We did an approach similar to what’s mentioned above.
We started with a larger term policy – but as we’ve been paying down the mortgage, we’ve been reducing the size.
My husband is retiring soon/semi retired – so we need less insurance on him. I still have a couple more years of working – so we need more insurance on my for income replacement.
We also factored in loss of passive/benefit income (lost SS, etc.) and how that impacts our income streams if someone dies sooner… so we’ll maintain small policies for a while – till we no longer have to worry about loss from these income streams.
But always term. I’m very fee adverse and whole and universal life have so many fees, are so complex, and have things that I rub me the wrong way like surrender charges. I’ve never liked them.
