Equity Indexed Universal Life Insurance - pros/cons? - equity indexed life
I try to use this financing vehicle. Has anyone experience with it? So what? Bad?
Thursday, January 14, 2010
Equity Indexed Life Equity Indexed Universal Life Insurance - Pros/cons?
3 comments:
Do yourself a favor and read the book Missed Fortune 101 by Douglas Andrew. It's easy for people to make different assumptions about the products economically efficient strategies. But it really comes down to the financial situation of the individual and what they are trying to achieve. The author of this book explains how to create appropriate management of using home equity to ensure the safety of the liquid, and a return rate of no-load U.S. dollars otherwise caught idling at home. Buy term and invest the difference was an effective strategy in the 80s and 90s, but the financial situation has changed in the last 5 years has changed significantly. Thus, instead of reading, you hear people speculate about EIUL and alternative investment strategies, Missed Fortune 101 and make your own decisions and thoughts on what makes sense for you and the financial situation of the family.
Universal life insurance allows you to save money, you may need later. However, commissions and other fees suck universal life energy to lose a lot of money. They make more money in the long run if you buy term life insurance and invest the money into an IRA, 401K or not stored load mutual funds.
If you are on the financial pages that are not insurance, life insurance, in recommending the almost unanimous maintained long term. Look for reputable sites such as Yahoo, CNN, Dow Jones, SmartMoney.com, and Kiplinger's, and all recommended a term life insurance for most people.
Equity Index Universal Life insurance ensures that you will not lose money if they are held for long. You can even do it more cheaply without paying commissions to the insurance company. In short: half of their money in an IRA money market fund, and half of the IRA in a stock mutual fund. Held long enough, the money market IRA will double in value, so that they do not lose money, even if the stock market crashes. This example is a little harsh, but after reading the detailedconcerning their specific insurance, I bet I could be an investment program that will exactly mimic at lower costs. (Note that this example, life insurance and you could lose purchasing power due to inflation.)
Read these sources, and decide yourself. I like the Motley Fool article better, but also others, because I want to show a variety of perspectives.
Sources:
Term vs. Universal Life Insurance Products:
http://finance.yahoo.com/insurance/artic ...
http://www.fool.com/insurancecenter/life ...
http://money.cnn.com/pf/101/lessons/20/i ...
http://www.smartmoney.com/insurance/life ...
http://www.kiplinger.com/basics/archives ...
Overview of life insurance:
http://www.fool.com/insurancecenter/life ...
... http://finance.yahoo.com/how-to-guide/in
http://money.cnn.com/pf/101/lessons/20/i ...
http://www.kiplinger.com/basics/archives ...
Allianz good attempt, or AIG or ING
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