 GMT

I have 2 different lypes of life insurance and one of them is called term life. And you need to check with your agent on this, But with my term life the prices increase with age and policy pay out goes down with age,

Re: Term Insurance

kaydee50 — Sat, 18 Apr 2020 16:33:29 GMT

DH and I haven't had "life insurance" for years. We have no children or anyone else who depends on us. We have more than enough money to pay off the mortgage, if necessary, and for burials. Ask yourself why you need life insurance. The money for the premium could be put aside for any expenses that may need to be paid when you leave this world!

Re: Term Insurance

Still Raining — Sat, 18 Apr 2020 16:51:35 GMT

It might be wise to ask yourself why term life is something you even want or need.

i ditched mine long ago.

Re: Term Insurance

AuntG — Sat, 18 Apr 2020 16:52:21 GMT

Seems when you reach the magical age set by the insurance company, it skyrockets. I really don't think shopping around will benefit you much. At this point, do you feel to need it as far as paying expenses or leaving something to heirs? That decision is yours alone.

Re: Term Insurance

Mominohio — Sat, 18 Apr 2020 17:22:41 GMT

In very general terms, life insurance is for your final expenses and for the financial benefit and care of anyone you might be leaving behind like a spouse, or dependant child.

At your age and with health issues, good insurance is going to be expensive. You may want a small policy just for final expenses if you aren't leaving someone behind that will rely on your income or support. Or just set aside enough money or prepay as many of the final expenses as you need.

The time to buy big insurance policies is when you are very young. I bought as much as I could afford at 18 and again at about 22, whole life, and the death benefits has grown greatly over the decades. Term insurance is for those years when you have lots of expenses like kids to raise, home to pay for etc.

In reality, most people need much less life insurance as they get older and much of the paying/supporting is done and over with.

A financial adviser might help you decide what you need.

Re: Term Insurance

esmerelda — Sat, 18 Apr 2020 18:14:22 GMT

@Still Raining wrote:
It might be wise to ask yourself why term life is something you even want or need.

i ditched mine long ago.

@Still Raining Agreed. My "final arrangements" are made and paid for. I cancelled my life insurance years ago. Cost had nothing to do with it. I no longer needed it.

Re: Term Insurance

HouseMouse — Sun, 19 Apr 2020 09:26:58 GMT

Thank you very much to all who replied. This gives me things to think about and decide. With my child and my husband gone now, I had a family friend on the policy. I am rethinking all of this since the cost is going up too much.

Re: Term Insurance

HouseMouse — Wed, 22 Apr 2020 13:41:00 GMT

My insurance company is the same for auto and instead of doing refunds like many are doing during this time, they chose to raise auto insurance rates!! Time to find a new insurance company in the very near future!

Re: Term Insurance

VanSleepy — Wed, 22 Apr 2020 19:50:17 GMT

Since this is a term policy, was the term 20 years and now it is over? When my term policy was up, I could have continued it at a premium of about five times what it originally was.

ten Re: Insurance!

minkbunny — Wed, 22 Apr 2020 21:41:26 GMT

Dave Ramsey has said regarding life insurance, "Don't leave anybody your money unless you are leaving them your bills. "