Life insurance

[Reg]

So I am getting married next Friday! She's the best thing that's happened to me and we are very excited about the future. I currently have no life insurance and am 34 years old. My father always said that because I have no dependants, not to bother.

Well, with the marriage coming up that is obviously going to change. I am also buying the family business in January '05 so basically I will be in up to by eyebrows. Good thing is that I'm keeping both cars for now. I want to have my debts covered in case of disaster she will be OK $ wise.

I am thinking on a 20 year term policy.

I know little about Life insurance. Maybe some of you married folk on the board can chime in with opinions of this and other types of Life insurance.

Thanks,

Reg

[motion]

Just slit your wrists and get it over with now, before you spend the money.






























Just kidding... congrats, Reg. I know nothing of this "marriage" stuff, so maybe some of the other ******* whipped shells-of-their-former-selves will chime in here.

[nostatic]

I've got 3 policies through TIAA-CREF totalling about what the mortgage is. That way if I kick my wife can pay off the house and she and my son can afford to live pretty easily on her salary. Funny that you bring it up but after doing a track day tonight my wife mentioned seeing if there is cheap accidental death/dismemberment insurance through work (she has some that was dirt cheap).

At 34 if you don't smoke your premiums should be pretty low.

[campbellcj]

Same here, I think it's kind of an "obligation" to the wife and kids to ensure that housing, education and living expenses will be taken care of, if I should be removed from this existence unexpectedly.

Term life is not horifically expensive if you are a non-smoker, healthy and young. The key is to initiate the policy when these things are the case, as then you can lock in a guaranteed premium to age 65.

Some employers will either provide minimal coverage (probably rare anymore) or can at least get you a better rate thru their broker via being part of a "group" vs an individual.

Keep in mind that as your net worth builds, you need to consider estate planning issues i.e. the death tax, or at least we do here in the States. So if, god forbid, something should happen to both parents, insurance can cover the tax to the kids and help avoid erosion of assets.

Just my amateur $.02...hopefully the pros will chime in and clear up the matter further.

[Icemaster]

I bought a comfortable whole life policy back in my mid 20's when we got married the would pay off the mortgage, bury me, and give the wife something extra. With the addition of kids, increased the face of that policy, and added a couple of other smaller ones along the way as net worth increased. When I bought my first company, I had the Co. purchase a term life on me that would allow the company to buy out my interest in the untimely event etc....that also works in a way to also indemnify my wife and family - they'll eventually get the proceeds of that policy as well, albeit indirectly.

If it were up to me, I'd do the same thing again. Don't know if you're planning kids, but in THAT event, you might want to consider setting up a trust for the children in case somethign were to happen to both you and the wife.

[pwd72s]

Term is the wise way to go...the extra $ you would have spent on whole life can go to improving the biz or other investments, such as setting up a Roth IRA...

[tabs]

Term....

A policy on the biz also sounds like something to investigate. Whole Life policies....the money invested can be invested someplace else that will have a better return. As PWD indicated.

I would also say a policy on the little woman is appropriate as well. In this age I have to postulate that she will be bringing in an income as well.

With money and children ones responsibilituies change...so U might want to start bringing yourself up to speed on some of those issues.

Now that you have entered adulthood...U need to know how to invest your moneies...so that you may retire in comfort when your no longer able to pull the plough.

[Reg]

Thanks for the input everyone! Keep them coming.

PS we are going to Cape Breton, Nova Scotia.