Is it too early to think about life insurance?

Question

My husband is 36, I am 28 and we have a 5-month-old baby. What life insurance plan should we consider? I'm in the FL area.

Answer 1

no it's never too early and if you have a child you now need to look out for the baby's interest.

Answer 2

You're doing this wrong.

First, it's not too early.  Second, set the goal FIRST, and then educate yourself about products, to find the one that meets your GOALS.  

Some agents will try to oversell you on gimicky products that will make them lots and lots of commission money.  Remember that.  And when considering life insurance as a savings or investment tool, DO THE MATH.  

Life insurance is for if you die.  Investing is for if you live.  DO NOT CONFUSE THE TWO.

Answer 3

It is never too early to think about life insurance. I would suggest getting it on your baby as well.  If you get a whole life policy on your child now then when they are older they can take over the payments and the price will be cheap!  I have ins on my children and it is about $12 a month for whole life and the price will never change, to get it on an adult would be about 30-40 a month. I always suggest whole life b/c term will cancel after the agreed upon term or you will have to renew it after the term is up and the price will always increase!  Good thinking ahead for you a a couple and for your baby!

Answer 4

It's definately not too early!  My husband and I set up our life insurance 6 months before our first child was born.  Definately do some research online first to get an idea of how much coverage you need, so you don't get the hard sell for something you don't need.  A 20 or 25 year term insurance policy meets most families' needs and provides security for the time when kids are young.

Answer 5

Any life insurance plan is better than none.  They amount of life insurance is more important than the type (but level term seems to suit the needs of most).

Talk with a few different professionals to get multiple perspectives.  Shoot, one of them may as well be me...

Answer 6

It is not too early to buy life insurance if you have a 5 month old baby.  

There are a lot of different plans.  The two main types are permanent insurance (usually offering level lifetime premiums, cash value build up) and Term insurance (lower premiums initially, increasing at each renewal, and expires with no value at a certain age).

Some will tell you to buy all permanent insurance - be careful with that advice, it's usually very expensive and not in your best interest.  A small amount might be good (but be sure to get some term too)

Many will tell you to only buy term insurance and that is the ONLY way to go for any life insurance need.  They will also say that permanent insurance is a rip off.  I meet so many 50 and 60 year olds wishing they had bought some permanent coverage when they were 30.  But at 30 death seems so far away.

There is a place for both types of coverage.  The most important thing is having enough coverage in place.  I have never delivered a death benefit cheque and been told that the type of insurance was wrong.  But I have been told that they wished they had bought more.

So buy as much coverage as you can reasonably afford.  20 year term is probably the smartest choice but 10 year term is fine too if that fits your budget now.

Congratulations on being new parents by the way!

Answer 7

It is not too early - you need it now.  Go to Yahoo Finance, click on "Personal Finance" and read the section on life insurance.

Answer 8

I don't think it is ever too early to think about life insurance, especially if you have a child.  I don't know about plans specifically, but you can ask your health insurance provider.

Good luck!