Author Topic: Insurance Needs  (Read 691 times)

civil4life

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Insurance Needs
« on: January 28, 2018, 05:34:43 PM »
Hey All:

I am pretty sure I know the answer, but want to get feedback from the group.

A few years ago I invested in a few different insurance policies that I am pretty sure I do not need. 

Whole Life
Critical Illness
Accident
Disability

I know I do not need the Whole Life.  I plan on dropping it later this year when there is a jump in the payout.  The others do not have any payout if you drop the insurance.

The critical illness is coverage if you have a major illness - heart attack, stroke, cancer
I originally got this because I have had melenoma in the past.  But I really think it is just money down the drain.
Accident well I have no good excuse for it. 

The one I would keep is the disability. 

Here is a link to the company the policies are through http://www.familysecurityplan.com/

Is there any reason I should keep these policies?

plog

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Re: Insurance Needs
« Reply #1 on: January 28, 2018, 07:23:38 PM »
No.

1.  Not to be pedantic, but insurance isn't an investment.  Especially illness, accident and disability.  If you want to put up a semantic argument, whole life might be, but even then it's a horrible investment.

2. Accident and critical illness and cancer and their ilk is masochistic gambling.  All that stuff is  a bet for specific horrible things happening to you.  Instead, you should hedge against general bad things happening in life---disability is that hedge.

So you are right---cancel all except disability.  Which you drop when you become FI