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Why isn't buying life insurance a value in frum society?
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amother




DarkPurple
 

Post Mon, May 09 2022, 12:50 pm
amother [ Offwhite ] wrote:
Even if a person gets 20 year term when they get married, they're only covered until age 45 or so. Renewing at that point is far more expensive, and often coincides with the highest tuition payments (highest number of kids in high school, sem or yeshiva) and possibly even wedding expenses.


what many do us renew at 10 years on a new policy and carry both. So one ends at 45 and next at 55. So during most expensive years have extra coverage.
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amother




Offwhite
 

Post Mon, May 09 2022, 12:50 pm
amother [ DarkPurple ] wrote:
The million dollars is supposed to be invested and they are supposed to live off the earnings which should be around 70-100k and increase over time. If the money runs out it wasn’t managed well. The original 1 million should not be touched.

Which investment do you know that can pay 7%-10% annually? Over time, yes it averages out to 7% or so, but if you need to take out the money THIS YEAR it isn't so simple.
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WitchKitty




 
 
 
 

Post Mon, May 09 2022, 12:50 pm
amother [ DarkPurple ] wrote:
The million dollars is supposed to be invested and they are supposed to live off the earnings which should be around 70-100k and increase over time. If the money runs out it wasn’t managed well. The original 1 million should not be touched.

If my husband c"v dies, I would have no idea how, where, or why to invest money.
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JoyInTheMorning




 
 
 
 

Post Mon, May 09 2022, 12:54 pm
Term life insurance is inexpensive. You can buy several million dollars worth of life insurance for less than a thousand a year.
You’d invest that amount if r”l there was a payoff. The idea would be to mostly live off the investment income of the insurance rather than the principal.

Not buying insurance? That reminds me of Pastor Manders in Ibsen’s play Ghosts. He is hardly a role model for us to follow.
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amother




OP
 

Post Mon, May 09 2022, 12:54 pm
amother [ Offwhite ] wrote:
Even if a person gets 20 year term when they get married, they're only covered until age 45 or so. Renewing at that point is far more expensive, and often coincides with the highest tuition payments (highest number of kids in high school, sem or yeshiva) and possibly even wedding expenses.


They should get 30 year terms. this is my point. people are cutting corners and based on the responses of many in this thread, having ENOUGH insurance doesn't seem to be a value universally shared in the frum community.
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EMEN




 
 
 
 

Post Mon, May 09 2022, 12:56 pm
I could be wrong but isn't tzedaka for almanas and yesomim a bigger mitzvah than tzedaka for mikvas and kollels?
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amother




Offwhite
 

Post Mon, May 09 2022, 12:57 pm
amother [ DarkPurple ] wrote:
what many do us renew at 10 years on a new policy and carry both. So one ends at 45 and next at 55. So during most expensive years have extra coverage.

Considering that our electricity was cut off multiple times during this age period, we lost our car insurance because we couldn't pay it, and we lost our renters insurance for the same reason (not all at the same time), it's hard for me to believe that we would have been able to consistently pay even one insurance policy, let alone two.
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amother




Periwinkle
 

Post Mon, May 09 2022, 12:58 pm
amother [ OP ] wrote:
then they don't have enough life insurance

it's about having sufficient life insurance so you don't need to be a nebach and rely on your community to bail you about. having a minimal amount of life insurance so you can say you have it is irresponsible.


This is not for you to judge. And what's "enough"?
We should take out a normal policy. I think more than that is not hishtadlus or emunah anymore. Everyone should do what they feel is right for them.
You don't have to give tzedaka for almanos if you don't want to, but don't judge or criticize.
It seems like you're just looking for what to criticize our communities about.
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amother




Hawthorn
 

Post Mon, May 09 2022, 12:59 pm
JoyInTheMorning wrote:
Term life insurance is inexpensive. You can buy several million dollars worth of life insurance for less than a thousand a year.
You’d invest that amount if r”l there was a payoff. The idea would be to mostly live off the investment income of the insurance rather than the principal.

Not buying insurance? That reminds me of Pastor Manders in Ibsen’s play Ghosts. He is hardly a role model for us to follow.


$1000 is a lot of money when you're not making ends meet.
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amother




Offwhite
 

Post Mon, May 09 2022, 12:59 pm
amother [ OP ] wrote:
They should get 30 year terms. this is my point. people are cutting corners and based on the responses of many in this thread, having ENOUGH insurance doesn't seem to be a value universally shared in the frum community.

It's also a value for me to pay my kids' tuition and to pay back debt promptly. Doesn't mean I can always KEEP my values.
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amother




OP
 

Post Mon, May 09 2022, 1:00 pm
EMEN wrote:
I could be wrong but isn't tzedaka for almanas and yesomim a bigger mitzvah than tzedaka for mikvas and kollels?


I have no idea but even if true, it misses the point -- the need for the former can be avoided. There's no way to avoid the need for a new community to avoid the need for a mikveh by purchasing mikveh insurance. Families can avoid being in a position to take tzedakah by buying life insurance.
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amother




DarkPurple
 

Post Mon, May 09 2022, 1:00 pm
WitchKitty wrote:
If my husband c"v dies, I would have no idea how, where, or why to invest money.


Many communities ppl will help. There are financial advisors that will work pro bono to manage the funds.

Unfortunately I know a few young Almanas with kids. Ppl really tried to help in every way possible.
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amother




Eggplant
 

Post Mon, May 09 2022, 1:01 pm
amother [ OP ] wrote:
then they don't have enough life insurance

it's about having sufficient life insurance so you don't need to be a nebach and rely on your community to bail you about. having a minimal amount of life insurance so you can say you have it is irresponsible.


Seriously OP what is your problem. You think anybody wants to be a nebach? Even with a bazillion dollar policy a fresh single mom with kids deserves community support.
You also underestimate that the community WANTS to help out and feel they're doing their part.
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amother




Periwinkle
 

Post Mon, May 09 2022, 1:01 pm
amother [ OP ] wrote:
I have no idea but even if true, it misses the point -- the need for the former can be avoided. There's no way to avoid the need for a new community to avoid the need for a mikveh by purchasing mikveh insurance. Families can avoid being in a position to take tzedakah by buying life insurance.


Hashem should help that you and your husband should live till 120. You are very ignorant and judgemental.
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amother




DarkPurple
 

Post Mon, May 09 2022, 1:01 pm
EMEN wrote:
I could be wrong but isn't tzedaka for almanas and yesomim a bigger mitzvah than tzedaka for mikvas and kollels?

An alman it’s not as simple as almanah to collect tzedakah.
It is very important for mothers to carry equally large policies.
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amother




OP
 

Post Mon, May 09 2022, 1:03 pm
amother [ Periwinkle ] wrote:
This is not for you to judge. And what's "enough"?
We should take out a normal policy. I think more than that is not hishtadlus or emunah anymore. Everyone should do what they feel is right for them.
You don't have to give tzedaka for almanos if you don't want to, but don't judge or criticize.
It seems like you're just looking for what to criticize our communities about.


Your definition of a normal policy is not my definition of a normal policy. A normal policy to me is one that would not require my family to take tzedakah from others.

Plenty of people aren't educated or informed on the need to protect their families, and just telling people to do what they feel is right isn't enough.
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amother




Periwinkle
 

Post Mon, May 09 2022, 1:09 pm
amother [ OP ] wrote:
Your definition of a normal policy is not my definition of a normal policy. A normal policy to me is one that would not require my family to take tzedakah from others.

Plenty of people aren't educated or informed on the need to protect their families, and just telling people to do what they feel is right isn't enough.


Please stop being so awfully judgemental. You do what you think is right for you and the policies others take out is absolutely NONE of your business.
People that have life insurance policies are informed and educated enough to make the decisions they feel is right for their situation.
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amother




Eggplant
 

Post Mon, May 09 2022, 1:16 pm
amother [ OP ] wrote:
Your definition of a normal policy is not my definition of a normal policy. A normal policy to me is one that would not require my family to take tzedakah from others.

Plenty of people aren't educated or informed on the need to protect their families, and just telling people to do what they feel is right isn't enough.


Great so get your life insurance and may you never have to use it.
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amother




Offwhite
 

Post Mon, May 09 2022, 1:17 pm
amother [ OP ] wrote:
Your definition of a normal policy is not my definition of a normal policy. A normal policy to me is one that would not require my family to take tzedakah from others.

Plenty of people aren't educated or informed on the need to protect their families, and just telling people to do what they feel is right isn't enough.

Okay, you've convinced me. Now I need $350 a month to cover that policy for me and DH. Can I tell you where to send the check?
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Fox




 
 
 
 

Post Mon, May 09 2022, 1:32 pm
I think I need to take up meditation or yoga or something. Sometimes the ignorance floating around is incredible.

Several posters have mentioned rates of $300 to $1000 a year for $1 million dollars worth of life insurance. Very nice. That's the rate when you're in your 20s -- and that rate is typically good for a decade.

Here's a newsflash: life doesn't end at age 35 or 40. Or even 50. Do you think your insurance rate remains the same? Even most universal life policies no longer lock in a permanent rate, to my knowledge. The cost of $1 million in life insurance coverage goes up after each 10-year-period, and sometimes after 5 years. When my DH and I looked at $1 million in coverage about 15 years ago, the cost would have been close to $100,000 a year for a 45-year-old.

Perhaps there are cheaper policies out there; we ended up not pursuing that level of coverage for various reasons. But I'm not sure how to politely respond to the idea that the OP and others appear to believe -- that everyone in the world is 20-30 years old and that any random 50-year-old can afford $100K a year for life insurance.
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