<p>OK, we first got term life insurance about 20 years ago after D1 was born. We rejected whole life because we didn’t care to use insurance as an investment (didn’t feel the amount 25 years down the road which would by then be small warranted the premium). Also for the death benefit amounts we were looking for, it made sense to go with term. </p>
<p>Now my 10 year fixed is coming for renewal by year end, and we’re scratching our heads to see what our term, amounts, and objectives should be. Ten years ago, our incomes hadn’t peaked, we were looking at three college expenses with no 529s, and had a fresh mortgage, so it was critical.</p>
<p>Now we have two almost done with college and the third getting ready, and we’re very lucky to be able to cover all three with 529s. We’ve played with several calculators which didn’t throw any red flags. Retirement and other savings, outstanding mortgage, and both our current jobs, and our lifestyles, all look reasonable and matched barring a mini-Madoff or a Zimbabwe. </p>
<p>So what would you use to determine if and how much insurance one would need as the big six oh approaches? I for one feel uncomfortable leaving any amount of substance as inheritance to the next gen unless a child is in some manner disabled. Is that a reasonable or naive position (based more by my prejudice) given my kids have lived comfortable lives and their future may be much harder than thier past? The last thing I want is for them to begin behaving like several of my coworkers who decided either not to have children at all or stop at one mainly because of financial considerations. But then again, I want them to sweat and celebrate, more so than what they’ve had to do.</p>