NBC News – Investing In Life Insurance
Investing in life insurance can be an important asset in your investment portfolio.
Duration : 0:4:39
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why will u evr …
why will u evr invest for a interest rate of 4.5% 4 long term
its a pathetic person who is speaking crap in this video.]
investments are availabl wit better returs n as u hve time to help grow ur money….
never go 4 nrhtng like wholelife. varaible or money back … its the biggest scam.
only do term ss thats wat protects u
c videos of dave ramsey n suze orman on n u will understan
dont be trapped it only helps their pockets as they get nearly 100 % premiums as commision..
Does anyone hear …
Does anyone hear understand how Primerica’s “wavier of premium” works? How long does coverage last if I become disabled?
You’re right! …
You’re right! Guaranteed death benefit for your family and long-term savings that won’t lose value…such a waste. Perhaps a better idea is taking my money and throwing it into a slot machine and if I lose it all, at least I had a good time!
it makes no sense …
it makes no sense to have Life Ins and saving in the same policy… Stupid move
Great Dear Abby …
Great Dear Abby article today – woman wrore in about being guilting at having her mom cremated instead of buried as her mom wished. The mother “had no life ins” and the kids were already financial burdened. Daughter is in counseling from this. This type of situation is exactly why I own WL. My advisor asked me how I wanted my heirs to pay my final expenses (burial, medical, legal, taxes) and did I want that $ guaranteed. I sleep well knowing my kids won’t be burdened like this lady.
TermLifeAssurance, …
TermLifeAssurance,org
TermLifeAssurance,org
Blah blah blah! …
Blah blah blah! Term life is the way to go, seriously, look at TermLifeAssurance,org
TheInsWiz, …
TheInsWiz, regarding your 40 year old scenario. When calculating the Value of the DB growth, you are calculating the compounded interest equivalent of the premium, not the initial DB value.
So, a 30 year old person paying 10K in premiums each year for a $1 million policy who dies at age 70 might have a DB of 3.2 million (40 years of paying 10K growing at 8.5%). If he doesn’t die, he’d have 1.2 million+ in CV.
That’s how I calculate it at least. I hope it is more clear now.
TheInsWiz, …
TheInsWiz, regarding my calculations. First, my figures are not actual projections, I was just demonstrating the fact that the DB grows. Second, that’s why I said “1 Million+”. I just wanted him to understand that WL DB is not stagnant at its original value.
Matter of fact …
Matter of fact bweazel listen to the last 4:15 of the video it will tell where the money is invested.
Insurance companies …
Insurance companies invest in some of the most conservative vehicles around.
Whole life the death benefit and CV is guaranteed.
Not here for …
Not here for another match…..Just want to clear a few things up. You wrote, “Second with the death benefit growing at 8-10% (also tax free), it’s not a bad deal either.”
So are you saying that a 40yr old buys a $1mil WL policy from NWM at age 70 his death benefit would be $10mil+? He makes it to age 85 his death benefit would be over $36mil? I am using 8% growth.
Now if what you are …
Now if what you are saying is true then that would be a growth of about 4.6%.
You are correct about the CV being guaranteed.
Just following up. …
Just following up.
500k to 1 million today is about 2.3%. If that is true then what is the cash value growing at <2.3%? Maybe I am calculating wrong or am I misunderstanding you?
I know what I’m …
I know what I’m talking about. Any other questions?
Continuing point …
Continuing point Four: The “non-guaranteed” column on an illustration is based on the current dividend of the company. Dividend slowly go up and down over time so they won’t always be accurate, but fairly close. None of the top companies have ever had to fall back onto lower “Guaranteed” values.
Fifth, regarding your last 3 sentences, the answer is NO. Once you start paying your premiums, your policies DB and CV start to grow. Whenever you die, your beneficiaries get the “entire” DB.
Is there a fifth?
Is there a fifth?
Third, DB in WL …
Third, DB in WL policies grow. They have been for a long time. One of mine has been for 30 years. It’s now worth 4 times its original value. This is one of the big reasons why people/banks/corporations get WL in the first place. This is a fact.
The DB and the CV are related, but not the same.
Fourth, CV is guaranteed. On an illustration there us a “guaranteed” Column and a “non-guaranteed” Column (legally, both have to be shown). Guaranteed values are much lower, but guaranteed.
First, I am not a …
First, I am not a LI salesmen. However, I “was” once a Financial Rep at Northwestern Mutual.
Second, the investing that happens in Hedge Funds and the investing that takes part at WL LI companies is like night and day. WL LI companies “legally” have to invest conservatively. The 4 top companies have been in business for 150+ years (Guardian is a little shy of 150). During all the US financial crises of the last 150, the top WL companies have been quite strong (including our most recent).
Bweazel, ok . . . …
Bweazel, ok . . . I’m going to try and be nice here. Virtually everything you say is wrong regarding WL. I’m going to take it from the top and address all of your questions and misconceptions.
Of course I refered …
Of course I refered to the cash value. Are you saying the death benefit grows? Umm. From what I understand of whole life policies, it is permenant insurance. If I take out a 500K policy, I’m getting 500K when I die, plus any cash value that I have built up. Are you saying that you have to pay into these plans for a set time before you can have the entire benefit delivered upon your death? There’s doing homework, and then there’s just sales pitches. Yours sounds like the latter.
Oh by the way, yes …
Oh by the way, yes there is a reason. Because people could use that money better on their own, instead of the insurance companies putting into hedge funds that may crash and burn. Your death benefit is garunteed, but I haven’t heard that any cash value in these plans are garunteed at all. Am I mistaken?
Wodendog, there is …
Wodendog, there is no reason why life INSURANCE should suplement your retirement. Like I said before, it’s greed on the part of “insurers”, who have now turned into (always been) hedge fund whores.
I was under the impression your cash value grew and your death benefit remained constant. Your death benefit grows? Huh? Since when? 500K policy worth 1mil today… is that additional 500K not your cash value in the policy?
For the second time now, are you a life insurance salesman?
Bweazel, there is …
Bweazel, there is no reason why Life Insurance can’t supplement a retirement plan.
When you ask about my “second part” you refer to CV, when I was in fact referring to DB. What have I said that was misleading? DB is the Death Benefit (what is paid out when the insured dies). As the CV grows in the policy, so does the DB. A 500K policy bought in 1980 would be 1 Million+ today (DB).
I have found that very few people commenting on CV LI policies actually do there homework.
What are you an …
What are you an insurance salesman? I didn’t hear the “internal rate” part. There is no reason your life insurance policy should also be your retirement policy, it is simple greed on the part of the insurance companies. I mean hey if you got the money, have at it, but if you have the money, you should be investing into many other things, not life insurance. I’ve done my homework. Your second part is a tad misleading there, at what point during the 20 years will your cash value grow at that rate?
In WL policies the CV -normally grows at slow fixed rate- is ALWAYS a part of the DB paid to the beneficiaries of the (now dead)polyciholder.. You do not get a DB PLUS CV.
Wondedog is probably confused with other CV representations.