Who has life insurance?

[jeffk]

Yes. When I got married it made sense to get term life insurance for me. I wanted my wife to be able to buy our house and have some extra money if I died.

I think term life is the way to go for most people. There are much better ways to invest or have tax deferred accounts.

 

[MuayThaiSteve79]

I have my own Life Insurance Policy, Funeral cover and I also have a Death In Service Policy through the Company I work for which is if I die whilst employed my Fiancé gets 4x my base salary.

I'm worth more to her dead than alive - I'm surprised she hasn't started polishing the top stair at home!

There is a misconception about Life Insurance especially in the UK - I used to sell it and people would ask for cover for £1M seeing it as a way to make loved ones rich when really its just meant to ensure they don't struggle financially.

I would speak to people that told me they had kids, smoked 40 cigarettes a day and when I told them the monthly cost of the cover (around £35) they would say "Oh that's too much I'm not paying that" yet they're paying almost £400 a month for their smokes.

Go figure!

 

[MuayThaiSteve79]

Also there was a fairly recent change in legislation in the UK - previously the Insurer wouldn't pay out for suicide, but now most do.

There have been cases of people taking out huge cover then paying the high monthly fee then offing themselves after the first 3 payments have been made!

 

[Larzon]

All Australians have to through our superannuation. Americans really do have such a poor standard of living

 

[SSgt Dickweed]

Neeed...Ned Ryersooon?

 

[spamking]

Both my wife and I have it. I had SGLI for 28 years and converted to VGLI about a year ago.

 

[PG29 red0 Jr]

I have 2x salary that is a benefit paid by the company I work for.

 

[JudoThrowFiasco]

All Australians have to through our superannuation. Americans really do have such a poor standard of living

Americans have to as well. Life insurance is a completely different thing

 

[My name is]

I save and invest. When I die I'll leave homes, cash, stocks and crypto. When my Dad passed I learned the value of having a beneficiary and a will. The whole probate thing was a 7 month hassle

 

[chardog]

not a fan of insurance

instead, I used those funds investing instead.

whatever minimal insurance work gives, an additional 7 bucks a paycheck is all I have.

I have a high deductible health insurance using the same logic, funneling the money into an HSA. What I found as I suspected, after several years, instead of spending on "insurance", I stuffed it in the health savings instead, and while using the health expenditures as needed across five kids, I was still able to amass a small savings of 20K+ as the deductible/savings money that I own, rather than some filthy vampire insurance agency.

you are welcome to try that experiment with health insurance. Find the difference in price of the cheapest high deductible plan, with a normal plan you get with deductible, with that savings, direct deposit directly into a health savings and see over the long term who wins out. Giving that money away to the industry or keeping it yourself?

 

[TheChance]

I do and anyone with a family and assets should absolutely have life insurance.

 

[ralphc1]

All Australians have to through our superannuation. Americans really do have such a poor standard of living

Americans have it through Social Security. A surviving spouse with children under a certain age can get benefits and the children can also get benefits. How much they receive depends on how much the deceased earned.

 

[chardog]

I do and anyone with a family and assets should absolutely have life insurance.

why cant you simply invest instead?

 

[Revolver]

why cant you simply invest instead?

Why not both?

 

[Strychnine]

LOL yeah, it's hard to plan long term when we're in school. We had other priorities.

Okay maybe I shold do the whole life insurance. It's better than losing it forever. Thanks for the info.

If you don't have one, get a will. Your word and a firm handshake aren't that solid in the eyes of the law.

 

[Rob Rain]

Absolutely not. At one point in my life many years ago, to make ends meet, I sold insurance. I avoid it as much as possible myself.

 

[AFanNotAFighter]

why cant you simply invest instead?

Life insurance benefits are tax free. Investments aren't. Also, it could take years and years of investing to build a $500,000 investment portfolio whereas with the life insurance the 500k benefit is available almost right away.

 

[JudoThrowFiasco]

Life insurance benefits are tax free. Investments aren't. Also, it could take years and years of investing to build a $500,000 investment portfolio whereas with the life insurance the 500k benefit is available almost right away.

If you die.. thats the caveat

 

[Law Talkin’ Guy]

I’ve had a policy for about 11 years now that would pay my wife about $800k. Then I have a separate one through work that would pay her another $450k.

 

[Law Talkin’ Guy]

Also there was a fairly recent change in legislation in the UK - previously the Insurer wouldn't pay out for suicide, but now most do.

There have been cases of people taking out huge cover then paying the high monthly fee then offing themselves after the first 3 payments have been made!

In Canada life insurance policies have to have been in place two years before a suicide will pay out in order to prevent that from happening.