I’m not a financial adviser, just a career engineer whose husband is an economist and a very good amateur financial planner. We’ve always done only term life insurance. It has lower premiums and we were both able to get good deals on the premiums through our employers. Now that hubby has retired he has term life for only $100k benefit, trying to keep the premiums ftom going too high. I still have a $250k benefit for term life through my employer,will cut back to $100k when retire at the end of 2018. With $2 mill in liquid assets, we are basically self-insured at this point.
One thing we have that I would strongly recommend: before you get too old and start having chronic health problems, sign up for long term care/nursing home insurance. We’ve been enrolled since our early 40’s, currently pay $200 per month for both of us. Benefit right now is $200 per day (per person) through Prudential. You can have a nice nest egg quickly wiped out with the cost of nursing home care. The vast majority of workers do not sign up for this kind of insurance and mistakenly think Medicare pays for nursing home care. Medicare does NOT pay for this.
That's a good payout. My wife's mom is in assisted living for dementia, costing just under $6000/month. That's in line with your $200/day benefit. Mom-in-law has savings which covers the care, my wife has power-of-attorney and takes care of everything. Mom-in-law is now 92, physically strong but her mind is a mess. I'm relatively healthy, never need doctors but don't think I'll live that long. But one never knows what the future holds, I could have a stroke and need nursing care. Thanks for the tip.