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-3
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0answers
69 views

Stock Market or Life Insurance as Investment

I am faced with a question and I am not sure what category this falls under. It regards a financial decision of investing into the stock market $9,000 a year, assuming a growth of 3.5% CAGR for 15 ...
1
vote
1answer
29 views

India - Claim missed LIC premium in declaration

I had to submit LIC premium paid receipts with my employer by December. One of the premium I could pay only on February and this was not considered for the last financial years' tax deduction ...
1
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2answers
46 views

Types of investments with built-in puts or similar safety features

I recently learned of indexed universal life insurance. One of the features of this type of investment is that a portion of the funds are used for puts, so the investment rarely (never?) loses money ...
1
vote
1answer
37 views

Term insurance or Pension plan?

5 years back when I was single and needed an investment to reduce tax liability, I bought a life insurance policy. The cover is 10,00000 INR but it has a money back option which pays 100000 INR, every ...
0
votes
0answers
12 views

Who pays for medical reports, if the insurance company needs to re-evaluate a policy?

Does my mother or the Insurance Company? For the History, please see points 4, 5 here.
0
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0answers
21 views

What to do, if insurance company is reevaluating your Permanent Life policy but you need to buy Term Life Insurance?

Question: I do not know what to do and hope for some objective advice. Should I apply for a Term Life insurance now? Or should we wait 10 weeks? I do not even know if my mom is covered during this ...
3
votes
2answers
183 views

What should I do if my mother forgot to disclose an illness on her life insurance application?

I only became aware today of the question's title while organising old files today. My family is Canadian. A kind person but with poor memory, my mother bought Permanent Life Insurance in Summer ...
0
votes
1answer
75 views

How do you find an ethical, honest independent insurance broker in Canada?

I live in Toronto. I hope to buy a 20-year Term Life Insurance for my (gullible) mother of age 58 to replace her Permanent Life Insurance (which I believe that the evil insurance agent exploited her ...
0
votes
3answers
90 views

Does a Whole Life Insurance policy for a child need his/her consent after he/she turns 18? [closed]

I am 25 years old, have no dependents, have NEVER smoked, do NOT need any Life Insurance, and do not plan to marry or have kids at all. I live in Canada. I just discovered today that my mother bought ...
0
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0answers
75 views

Should a 26-year-old keep or surrender a Paid-Up Whole Life Insurance?

Question: Right now, what should my 26-year-old cousin do with a Paid-Up Whole Life Insurance? Keep or surrender for cash? My 26-year-old cousin's insurance agent has confirmed the following details ...
0
votes
2answers
118 views

Wage earners of age ≥ 60 with dependents: What Life Insurance, if any, should they buy?

Source: p 336, Personal Finance For Canadians For Dummies (4 ed, 2006; but a 5 ed (2010) exists) by T. Martin, E. Tyson [Insurance Agent alleges:] “You won’t be able to afford term insurance when ...
2
votes
1answer
197 views

For insurance, why should you refuse $4,000/year for only 10 years and prefer $500/year indefinitely?

Source: p 336, Personal Finance For Canadians For Dummies (4 ed, 2006; but a 5 ed (2010) exists) by T. Martin, E. Tyson “Cash value policies are all paid up after x years. You don’t want to be ...
0
votes
1answer
65 views

Why would parents, of a young adult without dependents, not profit from the young adult's Term Life Insurance?

Hereafter 'Young Adult' means someone of age 18-35 and shall be abbreviated YA. These answers unanimously declare (per p 332 of Personal Finance For Canadians For Dummies (4 ed, 2006, but note that ...
0
votes
3answers
133 views

What insurance (if any) should a 26 year old without income buy?

Question: Given 4, should my cousin continue with Permanent Life Insurance, change to Term Life, or cease and desist from any insurance? Details: 1. Living in Canada, my healthy cousin is 26 years ...
0
votes
1answer
81 views

A lone income earner of 60 year old with 2 dependents: Should he buy Term or Permanent Insurance?

Question: Should my uncle continue with Permanent Insurance, change to Term Life Insurance, or does he not need any life insurance (but see 4 beneath)? Details: My uncle is 60 years old, and ...
4
votes
2answers
400 views

What happens if a person with life insurance goes missing and is found many years later?

Suppose a person has life insurance and goes missing while the policy is valid. His body is not found, noone saw anything which would be an evidence of the person death. Suppose going missing is not ...
4
votes
4answers
178 views

Buying Whole Life Insurance with adjustable term protection at 27?

I am a 27 year old male with no dependents, not married, $60,000/year income, and a poor family health history(Dad died of heart attack, mom of cancer, 3 living brothers with heart attack, diabetes, ...
2
votes
1answer
204 views

Why is it better to pay the life insurance money into a trust?

Trusts are a legal document where a person or a group of people are made responsible for an asset – in this case the Life Insurance pay-out. What difference does this definition make? I am simply ...
6
votes
2answers
401 views

What will happen to this life insurance policy obtained just before a possibly terminal diagnosis?

A family member in his early 40s recently suspected he may have cancer due to digestive issues. A life insurance policy for $500k was purchased. A basic medical exam to determine eligibility was done. ...
6
votes
2answers
1k views

Is life insurance linked to mortgage always a good idea?

My husband and I are 30 years old, have stable jobs, and earn roughly the same salary. We are buying our first house, with a 35% down payment. The monthly mortgage works out to ~15% of our combined in-...
0
votes
0answers
43 views

Why does the IRS allow tax-deferred growth in a VUL?

Why would the IRS allow your premium "over-pays" to be invested tax-deferred? What's their motivation? They already allow 401K so why this too?
3
votes
1answer
177 views

Does “no lapse” guaranteed life insurance mean you're always insured even if you miss payments?

What does "no lapse" mean? Does it mean that you will always be insured and the beneficiary will always be paid, even if you miss payments?
2
votes
1answer
232 views

How to dump whole life insurance?

I'm 5 years into my whole life policy with NWM and realizing that its just not a good investment. I've put in about 25k and now have 17k in cash value. I would like to take out that 17k and invest it ...
4
votes
1answer
1k views

Is Insurance policy money received taxable?

I have a LIC money back policy, which pays money every 4 years. I have received the 1st payment. I wanted to know whether that amount is taxable, and how would the tax be calculated? I am in India.
4
votes
2answers
2k views

How can you find out what life insurance a deceased person had?

So it seems like the way life insurance is supposed to work for a deceased person is that the beneficiary is supposed to somehow inform the insurance company of the insureds death (presumably by ...
15
votes
2answers
834 views

Is permanent life insurance necessary in retirement?

I have a salesman trying to convince me that permanent is a great option. What I can't wrap my head around is why I would want permanent life insurance in my old age if I have a retirement nest egg. ...
1
vote
2answers
66 views

How is “tax-free inside buildup” defined?

I'm not sure I understand the concept of "tax-free inside buildup." From what I understand, life insurance, annuities and IRAs (both Traditional IRAs & Roth IRAs) benefit from "tax-free inside ...
4
votes
1answer
150 views

How to recover value from a term life insurance policy?

This happened in Canada. A person has a life insurance policy that matures in 2024 (in 9 years) and he has been paying monthly premium since 1996 (for 19 years). He lost his job and is not able to ...
1
vote
2answers
168 views

Given advice “buy term insurance and invest the rest”, how should one “invest the rest”?

It is often recommended that people buy term insurance for a lower premium cost, and invest the rest of the money. It is said that the returns from your own investment are higher than the ones from ...
4
votes
2answers
846 views

Life Insurance - How Much is too Much?

My wife and I recently went through the process of purchasing term life insurance. We have the paperwork filled out, and I wanted to ask the audience if this is a waste of money. Our situation is ...
3
votes
2answers
322 views

What does a CFP do?

I am looking into getting a life insurance policy. Many people recommend that I consult with a CFP, others that I just get into the meat grinder and apply online at a big financial firm such as AIG, ...
1
vote
2answers
170 views

Life Insurance Policy for my Dad

My dad want me to get a life insurance policy on him. I have no clue where to start or even what type of questions to ask. What are the positives and negatives of buying a policy. Is it a sound ...
6
votes
2answers
564 views

Are there benefits to purchasing term life insurance with an option to convert to whole life, and what type of consumers should purchase it?

Most of what I read says, "whole life insurance is not for you", but they don't elaborate much more than that. There's even less about term life insurance that has an option to convert to whole life ...
0
votes
1answer
61 views

Automatic Deduction Receipts: Do I have the right to demand it from the business? What can I do to make them send it?

I understand that in every business, a consumer must always receive a receipt for a service/product, or the purchase won't be considered complete. I am currently insured by a big name company (who I'...
5
votes
3answers
778 views

Variable universal life insurance vs traditional long-term investments

I have been considering different ways to generate some returns on my money, rather than just having it sit in a savings account at the bank. My understanding is that the obvious first step is to ...
1
vote
1answer
229 views

Query regarding Term plan

I want to take a term plan and need your guidance on the following: Brief about me (it might be useful for you to evaluate my financial planning): Family:         ...
2
votes
3answers
131 views

Life insurance policy

Right after my graduation in 2008, I started a job. One of my friend was a policy agent at that time. He somehow convinced me to buy a life insurance policy from him and I did without thinking much (...
5
votes
2answers
361 views

What is the simplest way to describe indexed universal life?

Indexed universal life seems to be pretty popular these days, but it also comes off as very complex with a lot of small print. Without getting too complex, whats the simplest way to describe what it ...
3
votes
1answer
584 views

What happens if the term insurance company closes?

I have bought a term insurance plan for 35 years. I pay yearly premiums, and will do so for a long time if everything goes well. My question is, what will happen if say after 20 years the company ...
8
votes
3answers
1k views

What are the consequences of cashing out a whole life insurance policy?

My wife has bought a whole life insurance policy as an investment before we met. She is currently in her early forties and she has been paying into it for roughly seven years. I do not believe that ...
2
votes
3answers
227 views

What are my options for life insurance beneficiaries?

I get basic free life insurance as a part of the benefits package from my employer. Recently, I checked it and was surprised to find out that my ex-wife (been divorced for 5 yrs) is still the ...
6
votes
5answers
569 views

Whole life insurance as an investment vehicle

From everything I have read I still cannot be convinced of Whole Life Insurance but it seems to be the first thing any financial advisor is trained to sell. From what I read there are minimum ...
1
vote
1answer
70 views

With respect to life insurance, why is reversionary bonus called “reversionary”?

I've googled reversionary bonus and can see that it's a an addition to insured benefits (often made annually). But why is it called "reversionary"? Is something reverting? Who to?
4
votes
3answers
442 views

Do laddered term life-insurance strategies give significant savings over getting re-rated with shorter term policies?

I have been reevaluating my life-insurance strategy and having remembered an article about using laddered term life insurance to give you a higher amount of coverage in the short term with reducing ...
5
votes
3answers
369 views

Is Cash Value Life Insurance (“whole life” insurance) a good idea for my future?

I sat down with an insurance representitive today and listened to their proposal regarding Cash Value Life Insurance (CVLI) and long term investing. I am a 36 year old guy recently married with no ...
8
votes
4answers
453 views

Does a stay at home mom need term life insurance?

I know the idea is to get life insurance on anyone who has a dependent so what about a family of three with a stay at home mom? I would assume the dependent would only be the child as I can continue ...
2
votes
3answers
132 views

Whole life insurance - capped earnings

I realize from reading answers here that Whole Life insurance is not the best investment vehicle: When is Cash Value Life Insurance a good or bad idea? How can life insurance possibly work as ...
2
votes
1answer
76 views

What is the difference between “term life” and “term life with group rates” insurance?

I recently got an offer from AAA to purchase "term life" insurance (which I know to be the better type of life insurance), but at "group rates" - ie, the rates change based on which age band you are ...
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votes
1answer
63 views

Will life insurance be a problem if I go from full time to contract and back to full time?

Currently, I have life insurance through my employer. If I leave the company and become an independent contractor, then after 2 years go back to full time with another employer that also offers ...
9
votes
3answers
1k views

Employer wants a key man insurance policy on me, should I agree?

Friend is working for a small company as main person in charge of operations. The president is asking them to take out a key man life insurance policy on them. The benefit would pay out to the company....