I think there is no term policy that offers dividends. It is a kind of policy that offers protection on a limited number of years. So that money you have put into it wont earn a dividend. You are paying for the protection that it can give.
Posted: Mon Oct 13, 2008 03:38 pm Post Subject:
BigZ,
I think I have the answer you're looking for. No.
Back in the 80s, several companies experimented with term dividends but found that the extra premium made their products less competitive.
Posted: Thu Oct 30, 2008 08:44 pm Post Subject:
I heard 1% of term polices pay out. That is crazy only 1%, I don't like betting on my death.
Posted: Thu Oct 30, 2008 08:57 pm Post Subject:
Universal life actually developed from whole life. The advantage of the universal life policy is two-fold; Both the death benefit and the premium payment are flexible. The death benefit can be increased (subject to insurability, of course) and decreased without surrendering the policy or getting a new one. This would be required with a whole life policy.
Also, you are able to change the premium payments; from the minimum amount to cover expenses, to the maximum amount allowed (by IRS rules)
Posted: Sun Oct 12, 2008 05:10 pm Post Subject:
I think there is no term policy that offers dividends. It is a kind of policy that offers protection on a limited number of years. So that money you have put into it wont earn a dividend. You are paying for the protection that it can give.
Posted: Mon Oct 13, 2008 03:38 pm Post Subject:
BigZ,
I think I have the answer you're looking for. No.
Back in the 80s, several companies experimented with term dividends but found that the extra premium made their products less competitive.
Posted: Thu Oct 30, 2008 08:44 pm Post Subject:
I heard 1% of term polices pay out. That is crazy only 1%, I don't like betting on my death.
Posted: Thu Oct 30, 2008 08:57 pm Post Subject:
Universal life actually developed from whole life. The advantage of the universal life policy is two-fold; Both the death benefit and the premium payment are flexible. The death benefit can be increased (subject to insurability, of course) and decreased without surrendering the policy or getting a new one. This would be required with a whole life policy.
Also, you are able to change the premium payments; from the minimum amount to cover expenses, to the maximum amount allowed (by IRS rules)
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