Question
What do you think about life insurance? Do you have it? Details below.?
My dad got life insurance 10 yeras ago, and now the price of the premium has increased 8 times more than what we were paying. Since his 10 years of life insurance at the affordable rate has expired, I'm thinking of asking him to renew it, but we were paying at such an affordable price. But he doesn't want life insurance and doesn't seem to care about protecting the family in case of his death. But I'm wondering, is life insurance that is something really worth it? My dad is a healthy individual. And even if we pay, would the premium have gotten up? My add is over 50, and I'm wondering if our premium will double even though if they check his health again. What do you think?
3 weeks ago - 5 answers
Best Answer
Chosen by Asker
Life insurance is a financial tool. I have it. I like it. For me, 20 year level term with a guaranteed renewable and convertable rider, was the best tool to accomplish the job. That means, I pay the same price every year, for 20 years. At the end of 20 years, I can renew it at a much higher price, or convert it to whole life, at a much higher price, or let it expire if the need isn't there any more. Sounds to me like dad got a variable life policy. Is it worth it? Well, it depends. Is there a CONCRETE GOAL that you want the policy to accomplish? If so, yes. If not, no. No one here could POSSIBLY answer your questions, we have no idea what kind of policy he has. But what *I* would advise, is a few steps: 1. Define the goal - what do you want the life insurance to accomplish? Will there be a time when you don't need to accomplish that goal any more? 2. Get some quotes. Get a variety of quotes from several agents for DIFFERENT PRODUCTS. Select the best priced product from an A rated carrier that meets the goal. 3. Never, ever confuse life insurance - a financial death planning tool - with investing. The majority of the time, life insurance is NOT a good investment. A minority of the time, it is - but if you're in THAT situation, you'll have an accountant and financial planner giving you advice.
by mbrcatz
3 weeks ago
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Other Answers
If you have to ask. Then you can't afford it.
by Jokeunibomber- 3 weeks ago
If your dad is the primary wage earner of the family then he needs 5-10 times his annual income. Don't bother with whole life or any crap like that just stick with term life. Other types of life insurance add a investment into the policy, these investments are not worth it because you are able to do better elsewhere if you invest the difference in premium. In addition if your dad dies the investment does not pay out you only get the face value of the policy.
by pagodaboy2001- 3 weeks ago
premiums always go up with age. that's because the probability of dying in any particular year increases each year as you get older. what is this proposed life insurance going to protect? arguably, if you're old enough to ask a sophisticated question like this, then you're old enough to be making your own income and thus your father has no need to protect you from the income loss that would occur if he was to die this year. so who or what will the life insurance protect? *** btw, straight term life, guaranteed renewable, with increasing annual premiums is almost always the cheapest form of life insurance.
by Spock (rhp)- 3 weeks ago
If your dad needs life insurance the time to get it is now while he is still pretty young and healthy and it is still affordable. If he gets health issues later he will not be able to get life insurance. Just get level premiums for a certain amount of years, 10, 20, 30.
by car253- 2 weeks ago