Post # 1
Fiance and I will be married in a couple of months and we will try for children soon after getting married. We were recently offered life insurance (discounted through our work program). This is “whole life” or “permanent life insurance.”
The cost is about $8/week for $75,000 coverage on me (I’m 29 years old and in good health.) Is this a good deal? Can anyone give advice?
Post # 3
Whole life isn’t worth it in my opinon. You pay much more than you do for a term policy and a lot of the value takes forever for you to get it back. I would look into a regular term policy which where you can get a lot more coverage for the same amount of money.
I just looked up a quick quote and my husband could get $750,000 in insurance for $59 a month. That’s a 20 year policy.
You also need a lot more than $75,000. Remember that you are going to need to pay for childcare in addition to expenses if something were to happen to your husband.
Post # 4
My financial advisors suggest against whole life policies and say that term policies are always the way to go.
Post # 5
I love whole life, especially if you purchase before 30. It is just a better investment, IMEO, than term.
I used to tell our clients, minimum 2 years living expenses plus complete payoff of debts is what you should shoot for when buying LI.
I bought my 250,000 WL politcy when I was 20 and still cost $50 per month. I have borrowed against the dividends a few times when I needed it. As of now (40) my policies dividends are paying for the policy and I don’t have any more payments and it is worth more than the face value because I chose a market WL policy (which just means I included stocks in the purchase).