Where should I start looking into Life Insurance?

Question

I am 30 years old, married homemaker. My Husband works. I have been getting alot of mail lately since turning 30, about life insurance, so I am thinking its a sign I better get some, I have never thought about it before, so I dont even know where to start, whats the best coverage and which company, any kind of Friendly advice? Thanks!

Answer 1

For your husband you probably need a term life policy that would help replace his income if something were to happen to him and allow you to maintain your lifestyle and continue to be a homemaker.  Most financial experts would say as a general rule 7 to 10 times your husbands annual income of term life insurance.  If you plan on never going back to work then you might need 15 to 20 times his income in order to fund you through your retirement years.  A 20 year term policy to make sure your children are adults and you guys are pretty financially sound.  A 30 year term policy will get you almost to your retirement years, at which time you should hopefully be to a point where you won't need to replace his income because your retirment will be fully funded.  

For yourself you probably need a smaller term policy.  You don't have income to replace, but you provide a service to your family in keeping the house in order and raising the children that would have to be replaced.  

My wife and I are right around 30 and I work and she stays home.  We both have 20 year term policies and mine has a face amount 3 times as large as hers.  I have an amount on myself so that she could stay home and continue to raise the children, but would probably have to go back to work or remarry at some point once they get older in order to maintain her lifestyle into retirement.  

If you both are reasonably healthy I think you will be surprised how inexpensive this kind of coverage is.  I would encourage you to talk to a really smart independent life insurance agent or go to one of the online insurance quote sites that will list multiple companies.  

Answer 2

The best thing to do is call a company and ask them to have a rep come to your house to discuss different rates and plans with both you and your husband.

Good luck.