Any REAL suggestions on the best LIFE insurance company for me to go with?
I'm 31 with three children.
It's time I get a life insurance policy. I've done research but would like to hear REAL advice and suggestions from others who have life insurance. Also, what are your thoughts on Universal policies?
I would like to get a policy in the amount of $350,000-$500,000.
Premiums not exceeding over $90 a month if possible.
***No Googlers, Please***
If any other info is needed to give me a good answer please state so and I will add it as I see it.
Asked By: ▒♥▒♥▒♥▒♥▒™ - 2/26/2008
Good job on thinking about some life insurance.
There are any number of companies you can choose from.. MetLife, Prudential, NewYork Life, Northwestern, etc. As many will no doubt recommend, you might want to check out a local independent agent, as they can check many different carriers.
Myself, ( 50 year old male, single, no younger children), I have a $50,000 universal life policy thru TransAmerica that I've had for almost 20 years. I also have a 20year term with Zurich Kemper (sold recently to Chase I believe) for $150,000. Both have an accidental death benefit rider, which is very inexpensive, that would pay double in the event of an accidental death. The term is to cover the remaining amounts on my mortgage and any left over will go to my family. The universal I purchased, to always at least have immediate dollars available for my burial. My recommendation to you, would be something very similar.
Look at getting somewhere between $50 to $75,000 of permanent life insurance. You will NOT retire on the cash value, you will NOT send your children through college.. but you will have a base of coverage you can count on with a level premium, and a little bit of extra savings building as well. If you do decide down the road you don't even need this, then you can cancel the policy and get your cash back. UL policies do have a surrender charge, which simply means in the first 10 years ( any longer than that, look at a different policy), you would only get a portion of whats accrued. It's generally a sliding scale, meaning for example..the first year I'd get nothing back, 2nd year, 10?3rd year 20?and so on. Remember, this is designed to be a longer term policy.. not like term.I would then add a child's term rider to this policy for around $10,000. This is very low cost, one cost per rider to cover as many children as you have, and will help you out if, God forbid, one of your children were to pass. Usually these types of riders also allow for the child to convert to a much higher level of coverage when they reach 23-25.. without any medical questions asked. The agent might want you to do separate policies for each child, which might be ok.. but then you'd be looking at a higher overall premium.
I would then look at a term policy for the remainder.. $350-450,000. Get a 20 year.. on just yourself. And make sure the premium is GUARANTEED level for that 20 years. Some term policies, even thought they state are for 15, 20, 30 year term, are only guaranteed level the first 5 years or so. The insurance company could then, if they wanted to, raise rates.. up to a specified amount listed in your policy. Generally this doesn't happen, but why take the chance.
You don't say if your married, but probably the main thing you want to do, is make sure of who you name as a beneficiary. If, for whatever reason, you don't want the children's father to get the money, make sure you name someone you trust would do the right thing. That way you'll know the money will be available for your children.
Answered By: BrianW - 2/26/2008