FE Insurance

[steveadlman]

If the policy's cash value equals the face at age 100, that's basically the same as whole life. How much of a cost savings can there be?

What would the premium be for a semi healthy (standard rate) 68 year old female non smoker for $15,000 coverage?

The premium is $50.02. and for a male is $63.21

 

[jdeasy]

The premium is $50.02. and for a male is $63.21

I could get that same lasy a $15,000 whole life that's paid up in 20 years for $56/mo. Why take a chance on a UL for $6?

 

[Newby]

I agree with JD. For no more savings than that is there is no reason to risk going with GUL.

I can see your point about offering it but the problem is that the average FE client is not going to understand the difference and if they don't understand, they will always opt for the lower premium. They don't realize that the GUL is going to lapse by design and the only thing that will stand between losing all their money when they need it most is the terms of the guarantee. It's a very unforgiving product.

The straight whole-life is the better choice for the FE market. That could change if anyone ever offers huge price savings for a GUL.

Think of it this way...would you put all your money in a bank that offered you a slightly better rate than the others but you would have to agree to lose EVERYTHING if you ever overdrafted two checks anytime during the rest of your life?

The risk is not worth the reward.

 

[justing]

I could get that same lasy a $15,000 whole life that's paid up in 20 years for $56/mo. Why take a chance on a UL for $6?

What company is that with?

 

[steveadlman]

I agree with JD. For no more savings than that is there is no reason to risk going with GUL.

I can see your point about offering it but the problem is that the average FE client is not going to understand the difference and if they don't understand, they will always opt for the lower premium. They don't realize that the GUL is going to lapse by design and the only thing that will stand between losing all their money when they need it most is the terms of the guarantee. It's a very unforgiving product.

The straight whole-life is the better choice for the FE market. That could change if anyone ever offers huge price savings for a GUL.

Think of it this way...would you put all your money in a bank that offered you a slightly better rate than the others but you would have to agree to lose EVERYTHING if you ever overdrafted two checks anytime during the rest of your life?

The risk is not worth the reward.

I agree if it is a GUL. I don't sell a GUL but a traditional UL that will not lapse if you miss one payment.

 

[jdeasy]

What company is that with?

That's is RNA.