All life insurance entails paying premiums over time. I think that you need to have sufficient life insurance so that if you, or your partner, pass away you can reside off the interest. If you want $40,000/year earnings then you'd want to have 1 Million dollars in life insurance.
Now, money value life insurance Vs term life insurance.
Cash Value Life Insurance has a savings component involved in the policy. A portion of your premium is placed in a separate savings account that accrues worth over time, which can later be reclaimed if the policy is ended. Other names for money value policies are whole life and universal life policies.
Term Life Insurance covers you for a particular period of time - normally, 10, 15, 20, 30 or 35 years from when the policy begins. As long as you pay you are covered and if you die although the term insurance policy is active, your beneficiaries will get the amount of specified coverage. They differ from cash worth policies in that the premiums do not partially go towards a savings plan and are considerably lower.
Stick With Term Insurance - don't mix investments and insurance.
I believe that you should not mix your insurance and your investments. Thus, I recommend staying away from cash worth policies. The return on investment is not normally quite appealing and you will probably be ready to do much better investing the difference between the price of a term policy and a money worth policy.
Personal Finance Coach
Points Needed to Redeem Reward/Retail Value of the Reward = Point Currency
Let's look at the price of a Free of charge airline ticket purchased with reward points. Let's say that you can get an airline ticket for 25,000 points - this assumes that you didn't require to use a "rule buster" that fees 50,000 miles.
Based upon our equation, 25000 points/$328 = 76.22 points per dollar.
Since points are earned for every single dollar charged on a rewards credit card this implies that you should charge $76.22 for each and every dollar that you can use towards the "totally free ticket".
Because we know the typical consumer spends between 12% and 30% a lot more when they pay by credit card we can calculate the real price of this $328 ticket.
If you had been spending 20% much more and you charged $25,000 over a year - so you can get the "free of charge ticket" - the true price of they ticket is $25,000 x .2 = $5,000.
Want to purchase a $328 ticket for $five,000? I didn't think so - after all you're smarter than a 4th graderright?
