Welcome to Hogville!            Do Not Sell My Personal Information

Life Insurance Question

Started by Ragnar Hogbrok, June 08, 2008, 08:17:55 pm

Previous topic - Next topic

0 Members and 1 Guest are viewing this topic.

Go Down Pages1

Ragnar Hogbrok

June 08, 2008, 08:17:55 pm
I have an opportunity to get a half million dollars in life insurance through age 95 with a locked in rate of about $60/month.  Coupled with my SGLI, that would leave my wife a cool million bucks in the case of my untimely demise.  Also, I can take a "loan" out from the cash value that it accrues and either pay it back interest free or not pay it back, and it is subtracted from my beneficiaries' payout. 

Anyways, does that rate sound good?  Keep in mind (for those who don't know me) that I'm an Army Apache pilot, so any other insurances would have to have no military clause AND no aviation clause.  Is there another option I should look at?  I'm new at looking at life insurance policies and need some advice.  Thanks in advance.
"Every normal man must be tempted, at times, to spit on his hands, hoist the black flag, and begin slitting throats." ― H.L. Mencken

Hogville prediction formula:

1.  Insert bad news prediction. A loss, a recruit going elsewhere, a coach leaving, etc.
2.  Tag "hope I'm wrong," on the end.
3a.  Enjoy a correct prediction.
3b.  Act like you're relieved you're wrong and celebrate with everyone else.

hawgbawb

June 08, 2008, 08:35:13 pm #1
I get minimal life insurance as a benefit through my job, and that's all the life insurance I have.  I looked into it about 15 years ago and decided it was a bad investment. I'd rather give my wife a few thousand in an investment account, then take that $60 a month and dollar cost average invest it in her account each month, or up my 401K deferment. The best thing is to have enough of your own investments, and keep your debt under control, so that if something happens your family is taken care of. 

Insurance companies are a little like a Vegas casino that plays the odds. The house always wins.  For some people it makes sense, but did not for me.


I post, therefor I am.
John Highsmith Adams rocks.
 

SultanofSwine

June 09, 2008, 08:37:47 am #2
Dont know about the rate up on helicopters but in general the companies that will insure pilots have a flat rate up on the policies of either 2.50 or 5.00 per thousand in face value. Where is that company's AM Best and S&P ratings

Ragnar Hogbrok

June 09, 2008, 08:44:15 am #3
Quote from: SultanofSwine on June 09, 2008, 08:37:47 am
Dont know about the rate up on helicopters but in general the companies that will insure pilots have a flat rate up on the policies of either 2.50 or 5.00 per thousand in face value. Where is that company's AM Best and S&P ratings

I'm not sure, but it's offered through USAA, so it's guaranteed and pretty much a good value for service members.  But, again, I could be misinformed.  This is why I'm asking here.  This is my first time looking at a supplemental life insurance policy in addition to my SGLI.  I need some input from a variety of sources before I make a decision.
"Every normal man must be tempted, at times, to spit on his hands, hoist the black flag, and begin slitting throats." ― H.L. Mencken

Hogville prediction formula:

1.  Insert bad news prediction. A loss, a recruit going elsewhere, a coach leaving, etc.
2.  Tag "hope I'm wrong," on the end.
3a.  Enjoy a correct prediction.
3b.  Act like you're relieved you're wrong and celebrate with everyone else.

Eddie Piggard

June 09, 2008, 10:10:14 am #4
have you checked thoroughly about the "clause" in term.  I know, for myself, there was a 2yr waiting period before I could commit suicide and it pay off.  I thought it to be funny that they would even cover suicide, ever.  Your rates might be a little higher than a standered term, but they're should be someone out there that offers something.

I also agree.  it may sound good on the cash out policy, but at $60/mo, you can't be accumulating that much quickly.  Not enough to even think about borrowing against it for a "rainy day" issue.
Pray for Obama. Psalms 109:8

jwdento3

June 09, 2008, 03:31:14 pm #5
I just got a very similar quote -- $1M at $60/mo.

I think the key is to look at the companies AM Best ranking, which needs to be A+, A++, AAA or something like that.  USAA is typically a top tier insurance provider.
"From the start/ She knew she had it made/ Easy up 'til then/ For sure she'd make the grade/ Adorers came in hordes/ To lay down in her wake/ Gave it all she had/ But treasures slowly fade.

Now she's falling hard/ Feels the fall of dark/ How did this fall apart?/ She drinks to fill it up/ A smile of sweetest flowers/ Wilted so and soured/ Black tears stain the cheeks/ That once were so admired.

She thinks when she was small/ There on her father's knee/ How he had promised her,/ "You'll always be my baby."

"Daddy come quick,/ The dreaming tree has died/ I can't find my way home/ There is no place to hide/ The dreaming tree has died."

Ragnar Hogbrok

June 09, 2008, 03:56:17 pm #6
Quote from: CabotHog on June 09, 2008, 02:52:48 pm
USAA is a great company.

It sounds like a whole life policy. Is this correct?

Yes it is.
"Every normal man must be tempted, at times, to spit on his hands, hoist the black flag, and begin slitting throats." ― H.L. Mencken

Hogville prediction formula:

1.  Insert bad news prediction. A loss, a recruit going elsewhere, a coach leaving, etc.
2.  Tag "hope I'm wrong," on the end.
3a.  Enjoy a correct prediction.
3b.  Act like you're relieved you're wrong and celebrate with everyone else.

Ragnar Hogbrok

June 09, 2008, 06:18:58 pm #7
Quote from: CabotHog on June 09, 2008, 04:27:01 pm
Will they offer the same coverage to you with a term policy?


I haven't checked, but I'm sure I could get something comparable.
"Every normal man must be tempted, at times, to spit on his hands, hoist the black flag, and begin slitting throats." ― H.L. Mencken

Hogville prediction formula:

1.  Insert bad news prediction. A loss, a recruit going elsewhere, a coach leaving, etc.
2.  Tag "hope I'm wrong," on the end.
3a.  Enjoy a correct prediction.
3b.  Act like you're relieved you're wrong and celebrate with everyone else.

ArmyHog

June 10, 2008, 09:46:07 am #8
If you can get it at that rate, jump on it. Make sure the premiums are guaranteed, if they are it's a great deal.
Go Up Pages1