Is Whole Life Insurance A Good Investment at Life

Is Whole Life Insurance A Good Investment. For about 95% of u.s. Determining whether this investment strategy will work for you, consult a financial planner or insurance specialist.

So whole life insurance compares very favorably to other options one might chose as a “real” investment. You have two payment options when it comes to whole life, pay through age 100, or pay larger payments in a short time. Investopedia defines investment as “an asset purchased with the hope that it will generate income or appreciate in the future.”

Whole life insurance is generally a bad investment unless you need permanent life insurance coverage. While whole life insurance can be a good risk management tool, and is ideal for some as an investment, in many situations it will not produce the results you might achieve using other investment instruments. Combine these lapse rates with the likely returns on a whole life policy, and you see the devastating effect that whole life insurance, overall, has on the financial situation of those who purchase it. Affordable, flexible term life insurance at your pace.