Answer: Whole life (or cash value) insurance builds up cash value, but term insurance is cheaper. I say buy term and invest the difference in a good no-load mutual fund at vanguard.com or fidelity.com. You can also invest the difference in your 401K at work. The cash value you build up from these investments will probably be higher than the whole life insurance.
What Are The Different Types Of Life Insurance? What Are The Pros And Cons Of Both?
Question by Love my curves! Whoa! | Posted in Insurance
Which life insurance companies do you recommend? How young is too young for your child? He's 1... I'd like to leave my family with the security and without the stress of "money" when I die, but I don't know where to start. Thank you in advance!
Answer: It is never too soon to get life insurance for you or your loved ones. Get some now!!! Life Insurance Companies are all different, but one of the main things is to make sure they have a good financial stability rating (you should ask them what theirs is) You will want to get an A or better. That means they are financially stable, among other things.
Term insurance means exactly what it says, it is for a term, or a length of time. You can get term insurance for 5 years, 10 years, 15 years, or 20 years, etc. Term insurance is very inexpensive (younger ages get cheaper insurance). It does not build cash value, and after the term runs out (the 10 or 20 years that you chose)
What Are The Pros And Cons Of Modified Whole Life Insurance?
Question by nite_stocker_372 | Posted in Insurance
I'm really confused by all this insurance biz. What I'd really like to know is whether I'd be losing out alot by cashing in my whole life policy that I've had since 1985. The total death benefit is about $12,400. The cash value is $2400 which I could really use now. Would I be losing much since my job automatically provides basic life insurance to me which covers $38,000? I also have additional voluntary AD&D which covers another $38,000?
Answer: I always encourage people not to rely on the life insurance they get from their employer for their financial protection. Usually they are not portable, so if you lose your job you lose your coverage.
If you need life insurance protection then I would suggest that you go and try to find another cheaper term life insurance policy before you lapse your whole life policy. If you are still healthy enough to qualify for a new policy you can probably lower your premium with a good competitive term policy with a higher face amount than $12,400 and use the $2,400 for your immediate needs.
What Are The Pros And Cons Of Having A Variable Life Insurance Plan?
Question by gabeezalbub | Posted in Insurance
I am thinking of canceling mine and getting some term insurance, but I don't want to make any mistakes or moves that I might regret.
Answer: There is really no pros about having variable life insurance. Here are the real facts about variable life insurance
1) It is permanent life insurance where you pay premiums for the rest of your life until you die or cancel the policy.
2) A portion of your premiums are invested in the stock market, particularly in mutual funds.
3) All mutual funds has annual operating expenses. Since an insurance company is managing your assets as well, you are also paying for insurance fees. You are now paying bunch of fees, which eats away the return on your investment.
4) Since your investment is in an insurance contract, you can only borrow money from the cash value or you can cancel
What Are Some Pros And Cons Of Whole Life Insurance?
Question by brownsdawg22 | Posted in Insurance
Answer: Pros:
1) Level premiums for the rest of your life
2) It builds cash value.
Cons:
1) Slow rate of return on cash value of 1-3%.
2) You may borrow the cash value and pay loan interest of 6-8% on it.
3) You lose cash value when you die.
4) Because of the cash value feature, the premiums are expensive.
What cash value really does is build wealth for the insurance company so that the insurance company can be able to pay future death claims. If you ever wanted to take money out, you have to borrow it. If you decide to cancel the life policy some day, surrender charges will apply on the cash value.
www.lifenetinsurance.com Whole life insurance is a type of permanent policy. As with any type of insurance there are features that may or may not ...
Pros and Cons of Mortgage Life Insurance: Is Mortgage Insurance ...
The earlier that a level term life insurance policy is started, the cheaper it will be. Advantages of Mortgage Life Insurance Cash lump sum. All homeowners should also give consideration to a joint life and critical illness insurance policy as this provides a lump sum payment should a life-threatening illness emerge. Should the insured stop paying the premiums, unlike a whole life insurance, there is no cash-in value. A mortgage life insurance policy is designed to pay out a cash lump sum that is sufficient to completely clear any loans that are secured on a property in the event of death. Mortgage life insurance provides sufficient coverage for those who have to survive on a limited budget. Mortgage insurance cover takes into account that the amount owed is reduced following each payment, thus allowing a reduced premium.
There are also some negatives. The purpose of this article is to address the pros and cons of volunteerism in America so let's get started. Pros Recognition in Your Community When you volunteer your time in your community you gain name recognition.
This summer, a pivotal decision is set to take place in the Supreme Court, a decision with consequences which may inevitably alter the onset of day to day life in America. Perhaps the most important Supreme Court ruling in over a decade,
Initially, there was concern about how the results might affect a person's healthinsurance. That dissuaded many potential volunteers. But then, Congress passed the Genetic Information Nondiscrimination Act in the late 2000s.
Under 'What life insurance to buy' there is only a list and brief note on various types of policies with no guidance on 'what life insurance to buy.' One would expect, at least a comparison and pros and cons of each type.
I reached out to Robert Quinlan, an independent insurance agent located in New Windsor, NY, to discuss the pros and cons connected with long-term care policies. Here is what he had to say: Boomer: What exactly is long-term care insurance and what does
This summer, a pivotal decision is set to take place in the Supreme Court, a decision with consequences which may inevitably alter the onset of day to day life in America. Perhaps the most important Supreme Court ruling in over a decade,
Initially, there was concern about how the results might affect a person's