Hi,

I currently have 3 Life Insurance policies for total coverage of $1.578MIL. This coverage currently costs me a combined total of $76.09 a month.

Principal - $78K (Employer Plan) $8.51 Month
Amica - $1MIL (10yr Term) $48.33 Month
AIG - $500K (10yr Term) $19.25 Month

Obviously the Principal plan needs to go because it is way out of line in terms of cost with the other two plans.

I'm thinking about getting a new 20 year Term Life policy for $2MIL and cancelling the others. I have done some initial rate searching and it looks I can get a rate of $99 a month for a 20yr Term Life AIG policy, and AIG is one of the best life insurers on the market.

I'm 28 years old, 29 in March and it seems like it is time to start thinking about locking a rate in that will be affordable for the next 20 years. If I let the 10 year term policies expire, I'll be almost 40 when I have to renew and the premium for me then will be 3-4 times what it is now. With a 20 year I will be 50, in a different asset position and will likely need far less insurance. That may not be true at 40 and probably wont as I'll be paying for college for two.

I currently make $78K a year, and I have a wife and 3 year old son. My wife does not work, so she has no source of income if I die. We are planning to adopt in the next 3-5 years, so we will have more than one child to put through college. If I die, life insurance has to pay for that as well as her income. I have maxed out my social security credits already, so that's there until the kids are 18, but that is only a few thousand per month and not reliable enough to depend on.

Is $2MIL enough? Are there better ways to achieve my same goal of providing for my family if I die?

Is term insurance the way to go?






I didn't find the right solution from the internet.
References:
https://arstechnica.com/civis/viewto...?f=25&t=149451

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