Term Life insurance...where to go?

Discussion in 'Budget Board' started by adventure_woman, Jul 23, 2011.

  1. adventure_woman

    adventure_woman DIS Veteran

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    After reading Dave Ramsey, he recommended term life insurance over whole life. Any recommendations or where to find the best place to get/look for term policies? We have a whole life policy for my DH through State Farm (I don't know if that is good or bad...we got it before we got married and didn't know better/didn't research it, etc.) I'm thinking we'll cash that out and get term for both of us.

    Thx!
     
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  3. JenLanDisney

    JenLanDisney Mouseketeer

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    SBLI had the best rates for us. You may also try AAA.
     
  4. Snoozan

    Snoozan Really IS a good girl!

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    I recommend SelectQuote. Both my DH and I got our 30 year term policies from them. They'll give you quotes from various companies and you pick what deal you want. Mine is thru Genworth, which is a company I previously worked for, so these are legit companies.
     
  5. tapplebapple

    tapplebapple Mouseketeer

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    I second SBLI - they have been around for over 100 years and are now in almost all of the states. I would definitely visit their website to see if they are available in your state.

    http://www.sbli.com/default.aspx

    Great rates!!! I know when I shopped, they couldn't be beat.
     
  6. disneypharm

    disneypharm DIS Veteran

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    I got mine through AAA. Great and fast service.
     
  7. Jeff_G

    Jeff_G Mouseketeer

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    Zander insurance, they provided quotes from several insurance companies and were way less pushy then some of the other independent agents.

    Whatever you do obtain your term policies and make sure they are in full effect before you cancel the whole life.
     
  8. Swimalie

    Swimalie DIS Veteran

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    I got mine through USAA. It's a great rate and they were quick in getting it to me.
     
  9. camlace

    camlace DIS Veteran

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    This is interesting to me...My husband and I both have term and are being told we need whole life insurance (or at least we should move some from term to whole). I wish it all made sense to me, so I could weed my way through the salesmanship side of it and figure out what is "right" for my family.
     
  10. Swimalie

    Swimalie DIS Veteran

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    This is from Clark Howard - consumer guru.

    Life Insurance

    Helpful Guides and Links:
    Talk about it: Insurance forum
    Resources & Contacts
    Consider your own situation to see if life insurance makes sense for you, how much you need, and which type of life insurance would be best. If your family would be unable to make the mortgage payments without your income, you need life insurance.
    Life insurance is meant to replace your income. My rule of thumb is to buy an amount equal to 10 times your annual salary.
    If both spouses work, both should have life insurance to replace their own income. Don't buy insurance on your children.
    There are two primary types of life insurance. Term life coverage provides a payment only if you die. Other policies, such as whole life or universal life, include investment components.
    If you decide to get term life insurance, the best way to buy is by checking one of several websites for a financially strong company that offers low premiums. AMBest.com is a good site for research purposes. Look for insurers that have an A++ or an A+ rating. (Free registration is required to use this site.)
    Don't cancel a whole life policy. Once you've purchased it, it's best to keep it.
    Avoid buying more than one policy for any person. Every insurance policy you buy has fees hidden in it. So two $50,000 policies would cost more than one $100,000 policy.
    NOLHGA.com can help you determine your level of state guaranty coverage in the event your insurer fails.

    And more excellent advice from Clark http://www.clarkhoward.com/news/clark-howard/insurance/buy-life-insurance-clark-smart-way/nCcHb/
     
  11. adventure_woman

    adventure_woman DIS Veteran

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    If I remember correctly from reading Dave Ramsey, his reasoning for term being better than whole is that by the time you are 60, you should be financially secure and the money spent on whole would be better invested elsewhere. It has been 2 yrs since I read the book so someone please correct me or add.

    I agree about trying to figure out what is best...it is so confusing and all the big 'what ifs'!
     
  12. torinsmom

    torinsmom <font color=red>I have someone coming to scoop<br>

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    I got my term policy through my credit union. It is through Genworth. I have $350,000 for $46/month, 30 year term, so it is good until I am 67. I plan to pick up a small whole life policy in the next few years.
     
  13. punkin

    punkin <font color=purple>Went through pain just to look

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    I believe the OP already has a whole life policy, if so you have already sunk the majority of the overpayment into it. At this point, you are much better off keeping it.
     
  14. ProudMomTo3Boys

    ProudMomTo3Boys <font color=red>My brain hurts. I am still working

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    This is who we used and ending up getting the policy through SBLI.
     
  15. a1tinkfans

    a1tinkfans Spreading Some Pixie Dust Today!

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    Term is more economical and a MUCH better deal. Many times whole life can never end, meaning, when you thought that you were done paying in, they re evaluate and you still keep paying and paying..so all that money, had it been invested would have been better spent/grown. My sil had this happen and then dumped it, BIG waste of all that money and it was a mistake...she should have kept it because it was very very expensive to replace at a much older age...learn from her mistake and dont dump it if you have paid in for a while...
    with term, you pay the set amount for a specified period of time, and then the beneficiary gets the policy if there is a death. The best "deal" is to try and get the LONGEST term policy to cover your expenditures and to do that at the youngest age. The older you are, the more you will pay...the premium locked in for that period, so no surprises. WHile it is a good idea to have 1 Large policy, many choose to have separate ones for differing times. Perhaps a 20 year policy to get you to 65 and then a 30 year to get you to 75. It is also an opportunity to cancel a term policy (one of them) if perhaps things change and you now only need to cover XX amount of expenditures which was reduced over time. So youd still have one policy in force, heaven forbid if needed.
    You can get a cheaper rate by paying yearly, rather monthly. You will get an idea from a company and then AFTER the blood work and medical review and weight check, their underwriter will determine your status and rating, and give you a rate. You can easily do it online and there are many reputable companies, choose an A++ or A+ and youll be fine.
    Good Luck...its rather a dreary thing, but so necessary.
     
  16. bellebud

    bellebud DIS Veteran

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    we use SBLI, and would only ever have term. Whole is like a bad savings plan... you can do better w/ the money on your own.
     
  17. DisneyFan32WI

    DisneyFan32WI Grumpy Cat

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    I just sent in for some info and I was quoted $13.67/month for a 30 year fixed term life insurance. I need to give a urine sample, blood draw and some type of 'paramed' exam-whatever that is. I am terrified of giving blood.

    Do all plans make you give blood?
     
  18. JenLanDisney

    JenLanDisney Mouseketeer

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    Unless it is a guarantee issue (rather low amounts of coverage), you will have to have the lab work and exam.

    Does your employer offer life insurance as a benefit?
     
  19. Jeff_G

    Jeff_G Mouseketeer

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    I had to do the blood work and urine sample also, they sent a paramedic to my house who did a great job, I hardly fealt the needle stick and it was over in a few seconds... I think its a one time pain for peace of mind over the next 30 years...

    For me the wakeup call was my father in law, I like him had all my insurance through my employer. Well a few years ago he was laid off from work, on unemployment with his health and life insurance running out, he was diagnosed with terminal leukemia. At that point he was un insurable¬Ö
    He fought it for two long years but ultimately passed away, 1 year ago yesterday, without life insurance.

    So please get some life insurance outside your employer especially if you have anyone dependant on your income!
     

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