Life Insurance Guide

Life Insurance Facts Companies Don’t Want You to Know

5. Whole life insurance policy is a terrible investment in most cases.What typical insurance agents would say about this? 

Why lose your money on a term life insurance that you’ll probably never use? You’re much better off taking a whole life insurance plan.

The Fact is:

There are two principal kinds of life insurance, whole life insurance, and term life insurance.

Whole life insurance is much more expensive than term life insurance, also it is a hybrid between life insurance and an investment product, such as a mutual fund or a 401(k).

That’s why brokers market it as an investment product.

On the other hand, term life insurance is what you usually think of as life insurance.

How so? You will find our self, pay monthly premiums, and if you die within the term policy covered by the insurance, the recipients get a large amount of money.

In conclusion:

Keep your investments and your life insurance separate.

Yes, the whole life insurance policies provide a two-in-one investment/life insurance product, but we live in a world where they’re many cheap choices out there.

You can purchase cheap term life insurance and invest in low-cost common funds that are provided to generate the biggest return on your investment.

About the author

Garcia Olivia

I'm an internet geek, I like blogging especially about insurance, I worked before as an online insurance consultant, and now, I have insurancily.

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