2006-07-15 12:08:27 · 12 answers · asked by llmd35 1 in Business & Finance ➔ Insurance
Well there's two types of insurance: One is term. And the other is cash value (also known as Whole Life, Universal Life, or Variable Life)
Term insurance. Its inexpensive and you can invest your money. If you don't have a IRA or Roth IRA now, go get one. That is what everybody do when they own term insurance. At the end of term, most people usually don't need life insurance or don't need as much coverage because they have less financial obligations to pay. If you die during the term, your beneficiary will get the face amount plus all your investments.
With whole life, your premiums are paying into two products built into one. You are paying for insurance and savings. You can use the savings anytime, but you would have to pay it back. Sounds stupid right? Do you like to borrow your own money and have to pay it back? You might hear that your insurance will be "paid up." That sounds great, but guess where they get the money to pay your insurance? They use your savings. When your savings hit zero, you will see one huge insurance bill stating that you will have to pay back all your miss premiums including money that was in your savings. What's even more disgusting about whole life is that when you die, your beneficiary will only get the face amount minus any money borrowed from savings. You will only get the savings without any penalty if you reach age 98.
2006-07-16 15:49:43 · answer #1 · answered by Anonymous · 2⤊ 1⤋
You should discuss it with your mother. It depends on why she wants the insurance, for how long a period of time, and how much coverage she needs.
You should always buy life insurance you can afford, that fully meets your needs. Term life insurance is usually cheaper, but only provides you with coverage for a limited number of years - usually 10, 15, 20 or 30 years.
Whole life offers coverage for your entire lifetime if you keep paying your premiums. However, whole life insurance is usually more expensive.
You can learn more about life insurance at http://www.term-life-online.com
Hope that helps!
2006-07-15 14:48:55 · answer #2 · answered by Anonymous · 0⤊ 0⤋
There's not much to go on, but, if you are looking for low face amounts (e.g., burial insurance for about $10,000) there's many insurance carriers that will sell directly to consumers, eliminates the middleman (insurance sales person), guaranteed issue, and are fairly cost effective. Of course, if she needs higher amounts (e.g., $50,000+), then I'd recommend a Universal Life plan. You are looking for one with the lowest possible lifetime premium. This is a premium that will guarantee the entire face amount throughout your mother's entire life (even if she lives beyond age 100!).
2006-07-16 13:45:47 · answer #3 · answered by Matthew V 1 · 1⤊ 0⤋
You need to give some more information. Why do you need life insurance for your mother? How old is she?
Life insurance is obviously much more expensive the older you are, so you really need to figure out what the value to you is.
2006-07-15 12:12:39 · answer #4 · answered by justwebbrowsing 3 · 0⤊ 0⤋
You may want to consider senior life insurance but that would depend on a lot of factors.
Just be real careful when choosing a plan, banks in particular, love to lock older people up in complicated annuities. In most cases. this is just a bad way to tie up the money (not to mention costly).
Hope this helps a little.
2006-07-16 07:13:18 · answer #5 · answered by Anonymous · 0⤊ 0⤋
Get insurance that you can afford. IF you are old enough to get it for your mother, then she probably doesnt' need too much...get a UNIVERSAL LIFE plan with a rate guarantee...or start out with a term life plan...see if you can afford its less expensive rates and convert the plan to Universal Life when your income increases.
2006-07-15 12:11:36 · answer #6 · answered by Idiot Savant 2 · 0⤊ 0⤋
I might suggest you to visit this internet site where you can compare rates from different companies: http://insuranceforcheap.info/index.html?src=5YAxnu68umH27deW1
RE :Wat kind of life insurance should i get for my mother?
Follow 12 answers
2017-03-14 21:35:35 · answer #7 · answered by ? 6 · 0⤊ 0⤋
go for the "whole life insurance" plan if she is less than the age of 70
this insurance can be benifited till her age of 100
2006-07-15 17:52:47 · answer #8 · answered by Anonymous · 0⤊ 0⤋
well you should get whats called term assurance its the cheapest on the market,,and make it for a term beyond the age you think your mother will live for ,,
2006-07-15 12:13:27 · answer #9 · answered by Anonymous · 0⤊ 0⤋
Get her some auto insurance....duh their is only one kind of life insurance.....
2006-07-15 12:13:02 · answer #10 · answered by Anonymous · 0⤊ 1⤋