Life insurance question

[Ted]

Personally, if I died, I would have Slow99 handling my kid's fortune.

[Chili]

I didn't read the Ramsey link (have never read any of his stuff) but a long time friend that knows his shit (maybe not quite slow99 smart with investing, but still knowledgeable) used to always talk about what a racket Whole Life is, and how in most cases you were far better off with Term Life and investing the cost difference between Whole and Term separately. He started his career selling insurance (with Travelers as I recall) and had his Series 7, before moving away from the insurance side. I think his main issues were the fees associated with it, and commonly poor investment performance.

Maybe slow99 has some value to add, but I would not automatically discount the concept of Whole life being a bad investment just because you think Dave Ramsey is full of shit.

[Ted]

I also ask everyone to choose Elvis as their kid's Godfather. I want my son growin up ballin outta conrol if I ever kick it early.

[Geor!]

Hope she don't kill you in your sleep, dude!

[juiceweezl]

That's not to bad a month. Usually it's around 200 or so. Those are almost term life prices. Depending on the amount insured for

The actual cost of the insurance on the policies is less than $10 if I remember correctly. Like I said, I set them up before they were 1 year old for $100K each. I refuse to pay the higher prices (like $200) for whole life. I have a term policy with my wife as a rider for $1 mil. It covers both of us for well under $200/mo, and it's a 30 year policy. It would have been much less to do a 20 year policy, but I wasn't sure that would cover a second or third child through school at the time we set it up as we only had 1 child then.

[Stng5Pnt8]

Dude you are throwing away money. Cash that shit out now. Term life is the only way to go. Whole life rate of return is terrible. Only people that sell that garbage think its a good idea. Put your money in a mutual fund.

Whole life and mutual funds are two different breeds. Whole life insurance cannot earn more cash value than the death benefit unless you are doing Universal Life. If it does than you get hit with penalties. Mutual Funds can earn and lose money. There are no guarantees above simple interest. Whole life insurance will not lose it's cash value, but will not gain as much either. There's also annuities. They can be single premium immediate to monthly pay with several payout options. They are more stable than mutual funds and can earn a very nice return on the investment.

For some people a term would be the best option...

Also, remember...whole life is a guaranteed return product. As you know...mutual funds can even lose value.

Personally I have a little bit of everything because of my situation, again everyone's situation is different.

[slow99]

Wtf, how did I get drug into this one?

[Stng5Pnt8]

Wtf, how did I get drug into this one?

You're a financial specialist I assume...

[slow99]

You're a financial specialist I assume...

I'm also a sarcasm detection specialist (Ted). Regardless, I don't do this kind of thing, so the insurance guys or CPA/CFP advisor planner type guys would know about this. Of course, in my industry, I could be kicked out on my ass tomorrow, so you never know.

[Kimmypie]

Also, please make sure you have a will stating who is to be guardian of kiddos. The guardian could be your 2nd beneficiary.

I can tell you from experience that probate is a bitch without a will and that was with all parties being grown folks. Christian got royally screwed in probate because of the lack of a will. I can't imagine what would happen if the court had to decide who gets the kids.

[Stng5Pnt8]

Also, please make sure you have a will stating who is to be guardian of kiddos. The guardian could be your 2nd beneficiary.

I can tell you from experience that probate is a bitch without a will and that was with all parties being grown folks. Christian got royally screwed in probate because of the lack of a will. I can't imagine what would happen if the court had to decide who gets the kids.

x2

[ellisdan]

Also, please make sure you have a will stating who is to be guardian of kiddos. The guardian could be your 2nd beneficiary.

I can tell you from experience that probate is a bitch without a will and that was with all parties being grown folks. Christian got royally screwed in probate because of the lack of a will. I can't imagine what would happen if the court had to decide who gets the kids.

This one too. As far as I know, the kids get it but since if they are still young, they can't manage it so it is necessary to assign a guardian just in case to manage the benefits.

[Chili]

This one too. As far as I know, the kids get it but since if they are still young, they can't manage it so it is necessary to assign a guardian just in case to manage the benefits.

Go away spammer..