Reader’s Question:

I already have a life insurance policy which I purchased here in Indiana early on in my life. I’m afraid it will not be sufficient since I got it my 30′s and I’m now in my 60′s. Would it be wise to get a senior term life insurance so my children will get more when I die?

Flor

Indianapolis, IN

If you already have a whole life insurance in Indiana and you think that it will not be enough to add to the financial support you leave behind for your family, then it is still a wise decision to get senior term life insurance. This type of life insurance policy costs less than a whole life insurance plan. Your children and other recipients will get the agreed-upon payment if you die within the term stipulated in your senior term life insurance policy. But if you are still alive during the term, you won’t get any benefit so you may opt to renew it.

Since you bought your life insurance policy so many years ago, the benefits your recipients will get might not be enough at present time. Moreover, the cost of living keeps on increasing, so have to watch the amount of life insurance coverage you carry.

Other costs have to be paid attention to the moment you die, apart from your lack of financial input. Your recipients would have to pay for your memorial services. At present, the average memorial costs can be up to $10,000, and since the cost of living keeps on rising, so could the costs of the average memorial service. If you carry an extra senior term life insurance, it would aid your recipients to pay for the funeral expenses.