Life insurance?

I may get roasted for this....

...also this is for my Canadian boys ( Americans might be able to get it but I don’t know )

I have a 20 year whole life policy.

A whole life policy is a drastically more expensive policy which after its 20 year mark doesn't expire but actually turns into an investment.

Because I signed up at a younger age my premium was smaller compared to my husband who's was about $1000 more per year.

I pay $5500 / year which gives me a $500,000 death benefit if I die but also gives me a "forced investment" after that 20 year mark. All in all, if I don't take any more out after that 20 year mark and leave it for another 10 years ( so 30 years + my age when I started 28 = 58 ) It will be just over 1 million dollars ( oh how compound interest helps this )

If you have the funds to be able to do this I HIGHLY recommend it.

Again, its WHOLE LIFE insurance, not TERM LIFE insurance. On a side note I also have a $750,000 term life policy which I pay $250 / year.

 

You are completely correct. It is an investment. But I can't think of a long term investment that has a worse rate of return. It is truly an awful, awful, awful product.

If you calculate out the rate of return on your money, whole life is somewhere in the 1 or 2% per year range. You can make that much putting your money in a CD at the local bank. Or get an average of more than 10% just buying a Total Stock Market Index fund at Vanguard.

 

I use New York Life.

 

Same here, $67 with AAA

 

I have cremation cost saved up for the wife and I. Other than that I just wing it and hope I die on someone else's dime.
With this being said I only have a house and medical payments. So i don't I don't need to leave much.