Whole Vs Term Life Customer Information

There are some authors that are writing articles about life insurance that have no idea what they are talking about! I have read this one particular article in witch the author had made several misstatements similar to these (I am not aloud to quote word for word!)

?You can never get back the money that you spend on a term life policy.

Listen I do not know if this author is actually a licensed life insurance agent or not but the way the statement was read he was obviously pushing the sale of whole life insurance policies. While there are agents that try to make a big deal over whole vs. term life insurance policies, they are both useful. There are particular situations where you should think about a whole life policy and other situations where you should think about a term life policy. It is just that easy! Now, let’s see what the truth is about term life insurance and getting any money back. This author was correct in saying you lose the money you paid in for your term life policy. You can, however, purchase a “Return of Premium” term life policy that will give you a big percentage or all of your money back at the end of your term. These policies are actually very affordable and with the guarantee that you will get money back at the end, they can be quite cheap or free in the long run.

?While term life insurance is cheaper than whole life insurance the rates (of term) tend to go up and can become quite expensive.

This is a blatant misrepresentation as most term life insurance policies are guaranteed to be the same price throughout the length of the term policy. The only time that the rates will go up annually is if you purchase an “annually renewable” term life policy. The price will go up every year because you will be a year older. This is a policy (annual renewable) that you should have very particular reasons for purchasing and a good insurance agent would explain this to you. This statement, again, must have been made to mislead people into believing that whole life insurance should be the only victor in the whole vs. term life war.

There are a number of different life insurance products that are available to meet the needs of consumers and every consumers needs are different. A good insurance agent should give you all the information on these products and help you achieve your goals; not his!

W A Henderson: is a Partner of the Henderson-Kosor Insurance Solutions Agency. He frequently writes articles about Life Insurance Topics and the importance of working with an agent that can offer you a variety of insurance companies to work with. He strongly believes that an agent should work for his/her clients. To work with an agent that will work for you visit us at http://www.LifeQuotes4You.com

W_A_Henderson


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