Ok, we're all gonna die!

[APACHEFIRE]

my question is, has anyone ever known of someone who has collected on life insurance?
im getting older and was just wondering.

[Wakalapi]

I went to "insurance school" and got a license to sell policies at one time. OMG it was the driest and most boring class I ever sat through, I couldn't have imagined how painful torture it was to endure. BLAH! But I learned it is far more complex than most people think and you could cheat yourself and/or your heirs out of money in the long run by buying insurance you don't need or failing to buy coverage you do.

The simplest form of life insurance is "term life" and it is very simple: you die, we pay. Term life has no cash value, meaning, it does not accumulate a balance you can withdraw or reinvest during your own lifetime. The primary purpose of a term life policy to pay the costs of your own funeral services and burial plus final medical expenses and other bills, and provide a financial "boost" to your dependents so they can survive for awhile without you being their breadwinner. There are also Whole Life, Variable Life, Universal Life and Universal Variable Life policies that offer different combinations of methods to acrue investment cash value and some types can involve the option of stock investment. There are very specific and exhaustive laws regulating the insurance industry. All insurance brokers need to hold an insurance license to sell basic policies as well as a Series 6/63 securities license to sell policies that have anything to do with the stock market. A good broker will give you information to make an intelligent decision but will not push you into one.

As non-fun as it sounds (and is) you really, really need to just sit down with a licensed insurance broker in your State who can help you analyze your assets, liabilities and goals to establish your final financial plan. Then go see another two or three of his/her competitors to compare their recommendations and also to find the best deal. Once you know what you need, you can also just Google "Life Insurance" and get some quotes online.

[APACHEFIRE]

well thank you so much WAKALAPI! im glad you gave me such comprehensive information. i kinda had an idea it would be like this. but still, my question i am still wondering about is....has anyone on powwows.com ever known of someone whos family collected on 'term life' insurance? it sounds like what i want. unless there is a tax on it. im permanently totally disabled and only collect bi-monthly checks from workers comp. i wont be able to ever get back to work. its been 6+ years since my injury. i have two children, 20 & 22. they still live at home with their dad because of the high cost of living in southern california. so i really need to have something to cover all my burial, and medical bills. mainly though i would love to leave them enough cash to give them a real boost in life. i was going to put a questionnaire on this thread, i just didnt do it correct. but again, thank you for this information and just leaving a post!

[Wakalapi]

No prob. In short, if you're looking for term life go for a policy worth about ten times the annual income your family is used to living off of. You might give something like Term Life Insurance | SelectQuote a try too. The site compares several top companies.

[APACHEFIRE]

No prob. In short, if you're looking for term life go for a policy worth about ten times the annual income your family is used to living off of. You might give something like Term Life Insurance | SelectQuote a try too. The site compares several top companies.

thanks again WAKALAPI! you know, i guess i have to assume that no one has ever known of anyone who collected life insurance! you are the only one who has responded to this question! *laughing*