Added: 9 months ago
From: khanacademy
Views: 7,099
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  • Excellent!

    Buy Term Invest the Difference!

  • Explained very well! It's important to get informed about your life insurance options.

  • I worked with Primerica for 11 years and learned one thing...being against to sell a product. I started my own firm to help families with what they need. TERM or Permanent. TRUTH IS TERMITES don't have a dual brain processor. They are biased against themselves.

  • Most clients I have worked with, realize that in retirement, they want to leave some assets behind, but cannot due to fear of running out of assets or due to health, they cannot get life insurance any longer. So they pass on the taxable assets instead of the death benefit with little to no tax consequenses. The real discussion is not about cost or interest rates, but about efficiency of money at work. Those that are really investing the difference (they are few), how are your returns doing?

  • I'm an insurance agent. Please tolerate my comments as I tolerate yours. Fair? For this example, one company I use has the premium on a 20 yr term at $635/yr. At age 61 (21st yr) you can keep the policy but the new premium is $10,600 and increases each year after. The death benefit never changes, though with inflation, the spending power of the $500K is dropping. The whole life pol. has a prem. of $5495/yr. The death benefit at age 61 is projected at $531,267 & growing; Cash is $152,611+.

  • Whole life is a joke! infact its not a joke.. Its is legal robbery! No worries though I'll get term and invest the difference. You can leave your family BROKE!!

  • In response to your last point:

    if I am not a savvy investor and I go willy nilly in mutual funds or the stock market, I could lose a lot of money too. Plus MF's charge loads and administrative fees like the cash portion of your whole life insurance policy so...are you REALLY saying that it's black and white and whole life is NEVER appropriate? I don't think you mean that. I hope you post a clarification to explain the situations in which Whole life is prudent.

  • i wont die so fuck it

  • We have very similar products in Australia which have been discontinued since 1999 but the products my company offer "Bonuses" each year. Our Whole of Life polices expire at age 95 years of age.

  • People working for a company have an enhanced view of their company's product. In particular, this is even truer of the sales portion of the company and the executive staff (this is a generalization but mostly true). They understand its competitiveness in the marketplace, its features and benefits, and its advantages and disadvantages. You should investigate why almost every insurance salesperson owns life insurance (not term), more often its whole life or UL/VUL.

  • Life Insurance Policies is like Marriage,, You pay pay and pay and you'll never get anything back lol

  • @jonybrown

    If you're in a position like Sal. Insurance is a no brainer. If something happens to him his family will severly struggle financially. If however he has insurance all debts including mortgage, funeral costs, credit cards, etc will be taken care of.

  • @TheGstar1985 You didn't get the joke didn't ya?

  • LOL some people will randomly die

  • great one sal, cleared things up for me.

  • I asked my parents this question one day and big surprise.. I dont remember their answer or they failed to answer at all. But you sir have finally itched my curiosity! Now I dont need to fear life insurance :p

  • Geez Sal. Didn't even try to use the "pass away" euphemism.

  • @DehXable what do you mean and whats this video about i cba to watch it all

  • @scottyurfunnylol Just joking

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