Life Insurance at 34...what would you do?

[bfd2100red]

As a newly 100% service connected 34 year old OIF Vet, I'd like to protect my family if something were to happen to me. S-DVI aside, are there any life insurance programs that people have had a good experience with? I'm thinking of getting a policy around $350,000, but am unsure what programs/companies I should focus my efforts on now that I am 100%SC.

All input is MUCH appreciated!

Thanks,

Nick  

[Vync]

Personally, I recommend you look up Dave Ramsey. He's the radio host who talks about budget planning and also has his Financial Peace University. I was a dingbat when I was younger, but won tickets to his show and learned how to properly plan for the future. Life insurance was part of that.

Here's his website: https://www.daveramsey.com

There is a section to the right called "Dave Recommends". The first link is Zander Insurance. They have been regular advertisers on his shows for as long as I can remember.

 

Personally, I have policies through my employer and also some backup coverage through Aflac. I have had some friends use Zander and they liked it.

 

Just bear in mind that I'm not an expert on anything except computer programming and recommend you explore a variety of options, check with friends, family, etc... Also, make sure that the company you choose is a member of the Better Business Bureau.

[Gastone]

From an Old Dog, I don't think things have really changed regarding Term Life Policies offering the most Bang for the Buck. As I recall, my multiple Term policies had something like 10Yr Fixed Rates that adjusted on 10th yr anniversary's date. Just keep in mind what the purpose of the Insurance is, to protect the wife and kids. Think twice or 3 times before you get talked into a Policy that builds cash & or Retirement value. There are much better ways to fund those issues.

Get quotes from a few of the Big Names, just don't rely strictly on the online specialists. do a Face to Face with a few local agents.

I'm not an Insurance specialist by any means, but this is how I did my Insurance Policy Ladder, starting 44 yrs ago. Back then, Agents tried to push Expensive Whole Life. I opted for multiple $100K policies with different Renewal Dates. If your circumstances change over the next years (10, 20, 30 or 40) you can add or eliminate policies as needed. If you have (1) policy say for 5 or $600K and want or need to reduce it, you're for the most part screwed. New physical and higher premiums if their willing to cover you, depending on New Disabilities.

All my initial policies were guaranteed renewable without a Physical through age 75. At age 69, I only have to consider the Mrs so I've adjusted my coverage accordingly over the years.

Semper Fi

[Berta]

I am a big fan of whole life policies. They are more expensive than term but have more benefits.

I would shop around if I were you,I was with John Hancock for decades until they were sued and had to pay me back premiums I had paid for numerous policies over the years. I had to obtain life insurance with 2 new companies. Luckily I had saved written notes and the actual older policies myself. that contained handwritten statements from the salesman. The company had deceived people by Estate Builder policies.Some of the policies I had with them were safe.They had already paid the death benefit for my Army husband and another policy was still OK and had a large cash benefits so I cashed that in to buy a horse. ( a Morgan- thousands of dollars -the horse was on the cover of some horse magazine....with a good pedigree.)

A life insurance policy whether VA or not can be a true blessing to your survivors.

It took only a few days for my USMC husband's  policy to be paid. with John Hancock prior to the lawsuit.

It can cover an IMO if the survivors need it.

Death costs money and you need money right away. I needed probably 15 death certificates or more,over the next weeks after my husband died.....they were only 10 bucks then but those types of costs add up. VA took his comp out of our checking account within days of my all to them that he had died. Only 30% then, 100% posthumously, so it wasn't a lot of money but a 100% or TDIU check would be a big blow to the family finances....at a time when a family is overwhelmed as it is.

 

 

Edited June 3, 2017 by Berta

[Buck52]

I am not sure what you guys are talking about  with making an investment with a life Insurance policy  or the VA Free 10.000$ life policy.???

I have the free VA 10.000 POLICY but never knew I could barrow $$ from it or even cash it in?  this is for my spouse to bury me in case i go before her..to help with my final expense.

We also have a private 10.000 life Insurance policy for the both of us we got a long time ago about 10/12 years or so,  we make regular premium monthly payments on that and always have(direct deposit from our bank account each month)  we probably spent more than its actually worth over the years paying the premium   but at least we have peace of mind when one of us dies.

We never thought this was an Investment rather a way to ease the finical burden when we die.  for either of us.

[Gastone]

Bfd, just something to add to the conversation. As far as I've always been concerned, I've never considered my Term life Policy's as my personal investment. They were strictly safety nets for my wife and kids, in the event of my early demise.

Checked some info, CNN reported that a child born (?)  in 2015, a married couple with 2 children would spend about $12,350 -$14,000 per yr, per child until the age of 17.  $238,000 per kid +or- over 17 yrs. Full-time Daycare was quoted as adding in the area of $37K per yr if needed until the kids are going to school full time. We're talking some big bucks here, need to be factored into your Insurance Decision.

You may be wise to reconsider the $350K, probably isn't quite adequate. Get additional quotes on $700K+ Life policies. (Term or Whole Life) never get cheaper as you age or develop other Health issues.

Semper Fi

[Berta]

I was referring to Whole Life policies. They are far more expensive than term insurance.

I consider them as investments or maybe better to describe as forced savings....

Isnt the SVGLI a term policy? My husband's was up 20 years after his discharge and he had to convert to private life insurance.But in those days, JH Insurance Co  knew he had PTSD but waived the physical because it was a SVGLI conversion.

Maybe all that has changed....good subject for a radio show. Maybe Jerrel could get a Insurance expert from VA to be the guest.

Here is the skinny from Mutual of Omaha:

"This is because the dollars you pay into term life insurance premiums are only there to provide a death benefit to your beneficiaries if you die during a specified term, while money you invest in whole life insurance premiums builds cash value that you can use later in life or that will add to the death benefit payout."

 

 

Edited June 3, 2017 by Berta