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Author Topic: Another Insurance question...Life Insurance  (Read 4561 times)

brujomar

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Another Insurance question...Life Insurance
« on: November 23, 2009, 05:00:45 PM »
This isn't necessarily just an rv issue, but we are going full time starting July 2010....I am working on the 'budget', primarily the fixed expenses like the 5er and truck insurance (got that done), health insurance (working on that one)....and now am looking at my existing term life insurance that I have carried for dozens of years...kids are grown, spouse and I have a decent retirement package(s) and when I we hit Social Security age, that will add in. Mortgage/ credit debt, etc. won't be an issue. I am 58, spouse is 59. When I add up the vehicle insurances, a health insurance plan (..wife's cobra will carry us until end of 2010..I am retired), then add in life/other insurance, it becomes a good percentage of the monthly income...

I know each family situation requires different approaches and there is no set answer here, but with the darn insurance costs going up, somethings got to give somewhere....so....I am thinking I need something to 'bury' me with, but other than that not really sure what the 'trends' are?

Do most of you still carry some sort of life insurance? or have you replaced it with 'other' insurances....ie: long term care etc....

Just curious what's going on out there......different views/opinions...all inputs/discussions would be helpful....
Forest River Cardinal 3675RT, 3 slides
Auto level, Custom Paint
Dodge Ram 3500 Lariat Mega Cab
Seasonal camphost volunteers. Cruise ship travelers 6-8 weeks each year. Grandkid time in Reno and Henderson, NV..Winter months in our Mx condo. Or on the road in the rv!

COMer

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  • John & Darla
Re: Another Insurance question...Life Insurance
« Reply #1 on: November 23, 2009, 05:16:16 PM »
I'm sure you're right about how each family's situation is different but we maintain life insurance we pay for, based on how many people are dependant on us.  As the kids get older, they aren't.  If the grandkids aren't that makes a difference.  We are self-insured in some areas because we don't have people who need us not to be.
John & Darla
Home near Erie, PA
Spend half the year with Campers on Mission

brujomar

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Re: Another Insurance question...Life Insurance
« Reply #2 on: November 23, 2009, 05:26:06 PM »
How do you 'self insure'... do you put 'x' number of dollars aside each month to cover unknowns?

In the case of health insurance, a catastrophic event (heart attack/intensive care etc) could run $100K or more...can you self insure that?

Yah, the grandkids could be a concern, but perhaps some yearly dollars gift instead of presents is a viable option....say, something they couldn't get to until age 21 or so..? ....

Thanks for input
Forest River Cardinal 3675RT, 3 slides
Auto level, Custom Paint
Dodge Ram 3500 Lariat Mega Cab
Seasonal camphost volunteers. Cruise ship travelers 6-8 weeks each year. Grandkid time in Reno and Henderson, NV..Winter months in our Mx condo. Or on the road in the rv!

COMer

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  • John & Darla
Re: Another Insurance question...Life Insurance
« Reply #3 on: November 23, 2009, 05:31:53 PM »
We are self-insured in "some areas" and health insurance is certainly not one of them.  No alternatives I would be comfortable with in that area and since I turned 65, my health care expenses have dropped.
John & Darla
Home near Erie, PA
Spend half the year with Campers on Mission

scottydl

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Re: Another Insurance question...Life Insurance
« Reply #4 on: November 23, 2009, 05:47:13 PM »
The term "LIFE insurance" always seems kinda paradoxical (if that's a word), since you are dead before it kicks in.  ;)  Contrary to what a life insurance salesperson would tell you (no offense to any of them reading this), its best use is to replace your income and take care of survivors if anything happens to you.  If your dependents are gone and grown up, and your wife would be financially sufficient without you around, then there's no real reason to keep the coverage.  Most of us realize that a big payout upon a loved ones' death is not what makes life enjoyable, so why pay for something you don't really want or need?
Scott, wife, 3 boys... and the dog
- 2008 Forest River Wildwood 32BHDS
- 1995 Chevrolet Suburban C2500 tow vehicle
- 1994 Thor Residency motorhome... owned 2007-2012

Gary RV_Wizard

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Re: Another Insurance question...Life Insurance
« Reply #5 on: November 23, 2009, 05:58:16 PM »
We don't carry any life insurance anymore. My wife is provided for if I die (she gets the pension income and has her own SS) and the house is paid for. My retirement plan includes a death benefit sufficient to cremate me, which is all I ask. The bank can have the motorhome if it still isn't paid for (and it probably is not!). Our daughter knows she should not expect to inherit anything.
Gary
--------------
Gary Brinck
Summers: Black Mountain, NC
Home: Ocala National Forest, FL

Wendy

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Re: Another Insurance question...Life Insurance
« Reply #6 on: November 23, 2009, 09:47:30 PM »
We have enough life insurance to pay off the home mortgage if either one of us dies. My SS is enough for me to live on if I don't have to make a house payment. Mike's VA is enough for him to live on if he doesn't have to make a motorhome payment.

Wendy
Wendy, Mike, and Gordon
~We can't be lost because we don't care where we're going~
Here's where we are http://map.datastormusers.com/user2.cfm?user=2276
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SCR

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Re: Another Insurance question...Life Insurance
« Reply #7 on: November 25, 2009, 12:57:31 PM »
We don't carry any life insurance anymore. My wife is provided for if I die (she gets the pension income and has her own SS) and the house is paid for. My retirement plan includes a death benefit sufficient to cremate me, which is all I ask. The bank can have the motorhome if it still isn't paid for (and it probably is not!). Our daughter knows she should not expect to inherit anything.

Perhaps your financing of your motorhome is different then a friend of mine who recently passed. Because the motorhome was in both their names the wife had a substantial amount to pay after the bank took their motorhome back. The difference was between the amount the bank sold the rig for and the amount they owed. Had the rig been in just his name the bank would have taken the loss and probably would have tried harder to get a higher price for the rig.

She was totally unprepared for the $31,000.00 + she was stuck with. In the end she had no alternative but to sell her S&B home and move in to rent controlled senior housing to make ends meet. In some cases just because the bank takes the rig it does not mean that monies will not still be due.

Just a thought.... for what it's worth.

COMer

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  • John & Darla
Re: Another Insurance question...Life Insurance
« Reply #8 on: November 25, 2009, 01:46:02 PM »
Sounds like there may be more to the story than they told her.  If they financed the rig, the bank would probably not have allowed it to be in just his name if they were borrowing money.  For the very reason that they want both spouses to be responsible.  I doubt they would have approved the loan if she hadn't signed also.  If she did, then yes, she is still responsible for the debt.
John & Darla
Home near Erie, PA
Spend half the year with Campers on Mission

SCR

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Re: Another Insurance question...Life Insurance
« Reply #9 on: November 25, 2009, 03:24:34 PM »
I don't know if there was more to the story or not but I doubt it. We got to know them rather well.

Our 5th wheel and TV are both in only one name and we had no problem at all with financing but that was several years ago. Perhaps things are different now.

RLSharp

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Re: Another Insurance question...Life Insurance
« Reply #10 on: November 25, 2009, 08:00:04 PM »
Had the rig been in just his name the bank would have taken the loss and probably would have tried harder to get a higher price for the rig.

Why wouldn't the bank go after the loss from his estate, if the rig had been in just his name. That is what probate is all about--to make sure that all of the deceased bills are paid and all of his remaining estate passes to his heirs.

Richard & Linda
Rochester, NY (summer)
Tucson, AZ (winter)

SCR

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Re: Another Insurance question...Life Insurance
« Reply #11 on: November 26, 2009, 07:55:48 AM »
Why wouldn't the bank go after the loss from his estate, if the rig had been in just his name. That is what probate is all about--to make sure that all of the deceased bills are paid and all of his remaining estate passes to his heirs.


There was no estate to speak of, no life insurance just her house. The economy hit their investments really hard and took most of that. Then he lost his job. I can't help thinking that all this had something to do with his sudden heart attack at 56 that took his life. All and all a really sad economic disaster story.

Enjoy life while you can, you never know what tomorrow will bring.

Biker56

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Re: Another Insurance question...Life Insurance
« Reply #12 on: November 26, 2009, 09:35:44 PM »
Depends on what policy you have now.
I have a small one 10K that pays enough dividends & interest every year to make the payments and a little increase on the policy.
It has done that since I retired 10 years ago. Only thing it cost me a year is the little taxes on the interest.
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Bob Maxwell

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Re: Another Insurance question...Life Insurance
« Reply #13 on: November 27, 2009, 10:28:30 AM »
One way Bev and I found to cut death costs was in finding an educational service that on notification of our death provides for all mortuary expenses including cremation and two certified death certificates at NO COST. I had her ashes in 2 1/2 weeks and they were able to harvest organs within 1hr of her death and get tissue for various labs and UNM to study.

As to life insurance, following the major heart event of '05, we put in all on me save the FMC $$$ which also would have come to her. With the arrival of the cancer over three years ago I sold the coach and forgot that the FMC coverage was now gone. . .

So, I'm well insured and am just making it. Make sure some life insurance is on both of you. We assumed I would die first.  Man proposes, God disposes.

 
Adiós. . .

Bob †
and wife Betty Font 

. . . still ridin' for the brand.

1994 Suncruiser 34RQ, Cummins 5.9L/230 Allison 3060
'08 Kia Spectra5,
FMCA SKP

Holbrook AZ, west of the Petrified Forrest NP on I-40

 

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