If you are paying $80 a month for all that, you probably aren't paying too much.

I honest cant say if you have too much or little insurance, because I don't know your situation, but it doesn't sound like it. I don't have a problem with term 30 policies, as far as term is concerned. For some people it is the best option, others it isn't.

Is there a specific reason you have double on your wife? (Not to get too personal)

Regardless, if you are asking if having $1M of insurance on her is too much, I don't think so, and you won't think so if anything happens to her.

The guy talking about the savings account was talking about the return of premium term policies. I'm not a big fan of these, as they have some funky wording in their contracts, but that is a much longer conversation to be had. The other option to have it work for you is to do a permanent policy, properly structured one, do that you own it and it becomes an asset and you dont rent it anymore. Again, that is a hard thing to have a fair conversation about on here.

This post was edited on 2/20/13 at 6:05 pm

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Posted by toots-N-scoots

Houston

Member since Aug 2012

700 posts

Posted on 2/20/13 at 6:26 pm to GoCrazyAuburn

It seems that GoCrazyAuburn is giving good advice to me. My advice and I own a Insurance and Financial planning firm is to sit down with someone and let them show all of the pros and cons about the various forms of insurance coverages.
Don't listen to people that tell you to absolutely not do or to do only one kind of planning. All circumstances are unique and should be treated as such.
I have clients worth over 50 million that buy permanent insurance and spend over 240k/yr for it and I have regular hard working families that buy term. Different reasons for different results, one is not right and the other wrong they are right for their particular needs.
In addition I have had a spouse pass away while she was young from cancer. It didn't run in her family and came out of nowhere. I was absolutely depressed for over a year and my own income suffered because I didn't want to work. Take this conversation very seriously and sit down with a reputable person and solve the problems that are specific to you and your family.

This post was edited on 2/20/13 at 6:28 pm

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Posted by AUtigerNOLA

New Orleans, LA

Member since Apr 2011

17107 posts

Posted on 2/20/13 at 6:40 pm to GoCrazyAuburn

quote:
Is there a specific reason you have double on your wife? (Not to get too personal)

It was only $10 or 13 bucks more to get the $1mil rather than $500k. It would of been a little more expensive for me to get the $1mil.

They also think I will be making more over time and wont need it as much. I feel comfortable with the policies but I always have a problem understanding them fully and I always feel I am getting hustled.