I am now 32, married, one child. My wife and I recently got term life for 20 years. The whole life policy premium is $81.45 / quarter ($325.80/ yr). Policy is 15 years old and has a cash value of $3000.
2007-05-03 15:02:58 · 12 answers · asked by Anthony G 1 in Business & Finance ➔ Insurance
Keep it--you never know what will happen to you. If you develop asthma or some other chronic health condition, life insurance will cost a small fortune. Whole life will cover you until you are 100. Term doesn't build cash value and covers you for a limited period of time.
2007-05-03 15:13:44 · answer #1 · answered by salsera 5 · 1⤊ 0⤋
I would not cash it in. that term life is gone in 20 years. If you feel that it is too expensive call to see if you can convert it to a PIF policy at some point. If not, see if you can borrow $2,000 on it which simply reduces the face value by $2,000 and you still have the rest of your coverage. You have options the least smart would be to cash it in. For the agent the best choice would be for you to cash it in.
2007-05-06 15:18:48 · answer #2 · answered by Cindy 3 · 0⤊ 0⤋
It really depends on what you are trying to do and your personal circumstances. One thing that hasn't been mentioned is that depending on your health etc, you could exchange that policy for another policy on a contractually paid-up basis. If you can afford one more premium payment of about the size you are paying quarterly, you could have $25000 of guaranteed coverage till age 121. Talk to a local independent agent.
I wonder why the person who sold you the term didn't catch that.
2007-05-04 02:33:10 · answer #3 · answered by aaron p 5 · 0⤊ 0⤋
How;s your health??
Because if you have anything like Diabetes, High Blood pressure, etc you may have a hard time getting life ins.
No matter what you do, life ins on you will be more expensive by the year. If you can comfortably handle the premiums keep it.
2007-05-03 15:42:24 · answer #4 · answered by Barry auh2o 7 · 0⤊ 0⤋
That is all depends on how much savings you have, your liabilities, future needs for your wife and children, and what your other insurances will cover in case of your death.
You should consult with your insurance agent or a financial planner. With a very limited information provided, it would be impossible to give you any reasonable advise.
2007-05-03 15:13:13 · answer #5 · answered by tkquestion 7 · 0⤊ 0⤋
Whole life stinks although you should thank your parents b/c they just gave you 3000 cash, cash it in and find the top mutual fund performers on finance.yahoo.com pick one or 2 that you're comfortable with and earn over 10% a year on them rather than 10% every 30 years with whole life.
2007-05-03 15:11:45 · answer #6 · answered by Anonymous · 0⤊ 1⤋
Me, I would cash it in. Set your child up with an investment for college. You should consider investing the difference between your term and what your parents pay for the whole life. Or do you pay on the whole life?
2007-05-04 05:24:43 · answer #7 · answered by Mark S 6 · 0⤊ 1⤋
You should roll the cash over into a Variable Universal Life policy, (which invests the cash value in mutual funds you pick), the mo. payments are more affordable, and it will last much longer than term insurance, while building cash value much quicker...
I can set one up for you ;)
Alan Bliss
2007-05-03 15:18:19 · answer #8 · answered by Anonymous · 1⤊ 4⤋
cash it in, and invest it...unless you need the cash and by the sounds of it you probly dont...buy a thousand worth of 3 different types of stock
2007-05-03 23:39:22 · answer #9 · answered by edmoney 2 · 0⤊ 1⤋
I'd cash it in. In a new york minute. It's not worth it to keep paying on it. I can't believe they still are!!!
2007-05-03 15:11:28 · answer #10 · answered by Anonymous 7 · 1⤊ 2⤋