Life Insurance

[MurphOnMillerAve]

I have plenty of life insurance and have informed the beneficiaries accordingly, even to the extent of giving them their own copies of the policies.

Does anybody here have an informed or experienced viewpoint of an additional company's policy I am considering adding to what I already have:
Colonial Penn life insurance.
I saw their commercial on TV again and wonder if it would be propitious to get a policy with them as an extra policy, to benefit a particular cousin-in-law with whom I have steadily grown closer, before my wife's death in January 2019, and since then.

I'd appreciate your advice, very much, gentlemen .

[Rufus T. Firefly]

I would never, ever buy insurance of any kind based on a TV or radio commercial of any kind. Unless they came with 2 sets of Ginsu knives and a some really neat copper clad cookware.

If you have no immediate dependents, and have your funeral costs covered, and you have your estate planned, you really don't need life insurance. Life insurance is for survivors not be burdened financially by your death. If the bills are paid, it's not needed.

If you want to give a relative something, specify that in your will, or do it now if its a minor under the 1 time gift to minor.

[Neil]

It's a complex decision. Life insurance at older ages is very expensive, so your premiums likely will go up as you age, unless the policy has a fixed premium regardless of age, which is rare. If you live into your 90s, which isn't rare these days, it will be decades before your family and friends benefit from any life insurance, assuming they allow you to continue to buy it. Term insurance is the biggest bang for the buck, but even term insurance becomes very expensive in your 70s 80s and 90s. It also can non-renewed at their will usually, and you are out the premiums. Whole life is not the world's best investment, so I would avoid it.

You can give gifts of 15,000 dollars per year to anyone you like and as many people you like each year, with no tax consequences for you or them, no reporting to IRS needed. This may be the best way of distributing some of your estate while you are still alive to enjoy the sharing along with your survivors. Obviously not possible unless you have sufficient savings and income to do so, but I suspect this is the best way to leave money to others, by doing it while you are alive. Your will can distribute the remaining assets, which if they are huge, might benefit from the advice of a trust lawyer. Obviously, house, furniture, 401k/403b/IRA residual value will be distributed via your will or trust. Checking accounts can be made payable upon death to anyone you like. No probate.

Hope this helps.

[MurphOnMillerAve]

Rufus and Neil,
Thank You, both, very much for your solid advice. Adding what you have provided to a Google search, I'll not be considering that insurance , nor any other new insurance , to add to what I already have had since the early 90's .

Plus, I began naming Beneficiaries to existing bank accounts, and I have the houses bequeathed in my Will, now.

Thanks again, very much.
Murph

[Rufus T. Firefly]

You really have to be wary of this stuff - there are all sorts of folks out there just waiting to help spend your money for you. And, 99% of them fall into the if it's too good to be true, it's not.