# Do you have life insurance? **URL:** \ **Category:** In My Humble Opinion\ **Created:** [March 23, 2016, 8:49am UTC](https://boards.straightdope.com/t/do-you-have-life-insurance/749924 "2016-03-23T08:49:25Z")\ **Posts on this page:** 20\ **Page:** 2
**Author:** ![Lowdown](https://avatars.discourse-cdn.com/v4/letter/l/c57346/32.png) [@Lowdown](https://boards.straightdope.com/u/Lowdown)\ **Post date:** [March 23, 2016, 8:05pm UTC](https://boards.straightdope.com/t/do-you-have-life-insurance/749924/21 "2016-03-23T20:05:58Z")
Yes, wife and I are about half a mil each on a thirty year term. Took it out once our first son was born. ---
**Author:** ![NAF1138](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/naf1138/32/3245_2.png) [@NAF1138](https://boards.straightdope.com/u/NAF1138)\ **Post date:** [March 23, 2016, 8:08pm UTC](https://boards.straightdope.com/t/do-you-have-life-insurance/749924/22 "2016-03-23T20:08:14Z")
> [@Nava](#): > > Mine gives me a lowered interest rate on my mortgage. I also get one through work but that one is a benefit for which I don’t pay. I’m not giving you advice, but I would talk to someone not connected with your mortgage lender about that. Usually people who tell me that are seriously misinformed about their policy. ---
**Author:** ![Skald\_the\_Rhymer](https://avatars.discourse-cdn.com/v4/letter/s/ecccb3/32.png) [@Skald\_the\_Rhymer](https://boards.straightdope.com/u/Skald_the_Rhymer)\ **Post date:** [March 23, 2016, 8:27pm UTC](https://boards.straightdope.com/t/do-you-have-life-insurance/749924/23 "2016-03-23T20:27:13Z")
I have TERM life insurance, which is all most people should have. My wife and I have three kids under the age of four; she’ll need it if I die in the next few years, and given the amount of time I’ve spent in the hospital since 2014, that’s something we have to consider. Whole life policies are a horrible investment; there’s much better ways to provide for the future. (And I say that as a former insurance salesman.) Somebody – Suze Orman, maybe – says that to determine whether you need life insurance, you should ask yourself whether anyone will be financially inconvenienced by your death and, if so, how much. So my never-married, never-gonna-marry, childless cousin needs, at best, only burial insurance, and he can just more frugally provide for that in other ways. There are people out there who try to persuade parents to buy life insurance policies on kids as young as mine. Those people need to be punched in the face. Buy which I mean balls. ---
**Author:** ![Pantastic](https://avatars.discourse-cdn.com/v4/letter/p/3bc359/32.png) [@Pantastic](https://boards.straightdope.com/u/Pantastic)\ **Post date:** [March 23, 2016, 8:59pm UTC](https://boards.straightdope.com/t/do-you-have-life-insurance/749924/24 "2016-03-23T20:59:12Z")
> [@Skald\_the\_Rhymer](#): > > Somebody – Suze Orman, maybe – says that to determine whether you need life insurance, you should ask yourself whether anyone will be financially inconvenienced by your death and, if so, how much. So my never-married, never-gonna-marry, childless cousin needs, at best, only burial insurance, and he can just more frugally provide for that in other ways. I’ve got no one relying on me financially and a $50k life insurance policy that’s free through work. If I die without changing my setup, my parents or brothers will have plenty of money to handle burial and other expenses and to pay bills while they prep the house for sale. Unless I have really huge medical debt at the end, they’ll end up with as little hassle as possible and a decent chunk of change spread around once the house is sold and my retirement is cashed out. If I had a marriage or equivalent arrangement I would take out enough to pay off the house and leave my partner(s) and kids covered for around a year of income - which would only require another $100k or so in insurance unless I’m misestimating. ---
**Author:** ![BeeGee](https://avatars.discourse-cdn.com/v4/letter/b/b5a626/32.png) [@BeeGee](https://boards.straightdope.com/u/BeeGee)\ **Post date:** [March 23, 2016, 9:13pm UTC](https://boards.straightdope.com/t/do-you-have-life-insurance/749924/25 "2016-03-23T21:13:35Z")
50K through work. No dependents, no debts. No burial expense (body farm donation). I’ve told my brother (also childless) to throw a party and go on vacation with the money if I die before him. Other assets currently in trust will probably go to scholarship programs. ---
**Author:** ![seal\_cleaner](https://avatars.discourse-cdn.com/v4/letter/s/e274bd/32.png) [@seal\_cleaner](https://boards.straightdope.com/u/seal_cleaner)\ **Post date:** [March 23, 2016, 11:03pm UTC](https://boards.straightdope.com/t/do-you-have-life-insurance/749924/26 "2016-03-23T23:03:28Z")
I have term, 150k. My wife would probably be ok without it, but it’d be handy. ---
**Author:** ![elfkin477](https://avatars.discourse-cdn.com/v4/letter/e/a9a28c/32.png) [@elfkin477](https://boards.straightdope.com/u/elfkin477)\ **Post date:** [March 24, 2016, 12:06am UTC](https://boards.straightdope.com/t/do-you-have-life-insurance/749924/27 "2016-03-24T00:06:28Z")
I have ~ $200,000 through work. My brother is my beneficiary. ---
**Author:** ![Snnipe\_70E](https://avatars.discourse-cdn.com/v4/letter/s/b5a626/32.png) [@Snnipe\_70E](https://boards.straightdope.com/u/Snnipe_70E)\ **Post date:** [March 24, 2016, 12:31am UTC](https://boards.straightdope.com/t/do-you-have-life-insurance/749924/28 "2016-03-24T00:31:08Z")
Yes I do have life insurance. It is part of our finical package. I am 68.5 wife 64. When I die my wife will make some adjustments. With insurance she will not have to do it that month. When I went to retire I signed up for 70% survivor coverage for my wife from my retirement plan. It costs me over $1000 a month. I did some figuring and approached a life insurance company. If she outlives me by 20 years and I did not sign up for survivors benefit she would need about $500,000 to replace my retirement check. The agent worked up a plan where I would have a term plan for $120,000 for 20 years. And another plan that would gain value for $200,000 giving me a total of 320,000 which paid out over time should last 20 years. At 20 years of life the term would expire but the other plans value would be over $320,000 and would pay for itself. The cost for both these policies would have been over $1000 a month. So it was about a wash. The advantage. when my wife and I both pass away the retirement checks stop, nothing left for my kids. With the life insurance they would get what was left of the life insurance. My major problem was I could not pass the physical. So we did not have to make the choice. I wish I had thought about this about 10 years earlier. The cost would have been less and I propably would have passed the physical. Before my wife retired we did the calculations. She has 20 year term for $300,000 and it cost about 1/3 of what the survivor benefits would cost. And if we both live over 20 years and she passes first I will have to make a bigger adjustment. But I will be adjusting my life anyway. After all I will be 88 and probably not able to live alone. My advice if before you even begin to think about retirement find out what the survivor’s benefits are going to cost and check out life insurance. I think the name of a proper policy is an ILU? ---
**Author:** ![NAF1138](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/naf1138/32/3245_2.png) [@NAF1138](https://boards.straightdope.com/u/NAF1138)\ **Post date:** [March 24, 2016, 2:46am UTC](https://boards.straightdope.com/t/do-you-have-life-insurance/749924/29 "2016-03-24T02:46:14Z")
> [@Snnipe\_70E](#): > > My advice if before you even begin to think about retirement find out what the survivor’s benefits are going to cost and check out life insurance. I think the name of a proper policy is an ILU? IUL. Indexed Universal Life insurance. Can be a good piece of an entire estate plan if you have the right policy and it’s set up by someone who knows what they are doing. ---
**Author:** ![wolfman](https://avatars.discourse-cdn.com/v4/letter/w/a8b319/32.png) [@wolfman](https://boards.straightdope.com/u/wolfman)\ **Post date:** [March 24, 2016, 2:57am UTC](https://boards.straightdope.com/t/do-you-have-life-insurance/749924/30 "2016-03-24T02:57:24Z")
I think I have some through work, although I might not. I have no one to make the beneficiary so I don’t know or care if that means I actually have it or not. ---
**Author:** ![chizzuk](https://avatars.discourse-cdn.com/v4/letter/c/e36b37/32.png) [@chizzuk](https://boards.straightdope.com/u/chizzuk)\ **Post date:** [March 24, 2016, 3:00am UTC](https://boards.straightdope.com/t/do-you-have-life-insurance/749924/31 "2016-03-24T03:00:31Z")
Yes, a very small policy that came pretty much automatically through work for pennies per paycheck. It would probably be enough to cover a decent funeral without putting my family out of pocket. I’m single, no dependents. I think my younger brother is the named beneficiary, but I’m not sure. ---
**Author:** ![Snnipe\_70E](https://avatars.discourse-cdn.com/v4/letter/s/b5a626/32.png) [@Snnipe\_70E](https://boards.straightdope.com/u/Snnipe_70E)\ **Post date:** [March 24, 2016, 5:55am UTC](https://boards.straightdope.com/t/do-you-have-life-insurance/749924/32 "2016-03-24T05:55:55Z")
> [@NAF1138](#): > > IUL. Indexed Universal Life insurance. Can be a good piece of an entire estate plan if you have the right policy and it’s set up by someone who knows what they are doing. Thanks. I wish someone had approached me 10 years earlier with a proper plan. Most life insurance sales men that I have dealt with in my life try to over sale their product. when I was in my 30’s I picked up a term policy. The sales man did not want to sell it to me he wanted to sell whole life. The pay back did not justify the premiums. His objection about term was you did not get anything back for your premiums. I told him I also have home insurance and I hope I never have to file a claim but I still pay the premiums. Then he tried to sell me enough insurance to provide my wife with my income until she reach 66 and could get SS. ---
**Author:** ![Voyager](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/voyager/32/133_2.png) [@Voyager](https://boards.straightdope.com/u/Voyager)\ **Post date:** [March 24, 2016, 6:28am UTC](https://boards.straightdope.com/t/do-you-have-life-insurance/749924/33 "2016-03-24T06:28:41Z")
I have a good chunk from work, very cheap, but won’t have any when I retire. Which is fine since we have plenty. She has a small whole life policy, all paid off. Both kids are on their own, and we are debt-free except for a small mortgage, so no need for any. ---
**Author:** ![Lsura](https://avatars.discourse-cdn.com/v4/letter/l/7993a0/32.png) [@Lsura](https://boards.straightdope.com/u/Lsura)\ **Post date:** [March 24, 2016, 11:03am UTC](https://boards.straightdope.com/t/do-you-have-life-insurance/749924/34 "2016-03-24T11:03:20Z")
Yes. 1.5x my salary through work, along with a private term life policy that I’ve had for years. While I don’t have children, it would give my mother and siblings options. I have a chunk of credit card debt plus a mortgage. With these funds, they could choose to pay off the condo and keep it, or sell it. Or they could throw a giant party. Whatever floats their boat. ---
**Author:** ![The\_Stainless\_Steel\_Rat](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/the_stainless_steel_rat/32/5727_2.png) [@The\_Stainless\_Steel\_Rat](https://boards.straightdope.com/u/The_Stainless_Steel_Rat)\ **Post date:** [March 24, 2016, 12:32pm UTC](https://boards.straightdope.com/t/do-you-have-life-insurance/749924/35 "2016-03-24T12:32:07Z")
Have about $120,000 through work at a fairly nominal cost, since it deducted from my paycheck before I see it, don’t think about it much. No wife or kids or dependents, house paid off, so on retirement I’ll take the “25%” option that was offered, my insurance gradually decreases to 25% of it’s highest value (about $30,000) and the payments will also decrease until I reach the bottom number, whereupon I’ll pay nothing more. Figure that should be enough to see me safely planted somewhere. ---
**Author:** ![Really\_Not\_All\_That\_Bright](https://avatars.discourse-cdn.com/v4/letter/r/e8c25b/32.png) [@Really\_Not\_All\_That\_Bright](https://boards.straightdope.com/u/Really_Not_All_That_Bright)\ **Post date:** [March 24, 2016, 2:13pm UTC](https://boards.straightdope.com/t/do-you-have-life-insurance/749924/36 "2016-03-24T14:13:38Z")
My employer provides a small policy to all full-time employees - one year’s salary. I also have a $500K policy that my mother took out on me many years ago, but she still pays the premiums and I’ve never touched it. ---
**Author:** ![Elendil\_s\_Heir](https://avatars.discourse-cdn.com/v4/letter/e/7cd45c/32.png) [@Elendil\_s\_Heir](https://boards.straightdope.com/u/Elendil_s_Heir)\ **Post date:** [March 24, 2016, 3:03pm UTC](https://boards.straightdope.com/t/do-you-have-life-insurance/749924/37 "2016-03-24T15:03:48Z")
Yes, I have it, and also have policies on my elderly parents (at their suggestion). ---
**Author:** ![Yllaria](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/yllaria/32/3452_2.png) [@Yllaria](https://boards.straightdope.com/u/Yllaria)\ **Post date:** [March 24, 2016, 7:44pm UTC](https://boards.straightdope.com/t/do-you-have-life-insurance/749924/38 "2016-03-24T19:44:17Z")
> [@Yllaria](#): > > When I hired in, there was a life insurance policy included, probably for a year’s salary. The MOU has been changed several time, but I haven’t heard of the life insurance being revoked. So it might still be there. > > If the kids weren’t grown, or if I was married, I’d probably check to see if it’s still there. This thread nagged me into checking the current MOU. The policy is still there and it’s $50,000. Also I have the option of continuing my group medical benefits when I retire, but I’ll have to pick up any employer contribution. ---
**Author:** ![Voyager](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/voyager/32/133_2.png) [@Voyager](https://boards.straightdope.com/u/Voyager)\ **Post date:** [March 24, 2016, 8:13pm UTC](https://boards.straightdope.com/t/do-you-have-life-insurance/749924/39 "2016-03-24T20:13:48Z")
> [@Elendil\_s\_Heir](#): > > Yes, I have it, and also have policies on my elderly parents (at their suggestion). My father-in-law just turned 100, and the cash value of his whole life policy is equal to the death benefit. It turns out that if he cashed it in he’d have to pay taxes on it, but if we inherit it we don’t. Interesting things happen when you get that old. He had a group medical policy, which they canceled when he was the only person in the group still alive. ---
**Author:** ![Elendil\_s\_Heir](https://avatars.discourse-cdn.com/v4/letter/e/7cd45c/32.png) [@Elendil\_s\_Heir](https://boards.straightdope.com/u/Elendil_s_Heir)\ **Post date:** [March 24, 2016, 8:33pm UTC](https://boards.straightdope.com/t/do-you-have-life-insurance/749924/40 "2016-03-24T20:33:29Z")
> [@Voyager](#): > > My father-in-law just turned 100, and the cash value of his whole life policy is equal to the death benefit. It turns out that if he cashed it in he’d have to pay taxes on it, but if we inherit it we don’t. Interesting things happen when you get that old. He had a group medical policy, which they canceled when he was the only person in the group still alive. He’s not in a tontine, is he…? [Previous page](https://boards.straightdope.com/t/do-you-have-life-insurance/749924.md?page=1) [Next page](https://boards.straightdope.com/t/do-you-have-life-insurance/749924.md?page=3)