Universal Life for Young Child

Louis Tully

New Member
5
Is Universal Life a reasonable option to provide insurability, savings, and possibly build cash value for college education?
 
Say hi to Dana next time you see her.

It can be if properly funded and designed.
 
When I sold life insurance I can't tell you how many times I would walk into a home, review the insurance, and the people who had policies on their kids were often severely under insured on their own lives.

Buying insurance on your kids, when you don't have enough on the bread winner, is just ignorant. Agents selling insurance on kids, when there isn't enough on the parents, is worse than negligent.
 
When I sold life insurance I can't tell you how many times I would walk into a home, review the insurance, and the people who had policies on their kids were often severely under insured on their own lives.

Buying insurance on your kids, when you don't have enough on the bread winner, is just ignorant. Agents selling insurance on kids, when there isn't enough on the parents, is worse than negligent.

That is good advice. Parents need to be covered first.
Most insurance companies will require the parents have at least 2x what they are putting on the kids. Take care of the parents and the kids :yes:
 
Most insurance companies will require the parents have at least 2x what they are putting on the kids. Take care of the parents and the kids :yes:

Because we all know that each of the kids bring in 50% of the annual income of the bread winner(s) in the home.

??????????????????????

Young family breadwinners need a bout 15 times income (minimum) to be properly insured.
 
The parents absolutely refuse to buy additional coverage on themselves for whatever reason but want to start a program for thier kids....you gonna walk away? Or the grandparents want to start something but you know that the parents don't have enough or maybe grandma doesn't have her FE taken care of, you are going to say, "No, I won't sell the children coverage.". You are going to leave without a sale because they won't buy what you think is best for them?
 
Because we all know that each of the kids bring in 50% of the annual income of the bread winner(s) in the home.

??????????????????????

Young family breadwinners need a bout 15 times income (minimum) to be properly insured.

Life insurance on kids has absolutely zero to do with their annual income today. Most don't make any money, they are kids.

15x income for the parents, you bet. That is a great idea. So if they make $40k, and have $500k of covg, the ins companies typically don't like to issue more than $250k on the kids.

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The parents absolutely refuse to buy additional coverage on themselves for whatever reason but want to start a program for thier kids....you gonna walk away? Or the grandparents want to start something but you know that the parents don't have enough or maybe grandma doesn't have her FE taken care of, you are going to say, "No, I won't sell the children coverage.". You are going to leave without a sale because they won't buy what you think is best for them?

I had a similar situation happen. The parents were uninsurable, grandparents wanted to help the grandkids.
 
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