My husband has been diagnosed with a terminal brain disease (terminal is 15-20 years). He is now 54. He has an insurance policy that is term (275,000). It iw with equitable and they have a special mutualization rate given to policy holders that stayed with them in the early 90's so we only pay about $2 a month for the policy. He can convert it to whole life (without a medical exam). His term renewal, but for the mutualization, would be 104 a month now and goes up to 1,293 in 2030. He can convert that policy to a whole life with a premium of 5000 a year. I think the conversion makes sense. I am not sure if I am missing something. He wants to be able to leave some money to our two kids. I have the same policy, am a little younger and can convert as well. I think for me it makes sense to remain at term.
For the two kids, they have a 50% chance of inheriting what their father has. I wanted to protect their insurability and purchased a 500,000 whole life policy for each of them. If they have what their father has, it affects someone mid life. I think the whole life made sense here.
I would welcome any advice.
