I am a bit late to the game here but needing basic and then detailed info on selecting great life insurance. Is there any financial/insurance forums that one would recommend? Does anyone have suggestions on what to look out for or even recommend? Anyone have a good agent in the valley they would recommend?
Life insurance info/forum
- Thread starter MattL
- Start date
Dave Ramsey will tell you not to get whole life insurance, and to go for term life insurance.
You don't need you life insurance investing for you.
Get about 3 times your annual income in insurance.
If they have you do a blood test/urine test before signing up, don't eat the night before, it helps to make your cholesterol look lower and you healthier, lowering your premium.
You don't need you life insurance investing for you.
Get about 3 times your annual income in insurance.
If they have you do a blood test/urine test before signing up, don't eat the night before, it helps to make your cholesterol look lower and you healthier, lowering your premium.
TurboMinivan
Still plays with cars
- Location
- Lehi, UT
Most independent financial advisors say the same thing. As another example, Suze Orman tells everybody to get term life insurance while simultaneously telling everyone to avoid whole life insurance. If you think you want whole life insurance, get (cheaper) term insurance instead and then put the remainder of what you would have spent on whole insurance in a Roth IRA or some other investment vehicle.
Exactly. Anyone who tries to convince you to think otherwise will be profiting financially from you doing so.
This is certainly not a hard and fast rule. If anything, it is poor advice due to the suggested amount being far smaller than necessary. When deciding on a dollar amount, you have to take many things into consideration, including but not limited to the following:
- Am I the primary breadwinner in the house?
- Am I the only breadwinner in the house?
- How many dependents do I have now?
- How many dependents might I have in the future (before the term expires)?
- Do I already have separate investment vehicles for college funds for each child?
- What other investment/retirement programs do I already have?
- How large will these other investments be when needed if I/we stop contributing to them upon my death?
If all you want to do is ensure your mortgage is paid off in the event of your death, then 3x your income might suffice. But once it is paid off, how will your survivors pay their day-to-day expenses? For example, will your now-stay-at-home wife have to get a job and re-enter the work force? If your income disappears overnight because you die, is your family already "set up" for a proper retirement?
Lots of people don't even think about life insurance until it is too late. Even among all those who do, a great many of them choose too little coverage to support their family decades after disaster occurs. Think it through carefully.
Brad J
Registered User
- Location
- Woods Cross, UT
I think the normal recommended is to get 10x your annual. 3x would leave my wife enough for a cruise & that is about it
Troop92
Well-Known Member
- Location
- Layton, UT
Echo the same -- avoid whole life if you can.
If you can afford it, and it isn't cost prohibitive, I'd say get all that you can. Through my work I get $50k at no cost to me. I can add more, up to 5x my salary. Did I do that? You betcha. I'd like my wife to get as much off of me as she can. And let's be real, it's less than $30/mo extra. I can forgo a few trips out to eat if it means my family has less to worry about when I'm gone.
If you can afford it, and it isn't cost prohibitive, I'd say get all that you can. Through my work I get $50k at no cost to me. I can add more, up to 5x my salary. Did I do that? You betcha. I'd like my wife to get as much off of me as she can. And let's be real, it's less than $30/mo extra. I can forgo a few trips out to eat if it means my family has less to worry about when I'm gone.
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I too have life policy at work. Its nice addition to the benefits policy wenhave.