I’ve mentioned it before, but we currently do not have life insurance. Yes, I know how irresponsible and dumb this is, particularly since we have children, yadda yadda yadda (<side fact: I googled whether its “yadda” or “yada” and urban dictionary had both spellings, so no consensus).
Well I’m happy to report that I finally got the ball rolling. But, BOY, does it feel like a PROCESS!
I was imagining going online, filling out some questions, getting the quotes, selecting the company I wanted, and BOOM – done. Not so much.
I went to Zander Insurance (who is endorsed by Dave Ramsey), filled out some questions, then got a call from a nurse who gave me an entire hour-long interview (I had pregnancy complications due to the twin pregnancy and – whoa – that opened up a whole rabbit hole of additional questions!!!). The next step is that someone is going to come to my house for an actual assessment, complete with blood draw and who knows what else?! Gulp. I might’ve shaved a few pounds off my weight. Clearly that will have to be rectified, given that I’m assuming they’ll actually weigh me. What all else is included in the home visit, aside from the blood draw? I’m healthy and disease-free, but it still makes me nervous for some reason. Ugh! I don’t even know why but I’m just dreading it (maybe the whole weight thing???)
Als0….not even sure that husband will be able to get covered (and he was the whole impetus for this, given his mystery illness). He hasn’t done the hour-long interview thing yet. Any knowledgeable readers who know about this type of stuff out there? Husband’s official diagnosis was “atypical meningitis.” Is that type of thing a deal-breaker for life insurance? I mean, I know meningitis can cause death and once you’ve had it, your odds of getting it again go up. This is gonna be a problem, right? Sigh.
We will press on. I just wanted to give a quick update about the status of this. I thought that by now we’d have it all wrapped up and I’d simply be reporting on the monthly cost and how it would influence our budget. Instead, we still have no idea if we’ll even be covered???
What I DO know is that we are signing up for a 20-year term life policy (which is much more affordable than a whole life policy), and although we haven’t “locked in” an amount yet, I’m thinking we’ll do $350,000 policies (for each of us). Ramsey suggests 10 times your annual salary, which would put us at roughly $500,000 each, but I feel comfortable with a lesser amount. What do you guys think? I learned a LOT from your comments about my car insurance coverage, so I’d love to hear your thoughts on this!
What would you suggest is good for life insurance coverage? Do you follow the “10 times your salary” rule? What guidelines have you used to select your own life insurance policy amount? What would you suggest for us?