This is keeping me up nights

[Moxie]

DH can't get more life insurance (through no fault of his own). So, in 10 years, when his current policy expires, if he dies, I'll have a house with a mortgage, whatever he has in retirement and a 20k work policy. I'll have two young adults, one kid in college and 2 in high school. So, that's stressful.

[Tita Gidge]

:grouphug: That is extremely stressful.

 

I wish I had a magic wand and a solution.

 

In those ten years I hope you can get with a team and find creative ways to address some of your more scary concerns - paying down the house, determining options for college funding, and planning for your own later years.

 

My brother sells life insurance and has teamed with CPAs and Wealth Managers to find workable solutions for people like you. Contrary to the name, wealth advisors take people of all income levels. I didn't know that until he told me, I had assumed they were only for people who had, you know, WEALTH. He says some advisors make their entire living helping working- and middle-class families manage their finances.

[Callie]

Dave Ramsey suggest for those who are not insurable (because of cancer etc)that you should get a lot of small policies like the ones through your checking/savings account, different organizations you may belong to etc.

 

I cannot remember all the places you can get them but it may be on his website or you could ask him on his twitter or facebook.

[Callie]

Dave Ramsey suggest for those who are not insurable (because of cancer etc)that you should get a lot of small policies like the ones through your checking/savings account, different organizations you may belong to etc.

 

I cannot remember all the places you can get them but it may be on his website or you could ask him on his twitter or facebook.

The small policies he talks about don't require a health check.

[plansrme]

But, in 10 years, even if he dies on the day the policy expires, which is unlikely, you also could have (1) a paid-for house (or enough equity in your current house to sell it and pay cash for a smaller one for you and the remaining kids at home); (2) job prospects, since you have at least 10 years to figure out a way to support your family if the need arises; (3) a lot more than he currently has in his retirement plans because he'll be adding as much as possible to those accounts; and (4) several years' worth of Social Security benefits for the minor children even if you are not old enough to draw Social Security.  He might even change jobs and take into account how much guaranteed life insurance the next job provides, as plenty of employers provide a lot more than $20K.  Ten years out is a good time to be thinking about this because you have so much time to plan.

[SparklyUnicorn]

I agree on the small policies at lest to cover death related expenses.  They only require you live a minimal amount of time.  5  years or something.  They vary.

 

I agree with plansme.  That's enough time to take some steps to minimize some of these risks.

 

 

[Seasider]

You may be able to get a different policy for mortgage insurance. I believe you would get that through the lender rather than the employer. I am not sure what all it entails, I just remember it being offered to us in the past.

[SparklyUnicorn]

Another thing to look at is some policies allow you to continue, but at a higher rate.  The increase is quite a bit though.  Right now we pay $241.92 per year for both policies (one on me and one on DH).  These are 30 year term policies.  At the 31st year it would go up to $2343 per year.  It continues to go up yearly.  By the 35th year it is $2948 (we would be 65). 

 

Now granted you might find that increase a lot, but it might still be worth it to you. 

[gardenmom5]

that doesn't sound right.  has he spoken wiht private insurance agents?  (the legititmate ones).  it doesn't have to be through an employer.  depending upon  your mortgage - the bank can require private mortgage  insurance.

 

unless he is very old, or in very ill health (even then, they generally only dispute ill health not being disclosed if the person died within two years of the policy being issued.) - he should be able to get a policy.

[itsheresomewhere]

that doesn't sound right. has he spoken wiht private insurance agents? (the legititmate ones). it doesn't have to be through an employer. depending upon your mortgage - the bank can require private mortgage insurance.

 

unless he is very old, or in very ill health (even then, they generally only dispute ill health not being disclosed if the person died within two years of the policy being issued.) - he should be able to get a policy.

I am betting the problem is more like due to health life insurance is unaffordable. For my DH- due to past cancer, one of the few policies that would take him the cost is way beyond what most could afford.

[MotherGoose]

my DH had a similar situation. He was told he was uninsurable. When the policy expired, we kept paying it, at an increased rate, but not an unaffordable rate. We never called to ask, we just paid the bills when they came in. A certain amount of time after the "event" assuming it was a finite illness or something, he did become insurable again.

Edited June 6, 2016 by MotherGoose

[Guest]

I am betting the problem is more like due to health life insurance is unaffordable. For my DH- due to past cancer, one of the few policies that would take him the cost is way beyond what most could afford.

Nope. Flat out denied. We're checking with a second agent but not keeping our hopes up.

[Acorn]

Same boat here

[MotherGoose]

Nope. Flat out denied. We're checking with a second agent but not keeping our hopes up.

That is bizarre! They should tell you in detail why you were denied.

[purplejackmama]

What about those "no health exam required" policies?

[Guest]

That is bizarre! They should tell you in detail why you were denied.

We know why. There is something in is medical record that is kind of an exaggeration of an issue he has and there is no way to change medical records.

[MotherGoose]

We know why. There is something in is medical record that is kind of an exaggeration of an issue he has and there is no way to change medical records.

Then, provided there are no more issues related to that and/ or the doctor minimizes it in the further, it should go away and you should be able to get insurance in the future. Seriously, my DH has real serious issues but he was able to get insurance after awhile. Make sure you go through a reputable company, even a private one if this is through your DH work. In the interim, hopefully they'll send you bills you can quietly continue to pay without a health check, unless this health check is with the original company.

[bolt.]

I'm thinking that a 10 year plan towards "not needing" an insured DH is probably a good combination with some minor "no medical" policies.

 

"Not needing" would mean that in case of crisis, you could pay the basic roof-over-head bills with 2 high schoolers -- are you employable? Can you get some career-oriented education? Can you pay down the house? Or would you be able to sell the house and live partially on the proceeds (in reduced circumstances) until your 2 youngest move out? If all your kids were independant, could you alone manage to support just you indefinitely?

 

You are only in the danger zone after the next 10 years, until your youngest is done high school. That sounds like a maximum of 4 years to struggle through if the worst happens, and otherwise, if he dies any time other than those 4 years (of his whole lifespan) you will probably be fine.

 

It seems unlikely, really -- though still worth having at least a 'what does that crisis look like' plan, and some failsafes in place.

[Anne]

I wholeheartedly second the idea of finding a reputable insurance agent to consult with.

 

Anne

[Guest]

I wholeheartedly second the idea of finding a reputable insurance agent to consult with.

 

Anne

This was with an agent. Trying another one soon.

[QueenCat]

This was with an agent. Trying another one soon.

 

Are you using an agent that can sell for a variety of insurance companies? They can usually find things that agents that are tied down to one company can't.

[lauraw4321]

I was *almost* an insurance agent once. At any rate, I was told there was no such thing as an uninsurable person. The agent should be able to shop his application to other insurers. Now, it may be obscenely expensive, but he should be insurable.

[NoPlaceLikeHome]

Another thing to look at is some policies allow you to continue, but at a higher rate.  The increase is quite a bit though.  Right now we pay $241.92 per year for both policies (one on me and one on DH).  These are 30 year term policies.  At the 31st year it would go up to $2343 per year.  It continues to go up yearly.  By the 35th year it is $2948 (we would be 65). 

 

Now granted you might find that increase a lot, but it might still be worth it to you. 

Can you PM me the amount of insurance you have since we pay almost that a month for 30 year term insurance! We have 250,000 and 750,000 policies as one policy covering us both.

[....]

My dh is also in the same boat due to a health condition.  Several people advised us to take out a bunch of small policies from different companies (like other posts mentioned).