Mar. 5, 2007
My in-laws are retired, ages 68 and 65. They have a decent total yearly income, some savings, an annuity, and a house that is paid off. All their children are married and financially sound. Their insurance agent is trying to sell them a whole life policy that would double their living expenses. Is this a good thing? Do they even need life insurance? Should they be looking at long term care insurance instead?
John, New Jersey
Dear John,
Just because your in-laws are retired and their children are financially sound does not mean that they should discount life insurance entirely.
If one of them were to die, would the loss of that income put the other in financial difficulty? Is the annuity dependent on the life of one of your in-laws? If so, they may want to consider buying life insurance.
Your in-laws should ask the same questions about their needs and their assets as anyone else considering life insurance. What do they owe, what do they have, and how would a loss of income affect the surviving partner? The Insure.com Life Insurance Needs Estimator tool can help your in-laws decide how much life insurance they might need.
Our article, The basics of long term care insurance, can help your in-laws decide if they should buy long term care insurance.
Back to the Forum
Disclaimer: We are journalists, not financial planners or insurance brokers. Nothing we say should be interpreted as a recommendation to buy or sell any insurance product, or to provide other financial or legal advice.
British Citizens:
Canadian Citizens:
