I have seen the ads for Colonial Penn, etc. but have always been skeptical. I am wondering if you all could give me some insight into this. Does anyone have this type of insurance? No questions asked insurance is what I guess you would call it. I just don't know if I should trust it. I want LI for my husband and I, and these seem inexpensive. Our income won't allow for anything high priced. Thanks for your help!

Chey

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“MyCoupons Is #1 for Holiday Shopping”.

When we looked into it we decided it would benefit us more to put the monthly cost of LI into payment on principal on our second mortgage. The return is 11% immediately. We are pretty healthy and 38 & 45 so we feel this serves us best. There is no way we are going to get an 11% return on our money elsewhere.
Now that being said we just pray and hope nothing bad happens to one of us. He has a minimal LI through work and there is no amount of money that could replace me anyway LOL.

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The political system is broke and it's a joke.

We have all of our insurance at one place and they cut us a huge break on the life insurance. We use state farm for everything.

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Too many people spend money they haven't earned to buy things they don't want, to impress people they don't like. - Will Rogers

We also use state farm for dh & I it was $12 a month a piece for $100 k I upped mine though to $250k so it went up to $25

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mom of 3 greats girls

Wow, I wonder if we're overpaying! We pay $58 a month for both of us with about the same coverage! Are you guys young? We're 36 and non smokers? Just curious, I never compared prices, just went with a friend who sold it.

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"A true friend is someone who thinks that you are a good egg even though he knows that you are slightly cracked." ~ Bernard Meltzer

My hubby and I are working with a financial advisor. He told us the best way to get life insurance is to get a term policy and just renew after the term is up. Say you are paying a premium on a $500,000 policy and in your life time you only pay in $250,000 your beneficiary only gets what you paid in, not the entire $500,000. That is something insurance companys wont ever tell you and thats how they make their money.. hope this has helped some

So with the term insurance, your beneficiary will get the whole amount of the policy? If this is what I am understanding, that is great info, mommytimes2. Thank you. And thanks to all of you for your input. I am still curious though to hear from those who have use places like Colonial Penn. Will check out State Farm when I get home from work.

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“MyCoupons Is #1 for Holiday Shopping”.

I looked on Colonial Penn's website and the highest amount of coverage I would be able to get through them would be$25,000 for a 20-year term life policy (I'm only 33). That would not be sufficient for coverage for me.

You can go to a site like Select Quote, etc. and put in your information and get quotes from several different companies for term LI. Here are a bunch of different companies that you can check into.

Select Quote
(800) 343-1985
SelectQuote: Term Life Insurance

InsuranceQuoteService
(800) 972-1104
Free term life insurance quotes online @ iquote.com

Term-Quote
(800) 444-8376
Term Life Insurance - TermQuote® Insurance Services

Master Quote
(800) 337-5433
Welcome to MasterQuote!

Quotesmith
(800) 556-9393
Car Insurance: Get an auto insurance quote: Insure.com, plus term life insurance quotes, health insurance quotes, home insurance quotes, medical insurance quotes, dental insurance, renter insurance quotes, motorcycle insurance quotes, life settlement

InsWeb
(800) 871-5075
www.insweb.com

AccuQuote
(800) 442-9899
Term Life Insurance Quotes Online - AccuQuote Term Life Insurance

No, what she is saying is that if you purchase $500,000 worth of insurance and it's a TERM INSURANCE and while you are still living you pay $250,000 in premium that will be the amount you will get back NOT the whole $500,000 so the company wins because they invest your money all those years and don't even pay you interest when it's time to pay they only pay the exact dollar you have paid in premium. I hope this helps.

With both term life and whole life your beneficiary will get the face value should you die while the policy is in effect. Policy is for $100,000 - either way that is the payoff at your death.

The difference is TERM, which is much cheaper to buy, has no value except when you die. (some do have dismemberment clauses) Some long term policies decline in value somewhat with the length of the term as the likelihood of your death rises but has nothing to do with amount of your payments.

WHOLE Life is much more expensive but considered an investment (mostly a poor one.) The money you pay in earns equity and after 2 years you can cash it in (or borrow against it.) minus fees, losses etc from the insuring/investment company. It was more popular in the 40's - 60's when there were fewer savings options.

You can get quotes on cheap term here Cheap Term Life Insurance

And a better definition of the difference:

Difference Between Term And Whole Life Insurance

A fairly good look at Colonial Penn:
You're better off rejecting 'guaranteed acceptance life' policy - MarketWatch

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Now I am confused. I will have to read over this a bit more carefully this weekend when I haven't worked a 10 hour day. You all are amazing for taking the time to help me. Thank you so very very much!

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“MyCoupons Is #1 for Holiday Shopping”.

Insurance cannot be discussed in blanket statements, each policy needs to be considered and understood. Not all term policies can be renewed, or will be at a greater rate of premium. Term is for a specified period of time (say 20 years) and if the person is still alive at the conclusion, all those premiums are gone.

Now. On your example of a $500,000 policy, I'd be quite surprised the premiums would amount to 1/2 of the policy like you said, or be required to have paid $500,000 so the beneficiary gets $500,.000....other investments would be much better. Even a savings account after paying interest.

Whole life typically allows for premiums to be paid for a specific amount and as long as the contestability period is gone, the beneficiary receives the face value. If premiums are not being paid, some policies eat themselves up until they are gone, some are simply dropped. Some will allow for loans and this would reduce the payable amount as well.

Insurance companies invest the premiums and typically do quite well. They are hedging that the person stops making payments to be come in default, or, that the survivors never claim the proceeds. I sometimes wonder how many policies go unclaimed because families don't talk/know about these things.

Go to Zander Insurance.com and get a quote, get term life only, never never buy whole life.

We have both Term and Whole Life. Our plan was to have the term policies until our kids are through college. At that point, we'll need much less to continue should one of us die. After our kids are through college and we are no longer responsible for them, we will drop the term and just continue with the whole life.

Lisa

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