Continue with employer life insurance even after layoff?

by Guest » Wed Sep 04, 2013 01:05 pm
Guest

I’m in my early 30s. I’m a single adult without any dependents. I selected term life insurance as one of the benefits of my job. Unfortunately my position was eliminated and consequently, I lost my job! I don’t have any income right now and so I don’t want to continue with the policy. But they have provided me with the option to convert that employer life insurance.

What should I do now? Should I just overlook or convert and continue with the thing in order to avoid any kind of difficulties in obtaining life insurance in future?

Total Comments: 4

Posted: Wed Sep 04, 2013 01:57 pm Post Subject:

The conversion policy will not be TERM life. It will probably be a form of UNIVERSAL life (or possibly WHOLE life). It will be MORE COSTLY than what you may have been paying for the term life coverage.

If you have no income, what difference does it make? You can't afford the premiums, right?

You're relatively young, and unless you currently have many health challenges, your ability to be insured by any other company is not impaired. You could find a low cost term policy from any number of insurance companies.

Work with a local independent agent to determine your needs and objectives and how best to meet them both.

Posted: Thu Sep 12, 2013 07:00 am Post Subject:

I agree to Maxx's reply, if you don't have a job, you may not have enough money to pay for the premium. Therefore, it's a better option to find a low term policy during your financial distressful time.

Posted: Fri Sep 13, 2013 07:03 am Post Subject:

Obtaining life insurance is not always tough and as you are young, you may not require retaining the policy. So, if you cannot afford to make the premium payments, do away with it. However, if you think you still can manage, you can covert it.

Posted: Fri Sep 13, 2013 11:03 am Post Subject:

if you think you still can manage, you can covert it.

You know, mint, if you were as good a reader as you think you are a philosopher, you would know that the OP CANNOT "MANAGE" IT -- she has no income.

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