Term vs Whole. Need inputs.

[pfg1]

WL is great, and even better if with a div paying mutual. And there are term companies that will issue 25yr term on a 60yr old.

 

[Todd King]

Not to mention the human factor...most people don't have the will or commitment necessary to invest the difference over time.

Many years ago I initially started out with Primerica. I learned a ton about life insurance in general. I was a big advocate of "Buy Term and Invest the Difference". The problem I kept running into what exactly what you said. I was taking people out of WL and UL policies, but they wouldn't keep up with investing the difference. Therein lies the problem, which is why I got out of doing that. I think it is a great concept for many people (especially the young ones), but it will work against you if you don't actually invest the difference. Most just won't do it long term.

 

[shooter]

Many years ago I initially started out with Primerica. I learned a ton about life insurance in general. I was a big advocate of "Buy Term and Invest the Difference". The problem I kept running into what exactly what you said. I was taking people out of WL and UL policies, but they wouldn't keep up with investing the difference. Therein lies the problem, which is why I got out of doing that. I think it is a great concept for many people (especially the young ones), but it will work against you if you don't actually invest the difference. Most just won't do it long term.

Todd, so you were a termite.
A.L. Williams changed my whole life.
I worked with them myself right after I came off a debit.
I left after a short time.

Your totally correct.
People don't invest, or save the difference.
Just like all these people that try to refinance them
selves out of debt.
I have saw that to often.
Lower your monthly payments, even skip a few, it's
the holidays.
They just end up worse off most the time.
Because they don't change their habits.
They owe more in five years than they did
before the refinance.

I wish I had purchased a mutual company WL when I was
about 25 and let it pile up the pua.
Shooter

 

[rousemark]

I wish I had purchased a mutual company WL when I was
about 25 and let it pile up the pua.
Shooter

That makes two of us...

 

[rgfii]

New try getting life insurance with New York Life. There is a reason why they are number one and the few companies that have a agency force. Did I mention largest mutual life insurance company in the US?

 

[shonceman]

That makes two of us...

That makes 3 of us! :(

 

[LGilmore]

Your sister is doing what they do at Prime, going after family first. Since she is new she is actually writing for another agent who will take over the account when she fails. Most insurance agents fail in this business, about 90% in the first two years. A lot of them are Prime agents.

If you've set your folks up, leave it be. See about when the policy might start paying for itself.

 

[jboussea]

New try getting life insurance with New York Life. There is a reason why they are number one and the few companies that have a agency force. Did I mention largest mutual life insurance company in the US?

why are they number 1

 

[rgfii]

why are they number 1

172+ years in the business. Tied with NW for perfect 100 comdex rating. Our Waiver of Premium (Disability) isn't followed like Mass Mutual and others. Once qualified never have to pay on policy again.

Only company that has a patent on Custom Whole Life and Term 10years,11,12,13,14,15,16,17,18,19,20.

 

[WinoBlues]

The whole life policy will give your parents protection until they die as long as the premiums are paid. Both policies will accumulate a cash value. Cash values are not taxed. Contact the agent or the insurance company to get the fixed interest rate that is being credited to the policy. Keep in mind that most whole life policies mature at age 100. This means you get your money back less any outstanding loans. The premiums for this policy never change. A whole life policy eliminates uninsurability.

You should keep the whole life policies. Why? Simply put, you need life time protection for your parents. The death benefit is guaranteed. There are no surprises with whole life policies. It is a good idea to do a policy review at least once a year to make sure the policies are meeting your family needs.

Moreover, it is very common for agents to say, " buy term insurance and invest the difference." The problem with this strategy is that people do not know how to invest the money. If you buy the 15 year term insurance policy, your parents will have to go through underwriting again. The insurance company can deny them coverage. Make sure if you buy term insurance that it is "guaranteed renewable or convertible." This is the best term insurance you can buy. Term insurance always increases as we get older and it has no cash value.

Finally, kindly let your sister know what you think is the best coverage based on your family needs.

OMG SMFH