Several living policies

Question:

I presently have a few living policies paying about $2,000 yearly for each policy. Should I terminate them and convert them to term insurance policies?

REPLY:

You have probably over-invested in the living policy. It has high charges and give a low return, as a large part of the premium goes towards the critical illness coverage.

You should have more of your savings to earn a high return for your retirement. You can buy decreasing term insurance for your protection. A sum insured of $50,000 is probably adequate to provide for critical illness.