Life Insurance.?

Question

Me and my partner would like to get life insurance.I'm 22 and my partner is 50. We don't know where to start. We don't 100% understand how it all works or what companys are best.
We can't afford alot each month.

We would be grateful for any advice
Thanks X
(uk)

Answer 1

I would check out this blog: http://obe231.blogspot.com that explains the difference in life insurance (and some other stuff). Look at the column on the left and click on "Everything you need to know about life insurance."

Since you can't afford alot each month, then term insurance is the best way to go. For a 22 year old, for just $150,000 in coverage on a 30 year term, monthly cost is between $20-$30.

Your partner will be a bit more expensive, probably in the $80-$100/month range.

Primerica is the only company that sells term insurance 100% of the time and not only that, they also help client invest the difference. They teach people to keep investments separate from life insurance, so they sell term insurance and mutual funds. Mutual funds can be bought regularly, but you will owe taxes on it. It is best you put mutual funds into an IRA. I don't know your income, but I assume its less than $94k/yr. So you qualify for a Roth IRA, which means your investments grow tax deferred and be tax free when you start withdrawing at age 59 1/2 or later.

Included with the life insurance, Primerica will throw in a complimentary financial need analysis. For more info: http://www.primerica.com

Answer 2

There are two different types of life insurance: Permanent (Whole Life) and Term.

Permanent Life Insurance is more expensive, but it has long-term benefits. You pay the same premium for your whole life and the policy builds cash values/dividends that you can take out or borrow against throughout your life. A major benefit is that the policy doesn't end until you stop paying the premiums or until you die, so if later you are diagnosed with a condition (like cancer) that would prevent you from getting new life insurance, you can still keep the policy you have.

Term Insurance is written for a "term" or a period of time specified in the beginning. Usually 10 years, 20 years, or 30 years. It is much cheaper than Permanent coverage, but the downfall is that it expires after the term is up and you have to reapply to continue coverage. You will be older and possibly have a medical condition when you reapply and you may not qualify at all, or you will have to pay higher premiums to renew the coverage for another term.

Lots of companies sell life insurance, but you should pick one that is financially stable to ensure they will be solvent enough to pay your claim when the time comes for your beneficiary to receive it. Check websites like AM Best to get financial ratings on insurance companies before you buy. Good Luck.

Answer 3

Any time the male is over age 35, term life is the only way to go. Consider what it would cost to replace the income of his salary for 10 years and the burial. That's a realistic assesment. Look for double-endemnity for accidental death and watch out for restrictions on sports such as auto racing, scuba diving and sky diving (they may have even more restrictions). High payoff policies request a drug test for tobacco and other substances.

Answer 4

I might suggest that you visit this web site where onel can compare quotes from the best companies: http://INSUREFOREVERYBODY.INFO/index.html?src=2YAlg7oUm8e

RE :Life Insurance.?
Me and my partner would like to get life insurance.I'm 22 and my partner is 50. We don't know where to start. We don't 100% understand how it all works or what companys are best.
We can't afford alot each month.

We would be grateful for any advice
Thanks X
(uk)
Follow 4 answers

Answer 5

life insurance isn't that much to be honest, it might be higher for the 50 year old to let you know, but you can get it for under 20$ a month call your care insurance place and you could get a discount sinc eyou have insureance there already multiple policies get you discounts