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Near Death Experience and Life Insurance
Old 04-18-2016, 06:28 PM   #1
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Near Death Experience and Life Insurance

Hi Again Everyone,

Over the weekend my wife, child, and I visited a friend and BBQ'd some steaks. I just had some dental work completed and could not chew on the right side. Of course I attempt to swallow a piece that wasn't.. well chewed all the way. Needless to say it did not go all the way down and was not a fun experience.

However, one good thing did happen! It reinvigorated my desire to purchase some additional life insurance and reinforce to the wife where our assets are located! She was not to happy with me sitting her down with spreadsheets lol

Quick rundown about our situation:
I am 34 years old and in the USAF (E-7) with 14 years time in service. My wife wife is a stay at home mom. At 20 years of service I will qualify for a pension but could stay longer to gain an additional 2.5% every year. If something was to happen to me after I retire my wife is eligible for half the pension amount through SBP.

Right now I have $400k SGLI insurance but that will expire after I leave the military. We can transfer over to the VGLI but it is an extremely expensive plan(VGLI Premium Rates - Life Insurance). I was thinking about purchasing an additional 30 year term life insurance policy. USAA is quoting approximately $25/month for $300,000. This would last until I am in my 60's and almost eligible for whatever version of SS exists.


Would you purchase an additional level term life insurance policy now while we are young in addition to the SGLI? The ultimate goal is to keep the family well provided for should something prematurely happen.
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Old 04-18-2016, 06:34 PM   #2
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Originally Posted by trixs View Post
Hi Again Everyone,


Would you purchase an additional level term life insurance policy now while we are young in addition to the SGLI? The ultimate goal is to keep the family well provided for should something prematurely happen.
I think I would just Fletcherize my food.

https://en.wikipedia.org/wiki/Horace_Fletcher

Ha
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Old 04-18-2016, 06:39 PM   #3
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I think I would just Fletcherize my food.

https://en.wikipedia.org/wiki/Horace_Fletcher

Ha
LoL - Learn something new everyday. I ultimately fail at Fletcherizing.
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Old 04-18-2016, 08:22 PM   #4
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Quote:
Originally Posted by trixs View Post
Hi Again Everyone,



Over the weekend my wife, child, and I visited a friend and BBQ'd some steaks. I just had some dental work completed and could not chew on the right side. Of course I attempt to swallow a piece that wasn't.. well chewed all the way. Needless to say it did not go all the way down and was not a fun experience.



However, one good thing did happen! It reinvigorated my desire to purchase some additional life insurance and reinforce to the wife where our assets are located! She was not to happy with me sitting her down with spreadsheets lol



Quick rundown about our situation:

I am 34 years old and in the USAF (E-7) with 14 years time in service. My wife wife is a stay at home mom. At 20 years of service I will qualify for a pension but could stay longer to gain an additional 2.5% every year. If something was to happen to me after I retire my wife is eligible for half the pension amount through SBP.



Right now I have $400k SGLI insurance but that will expire after I leave the military. We can transfer over to the VGLI but it is an extremely expensive plan(VGLI Premium Rates - Life Insurance). I was thinking about purchasing an additional 30 year term life insurance policy. USAA is quoting approximately $25/month for $300,000. This would last until I am in my 60's and almost eligible for whatever version of SS exists.





Would you purchase an additional level term life insurance policy now while we are young in addition to the SGLI? The ultimate goal is to keep the family well provided for should something prematurely happen.

Yes. You can always change it if feel it is no longer beneficial. I wish I had done this years ago instead of relying on my employers policy.


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Old 04-22-2016, 07:24 PM   #5
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Quote:
Originally Posted by trixs View Post
Hi Again Everyone,

Over the weekend my wife, child, and I visited a friend and BBQ'd some steaks. I just had some dental work completed and could not chew on the right side. Of course I attempt to swallow a piece that wasn't.. well chewed all the way. Needless to say it did not go all the way down and was not a fun experience.

However, one good thing did happen! It reinvigorated my desire to purchase some additional life insurance and reinforce to the wife where our assets are located! She was not to happy with me sitting her down with spreadsheets lol

Quick rundown about our situation:
I am 34 years old and in the USAF (E-7) with 14 years time in service. My wife wife is a stay at home mom. At 20 years of service I will qualify for a pension but could stay longer to gain an additional 2.5% every year. If something was to happen to me after I retire my wife is eligible for half the pension amount through SBP.

Right now I have $400k SGLI insurance but that will expire after I leave the military. We can transfer over to the VGLI but it is an extremely expensive plan(VGLI Premium Rates - Life Insurance). I was thinking about purchasing an additional 30 year term life insurance policy. USAA is quoting approximately $25/month for $300,000. This would last until I am in my 60's and almost eligible for whatever version of SS exists.


Would you purchase an additional level term life insurance policy now while we are young in addition to the SGLI? The ultimate goal is to keep the family well provided for should something prematurely happen.
AAFMAA has a lower priced term life insurance than SGLI, better pricing than USAA by far.
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Old 04-22-2016, 09:03 PM   #6
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I'm so well insured, I'm worth more dead than alive. My wife will be super-rich. I sleep with one eye open now!
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Old 04-22-2016, 10:08 PM   #7
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You should also check and see what the social security survivor benefits would be for your surviving spouse/children. It is often more than people realize, and can offset the need for life insurance.
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Old 04-25-2016, 10:30 AM   #8
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Sorry that happened to you OP...how scary!

I definitely think getting additional life insurance now is a good idea. We're a military family and purchased life insurance in our mid-30's. Our only regret is not getting more of it when we did. We both bought 20 year policies which are set to expire in a few years. Looking for insurance now with all of our health issues is ridiculously expensive. So our plan is to keep saving so we have a sufficient funds for our kids should anything happen to us. Plus, we found a rich relative who agreed to be the kids' guardian in case we both died (not joking ).

Good luck to you and thank you (and your family) for your service.
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Old 04-25-2016, 10:43 AM   #9
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FWIW, one i much more likely to be disabled than die at your age. And, if one disabled then he or she will probably continue to be an added expense for many years, unlike a person who meets an untimely end. Take a look at disability insurance.

When I was younger and had children in school, I bought enough to pay our then very high ($1000 a month) mortgage. I had a 6 month wait to collect a benefit which kept the premium low. But, there was no "if he can work any job" clause since I did not want to lose the benefit just because I could flip burgers or sweep the floor.
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Old 05-07-2016, 01:56 AM   #10
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Yep...get 30 yr term while you are young. 1M policy may be around 1000/yr. I bought two in my 30s for the peace of mind.


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Old 05-07-2016, 11:51 AM   #11
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You can shop around and possibly get a lower rate. Husband and I found the most affordable rates through www.term4sale.com. We found a broker on that site close to home and he arranged in home medical appointment for us and then brought paperwork to us for final signatures too. Very easy process.

[I got a $500k 15 year policy for $238/yr for myself from an A rated company. I'm older than you so I'm guessing you could possibly get cheaper rates, unless you have any health issues. Quotes I was receiving were more expensive when I was trying to shop individual companies on my own.]
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