I would recommend shopping for term life insurance to compare with what you have now. You should only have enough life insurance on the kids to cover burial. I wouldn't recommend more than that, as it looks like you're trying to get rich off of a child's death. Term insurance is for a certain amount of time and is really much cheaper than whole life.
I would recommend that you leave your retirement contribution alone. You will be thankful later that you contributed even the little bit now. Any finacial advisor would tell you to put all you can into a 401(k) because most employers will match up to a certain amount. That is FREE money for you.
An OT subject………….girls, it's Breast Cancer Awareness month. I just had my very first mammogram today! Get yours done now! — Anggie Fight Breast cancer……no one should die from it