Term to 65

Mr. Tan

You have advised people to buy Term policy rather than Whole Life policy. I am 47 yrs old and have a Whole life policy covering $60,000. I wish to increase it to $100,000. I prefer Whole Life as the Term policy will not cover after 65 yrs old. Is my concern valid ?

MY RESPONSE:
Can you tell me the following?

HIS REPLY

Mr Tan
My feedback is as below.

1. Do you expect to work full time and earn the normal salary beyond age 65? No
2. What are you likely to retire from full time work? Latest, at 65
3. When will all of your children be independent of you? They will be independent when I reach 60

Life insurance is needed to provide protection against loss of income in the event of premature death. Do you have a need for this protection beyond 65? Probably not

Some people buy whole life insurance to provide funds to pay estate duty. Do you fall in this category? No

Seems like I don't need Whole life policy, but a Term will do. I should invest the balance in a saving / investing product?