Life insurance is “Love Insurance”. In other words, you buy life insurance to protect the ones you love, to provide food, clothing, and shelter, in the event you are taken out of the picture. It’s to keep you family “in their own world”, financially speaking, if you should die.
Life insurance is an integral part of retirement planning. It provides for the family if you don’t live to retire, and can’t leave that retirement nest egg for your wife and kids.
Also, included in your retirement planning should be a savings vehicle, such as a 401K at work, or other retirement. In addition to that, you should invest in an IRA, and possibly another annuity, whether it be fixed or variable. A local agent can explain the differences.
To properly plan, ask an agent to do a Financial Need Analysis for you. This will help you determine what you need to do to plan for the protection of your family, and for retirement. This will help you to plan against the possiblity of living too long, or dying too soon.
In addition to the above, I recommend that you purchase a disability income policy. If you get injured or ill and can’t work, it will provide a monthly income while you are off from work, after a pre-selected elimination period in the policy. This could pay the mortgage, put food on the table, and provide for the necessities of life.