Our Term Life Insurance Policy Premium went up from $60 per month to (UPDATED #8)

[JanetRose]

over $200 per month. It is only good for $25,000. Does anyone know if I can lower the policy amount so we could lower the premium? Thanks.

 

[C.Ann]

over $200 per month. It is only good for $25,000. Does anyone know if I can lower the policy amount so we could lower the premium? Thanks.

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Usually there is a clause in the policy that says whether they increase the premiums based on reaching certain ages - or that they only raise the premiums if they raise them across the board for everyone.. See what your policy says..

Also - if you and your DH are in good health, don't smoke, etc., you could probably get a better term policy elsewhere for less money - depending upon your age..

 

[marymouse]

Try these people, they lowered my life insurance rate by nearly 50%.



http://zanderins.com/

 

[EthansMom]

That sounds like a lot of money for a small amount of coverage! I'd shop around for prices. Don't forget to check the ratings of the companies you are looking at too.

Also, why so small a policy? If you're older and have plenty of money put away for retirement or in savings, you may not need any life insurance at all. And if you aren't doing so well, you should probably consider more than $25,000, which wouldn't cover a lot more than funeral/burial expenses. If you had an extended illness that lead to death, you might want more than $25,000.

 

[snappy]

Definitely check around. I understand that life insurance rates (term) have dropped.

 

[LynnTH]

That sound very high. My DH and I have a $500,000 policy on each of us and we pay less than $80 a month for the both of us. His is like $45 and mine is $31 per month. You need to check things out.

 

[Toby'sFriend]

Unless you have some sort of illness or other factor, that does sound really high.

I have a $750k 30 year Term policy on my husband that is $38 a month. Are you sure that is a Term policy?

Definately shop around for quotes. I have a strong feeling you can do much better.

 

[JanetRose]

I was able to pull the following from the insurance website. I don't think we have no choice but to pay the increase. We both pay 1/2 - $10,000 of it will go towards my mom's burial and I will get the rest of it, $15,000.

Person insured is my mother
Her date when policy was issued was 67 years old
She is now 81 years old

Type: Universal Life
Base Coverage: $25,000
Death Benefit Option: Level
Issued: 10/01/1992

Policy Values as of 04/09/2006
Accumulated Cash Value: $175.77
Surrender Charge: $175.77
Net Cash Surrender Value: $0.00
Policy Interest Rate: 4.50%
Maximum Loan Available: $0.00

Billing Frequency: Monthly
Planned Modal Premium: $215.00
Accumulated Payments: $12,468.10

 

[Toby'sFriend]

ah ok, no that is not a Term Life Policy. That is a Universal Life - as you can see from the Cash Value.

Is she a member of AARP? I would perhaps looking to them for some advice on Life Insurance for Senior Citizens, or perhaps a website such as http://www.insure.com for some quotes. It seems that you need some information on what the different types of products are, before you can make a decision like this.

I don't have much helpful advice. We ran into similar problems finding insurance for my MIL. AT the rates they were charging, as a family we decided that it would be more beneficial to put what we were going to be paying in premiums into a Money Market account and just save for the funeral.

 

[JanetRose]

Isn't it too late to start a new policy? She is 81 years old.