Life insurance question

[whitetrash]

My fiancé and I both have increased our life insurance policies since having our 1st child, with each of us having the other as the benefactor.

If somehow we were both to pass who would become benefactor? Would it be the kid? His guardian?

A co-worker passed Monday and has 4 kids I can't help but worry about.

[Stng5Pnt8]

The benefits would likely be held until a court-approved guardian is named, which can take several months and usually requires hiring a lawyer. However, you may consider naming a trustee of a trust for a minor as beneficiary to help ensure competent management of the proceeds. By naming a trustee of a children’s trust as beneficiary the proceeds would be managed by the trustee (person or institution) you choose.

[Stng5Pnt8]

Do you have life insurance through work or private?

[Baron Von Crowder]

You should have a secondary beneficiary(sp?) listed. My policy has my wife 1st, and my sister second, if the wife is not alive.

[whitetrash]

Do you have life insurance through work or private?

It's through work. A standard policy they give me plus an added one with it.

[Stng5Pnt8]

It's through work. A standard policy they give me plus an added one with it.

Like Baron stated, have a contingent beneficiary...however in the case of a minor make sure it's someone you trust or like I mentioned you can always name a trust as beneficiary just make sure to account for administrative costs/fees as well. Many banks and trust companies offer reduced fees for life insurance trusts because they involve essentially no investing decisions.


With traditional group plans, leaving the group/job inevitably means leaving your coverage behind, unless you have portability options.

If you're interested let me know, I can get you a whole life insurance quote together for you both you and your fiancé. We have a really great guaranteed whole life product right now. Guaranteed premium, guaranteed death benefit & guaranteed cash value, with several excess credit options.

[juiceweezl]

Something else to consider, and maybe one of our insurance gurus can post up. When both of my boys were born, I wrote VUL's on them right away to get a super low rate. Then I proceeded to pay a little extra at it to build up value. I'll turn it over to them one day, and they should have plenty of cash in it if they want to pull it out. Meanwhile, there is coverage there -- God forbid I ever need it.

[whitetrash]

Like Baron stated, have a contingent beneficiary...however in the case of a minor make sure it's someone you trust or like I mentioned you can always name a trust as beneficiary just make sure to account for administrative costs/fees as well. Many banks and trust companies offer reduced fees for life insurance trusts because they involve essentially no investing decisions.


With traditional group plans, leaving the group/job inevitably means leaving your coverage behind, unless you have portability options.

If you're interested let me know, I can get you a whole life insurance quote together for you both you and your fiancé. We have a really great guaranteed whole life product right now. Guaranteed premium, guaranteed death benefit & guaranteed cash value, with several excess credit options.

Niether of us have any plans to change employers but I am aware we would lose coverage if we did.

Do trusts earn interest? If so could be written that the interest go to certain things such and taxes on the home or a percentage to help the guardian?

[2011GT]

Something else to consider, and maybe one of our insurance gurus can post up. When both of my boys were born, I wrote VUL's on them right away to get a super low rate. Then I proceeded to pay a little extra at it to build up value. I'll turn it over to them one day, and they should have plenty of cash in it if they want to pull it out. Meanwhile, there is coverage there -- God forbid I ever need it.

Dude you are throwing away money. Cash that shit out now. Term life is the only way to go. Whole life rate of return is terrible. Only people that sell that garbage think its a good idea. Put your money in a mutual fund.

[2011GT]

http://www.daveramsey.com/article/the-truth-about-life-insurance/

[juiceweezl]

http://www.daveramsey.com/article/th...ife-insurance/

I have term policies on the wife and I. We have VUL's on our boys that were started before they turned 1. Considering the state of the market when they were born, VUL's made the most since for us to be assured a good return. I know how they work, and they're not whole policies. Furthermore, people shouldn't buy into 100% of what Ramsey says. I don't think very many people have gotten 12% annual on anything for a while now. His policies work for those who have no idea what they're doing. Me, I'll stick to what's got me where I'm at, as I'm pretty happy with it.

[2011GT]

I have term policies on the wife and I. We have VUL's on our boys that were started before they turned 1. Considering the state of the market when they were born, VUL's made the most since for us to be assured a good return. I know how they work, and they're not whole policies. Furthermore, people shouldn't buy into 100% of what Ramsey says. I don't think very many people have gotten 12% annual on anything for a while now. His policies work for those who have no idea what they're doing. Me, I'll stick to what's got me where I'm at, as I'm pretty happy with it.

Just trying to help. What's your rate if return on your kids insurance? Just curious...

[juiceweezl]

Just trying to help. What's your rate if return on your kids insurance? Just curious...

I'll try to remember to pull it tonight. I just remember I checked it with a lot of options at the time and felt good about locking this in. FTR, it's only about $25-30 a month per each one going into it. We have college funds for each getting fed as well along with other money being stashed for them. My kids are going to have way more in life that I did once they leave the nest. They had just better take care of me when I can no longer do it myself...

[2011GT]

I'll try to remember to pull it tonight. I just remember I checked it with a lot of options at the time and felt good about locking this in. FTR, it's only about $25-30 a month per each one going into it. We have college funds for each getting fed as well along with other money being stashed for them. My kids are going to have way more in life that I did once they leave the nest. They had just better take care of me when I can no longer do it myself...

That's not to bad a month. Usually it's around 200 or so. Those are almost term life prices. Depending on the amount insured for

[BMCSean]

That Ramsey article is junk. All of those numbers are off, term and whole.