Community Chat

[Nuttmeg]

@lovesrecess

My sister and her husband have term life insurance. Her premiums have increased like yours. She is continuing to pay for now. 

[Mom2Dogs]

@lovesrecess   Do you have a financial advisor?  If so they can run the numbers on your policy.  One meeting with our advisors is spent going over our wills, insurance policies, etc., making sure that everything is up to date.  They can probably advise you on the policy.

[esmerelda]

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@50Mickey wrote:

That sounds like term insurance. When I retired in 2004 I took out 2 $150,000 on my self and my husband because I had a minor child and I wanted protection until she finished college. The premiums stayed the same for 15 years.  This term was level until 2019 and the then premiums went through the roof. We no longer need this coverage so I dropped it.  Term insurance is basically renting insurance for when you  need it and it is cheap. Once you reach a certain age it is no longer affordable.  Whole life basically has a premium that does not change but many do not think it is a good investment. 

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@50Mickey  I don't think term insurance has a value that can be cashed out, like $269 in this case.  It's level coverage for the term, as you said.  It can be renewed, probably a higher premium because the person being insured is a greater risk/older. 

[esmerelda]

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@KKJ wrote:

DH and I are what you call insurance poor. We have several different life ins. policies we've been paying on prob.30 yrs.  They are ones that have accumulated cash value but the death benefit is set amount. Is that a term policy?

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@KKJ  Only if you signed up for a 30 year term...which is unlikely.  My experience has been with 10-year terms.  I don't think any term policy accumulates cash value.  You get the death benefit if the insured dies during the term of the policy.

The OP has had their policy for 30 years.  Maybe you should prepare yourself for news like the OP has received.  Or call your agent at least.

eta...NOMB but why so many policies?  Don't say if you'd rather not.

[Carmie]

Yep, we had this type of term insurance on my DH.  It was taken out when our children were really young.  It was so I could continue to raise the kids on one income if he were to pass.

When he turned 50, we got the letter.  IMO, we no longer needed this life insurance. It was now too expensive to continue. Our kids were grown.  It's good insurance for young people with children...not meant for older folks. It is supposed to be short term life insurance.

[ALRATIBA]

That's a lot of insurance!  My family has always been very frugal about the amount of insurance we carry.  Just what's needed ....

My life insurance is a retirement benefit that doesn't cost me anything - and is enough to pay for funeral expenses.   

[lovesrecess]

It is a universal life policy

[lovesrecess]

It’s universal life, not term or whole life

[lovesrecess]

It is a universal life policy. We would never take out term insurance.

[esmerelda]

I've only ever had term.  What one has, if any at all, depends on why one has it...goals, intentions, etc.