Suggestions on life insurance?

Question

I am married at age 20 and husband is same age. I want to get a life insurance policy because we are expecting a little girl in April. With funeral costs, possible public 4 college (for her and maybe possibly more children later), and any expected bills that should come of one of our deaths, how much should I take out on each of us? I can't afford a lot right now but I want enough to cover the funeral, and some to help with college, for sure. So what would you suggest. I figured $10,000 for funeral costs (on each of us) and around an extra $8,000 for other expensis. I know this is a personal decision but I need some ideas, this is new to me and my husband has kind of left it up to me. Any ideas to throw out there?

Answer 1

I think $20,000 is a very good start. You can always add more later on. The good news is, you can probably get that without even having to go to a medical exam. If you want to get some free quotes, just fill out this form. http://www.dpbolvw.net/click-2177451-10426215

Answer 2

I would suggest purchasing 10, 20, or 30 year term insurance. The amount should be 10 to 25 times your income. If your not employed and depend on your spouse for income, I would suggest applying at the same time and getting policies that match in value. With your age and little or no medical history, you could receive the best rating with a company. That literally could be less than $40 a month for $500,000 to $1,000,000 coverage. Also, If you wait till after your child is born, you would probably be able to add a rider to your policy for your child.

Keep in mind that most term policies allow some type of conversion to a whole life product. When you are more established, a whole life will be more suitable and would allow you build cash value. That cash value can be used to pay for anything(college, home repair, etc) or just increase the value of the future settlement of your policy.

Answer 3

When determining what you need you really need to evaluate your current life style and how will the loss of one income affect the life style for you and your kid(s). Are you a 1 or 2 income family. If one than you will probably need a larger policy on your husband to give you enough time to get back into the work-force. Do you own a home? If so, will you or your husband be able to afford the mortgage on one income? Same for car payments, etc. You're pretty young and if you're in good health the rates should be very affordable. The sooner you get in the cheaper the monthly rate will be. I would call up a few companies to get a quote. One side note: my financial advisor suggested we get disability insurance first because the chance of us becoming disabled at a young age is much greater then dying. Good luck!

Answer 4

I would suggest a ten year term policy for at least $250,000. There are few companies that offer term for under $100,000 and the ones that do, charge a lot. Term will be very inexpensive at your age.

At your age, I would not pay the additional premium for 20 or 30 year term. Chances are that you will probably be making additional insurance purchases over the next several years and you may be replacing these policies.

I would look an independent agent rather than one who represents primarily one company. There are several internet quote sites but you can get the same rates through any agent and get the personal service. One warning about the internet sites, the rates they show are generally the very best rates and may be difficult to qualify for.

Answer 5

First off, term insurance is probably the best for you and your husband right now. The amount that you need is based on your final expenses and any current or future debt that you have or plan on incurring. Term insurance, pending any serious health issues, is very inexpensive. Please note that the older you get, the more expensive your life insurance becomes so the younger you buy it, the cheaper it will be. For your daughter, a whole life product may be more suitable because it will last her lifetime. Please look up your nearest Northwestern Mutual agent in the phonebook or online and make an appointment. They are the strongest and most trustworthy life insurance company in the country. They will also be able to help you with investing and college planning as your family and income grows. Buy up while your young and healthy!

Answer 6

existence insurance isn't an investment. finished existence, everyday existence and Variable pay vast commissions for brokers. So, that's greater valuable for brokers to sell you those policies. that's money greater of their pocket and not in yours. everyday & Variable existence contain vast a lot good off the right. Then the value of insurance is going up on them each twelve months purely like the as quickly as a year renewalable term. that's a substantial Rip off. discover an hassle-free agent. Take a point term for 20 or 30 years. I used to advise 10 twelve months yet now i comprehend that 10 years is going with the aid of so rapid which you relatively choose choose a point top rate for 20 or 30 years. And, expenses are so low that that's reasonable. that's like vehicle insurance, purely use it or lose it and with any luck you do no longer could use it. term insurance is low-cost. make investments some money in a real investment., no longer existence insurance.

Answer 7

I'd probably look at term since it is lower cost. Many people say 5-7 times income, I've even heard 10x (but I think that was from a life ins. company).

Keep in mind that if one of you was to die, you would still have one parent left to take care of the child. This will reduce the amount you would need if one was to die. Therefore, I might recommend 5x salary. Or you can do something smaller and build up later on.

I would go through underwriting, assuming you are healthy. You'll get better rates that way.

Answer 8

Buy term insurance. Look at 20 & 30 year term rates.

You really need to look at 15-20x your income levels based on your age. You can run a needs analysis for free to get an accurate idea of how much coverage to get.

http://www.lifeinsuranceadvisors.com/needs.html

Answer 9

The rule of thumb is five years of income. Go with term instead of whole life.

Answer 10

Hi!

In today's world its too tough to get exemplary ideas honestly ...
I feel forums are the best place to drive in learned people...n get your queries resolved by them. Don't you think so!
regards, Augustin (You may post your queries to the forum source below).