My response to a friend of mine that commented on a story of a baby born prematurely in Canada and the socialized provided had no room for her:
Hi Loni, good to hear you’re well and working for a good doctor like you describe. Most doctors are exactly that way, and are not the problem but are becoming victims themselves to a socialized health care system – just ask how much they hate insurance companies, and then ask if the gov’t took control of it all at some point. They might say something like – “God help us.” Actually this story about Baby Ave is very factual, here’s the local new clip of their story http://www.youtube.com/watch?v=9wlyCKDmVFA , thankfully they lived close enough to Buffalo, NY. and were able to get Baby Ava into the US to get the care she needed in time. I can relate to this story, given I am a new Grandparent, Yes I said Grandpa – my step-son and his wife just had a baby that was 3 months premature, and THANK GOD we still have a pretty good system and received the best care from P/SL Dr. Richard Porreco who is a regional expert in neo-natal/feal medicine, and now our g-baby little Kyler is a happy healthy 1 year old as of tomorrow! (Pics below from last night) So trust me, this is not Democrat/Republican nonsense; folks like Shan and I are WAY beyond party affiliations. We understand that there is really no difference between Rep/Dem in D.C. anymore, it’s a false paradigm created to divide our nation! Read the book “Tragedy & Hope” by Carroll Quigley. We are simply freedom loving Americans that have been educated on how this all really works, we just want people to be aware of how 99% of Democrats & Republicans in Congress are destroying this country. Sadly, universal health care is just one example of this and has done exactly that to Canada’s health care system, as well as many other socialized countries. So much so in fact, that friends of mine in Spain talk about their retention of a private health care system even after universal HC was implemented because it’s absolutely demanded by the upper classes. Health care reform here in the US will do exactly this if we allow it. The goal for HCR is not to provide care to everyone, as you know – everyone already gets care, undeniably – by law. This is also certainly not about making health care affordable. HCR was built to do 3 things – give more control to the state to run all medical services that will make decisions for millions of people that now make them for themselves, diminishing freedoms and expanding the size of bureaucracies beyond any interest for any American & thus increasing the dependence of free people to the state & increasing taxes so much that it makes middle class Americans modern day serfs. I’ll share another article with you shortly where the social system is causing horrific effects even now directly violating the rights of Americans: http://www.hslda.org/hs/state/pa/201203270.asp. This problem is already here in the US – we just need to wake up to the facts behind the rhetoric espoused by corruption, manipulation & monopolization. Lastly, I am very privy to the inner workings of the health care system, I work in the insurance & financial industry – which I am very critical of, since I represent my clients to their coverages – and since health insurance carriers are all public companies, whose objective is to maximize shareholders earnings year over year, not necessarily to be the best for their insured people – additionally, as my wife being in health care admin for many years. I’ve also lengthy research and discussion with other insider friends working for providers that validate & back up my concerns. So in my opinion – the premise of health insurance is the biggest influence that this system caused to fail several decades ago (just ask your doc) and now for profit health providers that AS public corporations are duly required to seek one thing first and foremost – to maximize profit. When profit comes as a result of someone’s sickness or major injury – that is a major conflict of interest. Add in big pharm and you have a recipe for catastrophe. I hope this sheds some light on my perspective of why we need to keep HCR (socialized & universal health care) out – specifically the unconstitutional mandates that everyone have health insurance and work to make health care truly better by returning it to a non-profit system (speaking of hospitals & corporate providers predominantly, not doctors who have earned every right to make a good living) away from publically traded companies and even more important educating people on prevention through proper diet & excersise. That alone will be the BEST way to control costs & make health care really about health.
When people begin to hear the truth, it is so hard to hear, they often reject it and return to the lies they’ve been told for years.
Most insurance & investment advisors compare term to whole life insurance as a ‘Term vs. Whole’ and a ‘one over the other’ scenario, and they state multiple reason why having term life insurance is better because it’s “cheaper” and you’ll never need insurance for your entire lifetime, here is their argument:
“A principle concept of Cash Value plans is that people need life insurance for their “whole life”. This approach promotes the idea that you will always be in debt and unable to meet the obligations of your family. In reality, you only need life insurance for as long as your premature death represents a financial strain to your family. If you are out of debt and have built your savings, then why do you need to continue to pay for any type of policy? By getting rid of debt and maximizing other investment opportunities, the need for life insurance for your “whole life” is eliminated.”
First, I’ll address the main problem with that argument: 1) It NEVER should be a discussion to have one over the other. The fact is, the vast majority of people need both – simply because they are apples & oranges, they are designed to accomplish two different objectives. First, if one has a young or growing family, we need to use term insurance to protect for our entire life’s earnings in case we are not alive to earn them. For example if we earn $60,000 per year and have 35 years left to work (from 30-65), we’d make over $2.0 million during that period without considering ANY raises or increases or inflation. So, if we weren’t around for our family, they would lose the income we’d provide to them for that entire period of time – bottom line.
There are popular thoughts that all a surviving spouse would have to do is to pay the bills off and have a little bit left over for a cushion, or to have 10 x your income as life insurance in place. OK, so why…then what? What is the logic behind either one of those suggestions? Would either of them really give our family an option or the freedom to decide IF they want to re-marry, go back to work, etc? No, it only alleviates a short term pressure of bills & income for a few years. You’ve heard the old saying, if we’re going to do something, do it right…same thing goes for life insurance. I’d much rather have that amount I’m economically worth to my family, done, in place, taken care of, and checked off my responsibility list, than going through life knowing I’m burning those few extra dollars on satellite TV, or an extra hobby. Will my family remember me for having & doing things or for taking care of them for life if I was gone and couldn’t be there for them? That being said, let’s move on. Once the term insurance is in place, we know it WILL expire! The facts are that only 2% of term policies ever pay a death claim, because very few people die before they’re in their 70’s or 80’s anyway! So if we ONLY have term life insurance, all of the money we spent to have it goes down the drain when it expires. When that happens, term life insurance can be the most expensive life insurance we could ever buy. By the way, I will never downplay the family that has just a little bit of term insurance and it’s all they can do to afford that. Better to have that in place, and checked off, than nothing at all.
The real way to have life insurance is to pay for term life initially to protect our economic value to the family, but we have to make sure it’s convertible to whole life insurance just in case we do come down with a serious illness, and realize our need more insurance or might be pushing up against the expiration period (Yes, we can buy more life insurance even with a major illness, with special provisions inside our policy). Then not only have whole life insurance, but have a policy with a mutual company that is typically rated financially stronger than the publicly traded companies out there, and then also pays a guaranteed interest rate & dividends on our cash value. OK, so that’s the long term outlook. Now let’s look at the short term.
Having whole life insurance can be FAR more valuable to us while we’re LIVING than at death. Most people don’t know that the cash inside a whole life policy earns a guaranteed rate of interest FAR better than any bank, with dividends on top of that, AND the TAX FREE growth, it challenges any other asset because it grows EVERY year! There’s never a risk for loss! Now, watch this…if we then begin to use the cash inside the policy as a tool to borrow from (rather than a bank) we can then begin to avoid ever having to use debt from any bank or lender and the stress that comes with being in debt. Once we “lend ourselves” that money which is never more than a few days away in the mail, 100% liquid, without no fees or penalties, we then can pay our selves the money back WITH INTEREST! Now we’ve started a relationship with ourselves as our own financing capability, which gives us the ability to recapture ALL of the interest that we otherwise would have paid to a bank for the same loan. So all you have to do is as yourself the question, “Who would you rather pay interest to a bank or to yourself?”
After considering these aspects, the answer is clear, we need to use term life insurance while we’re young with a schedule to convert it over to whole life which will always pay a death benefit as long as we keep the coverage in force. Secondly, we use a smaller whole life policy separate from our “main life insurance” as a cash storage & financing instrument to avoid ever having to rely on debt during our lifetime. So, when we do eventually die, we (our family) will always get back more than we ever paid in premiums, making this the least expensive life insurance we could possible ever buy.
This dispels the myth that the “term vs. whole” argument presents. Does anyone NEED life insurance for their whole life, maybe/maybe not – but one thing is for sure, by having it, we save thousands and thousands of dollars in lost term costs & recaptured interest. So WANTING whole life insurance is really more about the desire of having it rather than “needing” it. Now does this promote the idea that we’ll always be in debt and unable to meet obligations? Absolutely not. It promotes NO indebtedness to any lender but promotes using our own money to finance our major purchases in life, and ever diminishes the obligations and liabilities of our family. This very process eliminates the need for debt, builds our savings at much better rates than the bank, with absolutely no risk over other “investment opportunities”. In addition, the aspects of the cash value & death benefit give us more retirement options than anything else we can compare it to. With it, we can derive both passive & higher amounts of income without the reliance on interest rates & market returns, paying less in taxes AND having the ability for the death benefit to replenish the value of all other assets that can be used to maintain a comfortable lifestyle during our golden years.
So, ultimately it is never a question of NEEDING life insurance for a lifetime but rather WANTING life insurance for a lifetime.
You know, I’ve found that most people really have been misled about where to start when beginning a financial plan. Just as I did years ago, following conventional thought, I wanted to see what I ‘needed’ for savings, kids college & retirement, and was told to start investing that money into the latest and greatest or popular investments out there. But after a lot of thought & education, what I’ve learned is how that is such a one dimensional approach. I mean, I could have saved up tens or hundreds of thousands of dollars piling up dollars in one single area, and one event in life could have cleaned me out in one fell swoop! So, you ask “Where DO I start?” Candidly speaking it’s pretty simple – when it’s well explained – and there are certain steps that we can ALL use to make sure a good plan is in place. Bottom line is, everyone can do the same basic things to make a plan solid.
Where it changes from person to person is just what area they begin with first: like, an emergency fund, or auto & home insurance, or budgeting, etc. That’s Step 1, and once their greatest area of stress or concern has been alieviated, then move on to Step 2…and once they have all of the the 4 main areas covered – good cash flow, good insurance protection, reducing debt & building assets, they can begin with specifics to work toward financial balance.
If you think of financial planning as something that you don’t need yet, just because you’re simply trying to tread water…join the crowd. In a recent poll, 94% of Americans wished they did a better job managing their money. So what’s the answer, you ask? Why aren’t we more financially literate? Plain and simply – its education. Yes we know the traditional educational system is somewhat dysfunctional but as for finances, it’s downright absent! If you’ve been on this planet long enough now, you’ve figured out that what information is worth while, has to be sought out and founs for ourselves. That may be a friend, family member or trusted advisor helping educate us or it might be searching for & stumbling on solid make sense information. One thing is for sure, we cannot depend on schools, whether primary or higher ed to present clear and factual information into our laps.
Look at what happens today, credit cards companies are allowed to prey on young financially naive students fresh out from under their parents roof – right on most major college campuses these days – that’s like opening up the chemical cabinet while the toddler is playing in the kitchen! It’s downright ludicrous! Then you can forget about media, we’re lambasted with the latest and greatest of what to invest in & how’s it promises better than it should in the past. God forbid we follow our government’s example – they’re more BROKE than we are! So it’s self-education right? Right. We have to sift through the message we hear in the major media, pay attention to our parent’s and grand parent’s experiences and advice, and find some sort of information that it trustworthy. But HOW? Honestly it’s obviously that only 6% of American’s feel confident about their financial decisions…so what are they doing? How did they get let in on the secrets of financial prowess?? Like most other things, it was a learned behavior that was taught to them by either their generations previous or somehow, someway they were reached out to by someone that loved them and they trusted. Either way this 6% of Americans at least feel they’re on the right track. One thing is for sure, we have to look at this thing called a financial plan and know it’s an elephant that we can only bite, chew & start to digest one bite at a time.
Creating a personal or family budget can be a difficult and challenging excercise at first, but once it’s done and operational it can be the most effective thing to allow financial balance in your life. Budgeting is not a perfect science, I don’t know of ANYONE that is 100% perfect with their budget (neither personal, corporate and especially government), but the idea is to have one written down on paper or better yet an excel spreadsheet, where you can make easy calculations and have every dollar of income spent on paper or accounted for BEFORE the checks are actually deposited! This is KEY. This is know as a zero based budget, or at least know by Dave Ramsey students as such. It’s very effective and rather than limiting to lifestyle can be more “freeing” to a lifestyle than anything. Followed up by managing the money spent, whether it’s all cash using some sort of an envelope system (very difficult considering its almost impossible to pay all our bills in cash these days), using pre-paid debit or Visa cards to grocery stores & gas stations (this can be handy if the food & gas budget need to be funded before any of the rest – all grocery stoes & gas stations accept Visa and some have their own pre-paid cards with no fees), or it’s distributed by transfers to 2-3 different bank accounts ( for example one fore major bills, one for savings & a third for all those EFT debits – which can be key to prevent any overdraft and bank fees with are huge budget killers) and then finally, tracked by a software based budgeting & monitoring system (i.e. Quicken, Mynt, even Wells Fargo banking online), anything here works and will help you measure your success to your own rules that you’ve set up for yourself. The absolute KEY here is start small & basic, don’t get OVERLY detailed and kill yourself spending hours creating an elaborate budget trying to over analyze and then eventually paralyze your system – trust me on this one from personal experience! It’s vitally important to remember that once we’ve taken the bold, admirable step & set out a goal or objective to attain, but have no way to accomplish or measure our success in actually doing it, the likelihood for failure is almost certain – and can kill the dream we had to begin with. But, if we can see it working & even not-working by some process of implementation with a tracking system and can make adjustments along the way, this is almost guarantee for success in one way or another! It’s like playing a football game, if we go out with no play book or game play, winning that game is HIGHLY unlikely. But if we have a good set of plays, a good game plan, and can make adjustments at time outs & half time, we definitely have a chance for victory!
When figuring out your monthly budget, everything is determined by your income. If you are paid on a salary or hourly wage, it can be fairly easy since you know what you’ll get for the most part every two weeks or on a monthly basis. However, the most challenge I’ve seen with budgeting is when a family has self-employed income and doesn’t know what will be coming in on a regular basis. In that case, the basic fixed expenses need to be covered first and then the remainder of the budget can be determined on a percentage of income for that month. If the percentage exceeds the bill or expense in one category for one month, save the difference as an overage in the same category for the next month just in case you’re short! If some expenses are seasonal, they can be directed over to the emergency fund until it’s fully funded. That means, 3-6 months of living expenses for employed by someone and up to 12-18 months for self-employed or business owning families.
From there the budget can be build using Priority Layers. So as for the basics, food & gas/auto or transportation expenses are priority #1; cell phone, internet & communication can be a close #2 since getting & having a job or running a business depends on these to “keep the phones ringing”, and if you’ve like most people reading this, you’ve probably already committed to such things as a housing expense like rent or a mortgage, the utilities those come with (gas, electric, water), internet & insurance are here as well. The insurance categories among a few others are next at #3 from here. Since these are already committed expenses, they are fixed and for the most part don’t change on a monthly or even annually basis. Your food (grocery) bill can have some flexibility to it, if utilizing coupons, buying in bulk, discount stores, etc. which can thin the budget out a bit otherwise you already have a general idea how much you spend. Keep in mind special diets, organic foods, & dietary supplements can drastically increase a budget in the short term, but in the long term can keep your health intact and prevent HUGE costly medical expenses for a LIFETIME. This goes for medical expenses too, small chiropractic, massage and a basic exercise plan are small costs to pay now but are mainly preventative and will save big money on general medical & even mental health expenses for the years to come. For the rest of the categories, base your budget on layers of priority from there in case something happens to income from a layoff, loss of income from work due to an accident, or God forbid a premature loss of a family member especially one that is an income provider.
The Priority Layers can be determined in #1-#4, for example:
#1: Tithe, food, housing, phone, gas & transportation
(*the tithe is the first 10% that is given to God first before taking the rest of the income for ourselves, this is the only sure fire way to be in any good status of financial health possible, giving over and above the tithe – be it 5, 1 or 20% is the next way to get into the BEST financial shape we can imagine. The vast majority of people even church goers do not tithe & give and therefore do not experience the BEST insurance & financial blessing anyone can buy, God’s. But it is promised that if we do, He will protect our household from harm & provide for all of our needs and hear’ts desires. Reading reference, The Blessed Life by Robert Morris)
#2: Insurance, medical bills, car/home maintenance, trash, emergency fund, kid’s extra-circular activites
#3: New clothes, gifts, hobbies, entertainment
#4 Clubs, vacations, maids services, etc.
When we’re just starting out, setting these priorities is a little different and can be done in this order:
#1: Generate an income
#2: Tithe & give (10%-20%)
#3: Pay ourselves first (10-20%)
#2: Protecting our income from risk of loss
#3: Determine the type & kind of housing, transporation and lifestyle we wish to have and avoiding debt at all costs
#4: Protecting our property from risk of loss
#4: Building or protecting an emergency fund & liquid cash cushion (3-6 mos of expenses)
#5: Determine how we will build assets & utilize liabilities (college, car, or mortgage) to build our own assets by paying ourselves interest from debts incurred by them *Recommended reading Becoming Your Own Banker, by R. Nelson Nash
From here, understanding that a personal or family budget should be a “living project” that is used, interacted with by an entire family and will build and teach value for generations if it is. In my household money wasn’t talked about much around the dinner table, because we didn’t have much of it! So, those conversations weren’t fun to have for anyone especially my Dad who was the sole provider for most of our lives, until my Mom joined the picture as I got older. But because it wasn’t discussed, money principles were a complete unknown to me as I left the house and began adulthood. That spelled trouble for decades, until I began to learn it all for myself by reading and listening to those that were older & wiser, then from the experts and going on to have my own experiences. If we teach our children and the young ones in our society, the “mysterious” subject of money, financial health & balance will become more and more a well practiced trade in our homes, businesses and governments for our future generations. Remember it starts at home around the kitchen table and is NOT to be learned by a kid freshly launched into college & adulthood to be at the whim and prey of the vultures & pitfalls that they will encounter. If we ever wish the best for our children’s lives to run fairly smoothly for them, the old Boy Scout system of “Always be prepared.'” should be well installed into the operating system of our children’s minds before they’re ever “booted-up” and plugged into the world, expected to run properly before seeing a major FAILURE blue-screen of death that can come up unexpectedly in life.
Another financial blogger has asked these two questions about the Infinite Banking or Bank on Yourself method and the insurance companies that sell the policies used by these methods. He says:
“Some are saying this isn’t anything new, it’s just being marketed differently. So, if it isn’t new, then why did the others stop doing it? Maybe it’s something that sells well when the economy is looking bad and everyone is scared, but nobody wants to get in when things are going well.”
I’ll answer this in a couple parts. First, the practice of infinite banking has existed for almost 200 years when cash value life insurance was incepted, but wasn’t named or ever really marketed as such until R. Nelson Nash first wrote a book called Becoming Your Own Banker about 11 years ago. After practicing and teaching the concept of utilizing a dividend paying whole life insurance policy as a form of banking since the late 1950’s, he decided to write the book. Now in his 80’s, Mr. Nash travels, teaches and speaks about economics and banking all over the world.
To clarify, no single person or company has ever stopped “doing it” or selling these policies. Every insurance company that exists today sells a whole life policy that can be used with the IBC concept, but only dividend paying mutual companies are the best to use them with. In fact, there are some companies that used to be mutual companies that have since gone public in order to raise capital by selling stock just to get bigger and sell more polices, but none have ever stopped selling them all together. Instead, those former mutual companies – now public companies just give the dividends they issue to their share holders rather than their policy holders. For two centuries now, those that learned about it’s intrinsic benefits, such as the very wealthy, even large banks themselves have used whole life insurance for their own tax sheltering and guaranteed cash growth. So, it never matters what the economy is like, whole life policies will always be used – because of their following unique properties: Liquid Cash value growing at guaranteed rates with dividends well above interest rates that banks offer – completely free of taxable growth, with no risk for loss – and a death benefit thrown in just for the heck of it. In fact the largest banks and corporations in the world use whole life insurance as part of their own secure capital, liquidity, and cash reserves in the hundreds of billions of dollars and as huge percentages of their assets. *See BOLI – Bank Owned Life Insurance http://www.investopedia.com/terms/b/boli.asp#axzz1iLmyyRgY
3) Why aren’t the major insurance companies selling this? Are they? I’d like to see what the big insurance associations say about them.
In fact, every major insurance company sells them. But only the highest rated & safest insurance companies are the ones that are recommended to use them with. They are the 4 major mutual companies – Northwestern Mutual, New York Life, & Guardian Life. Why? Because unlike public companies, the mutuals exist solely for the benefit of the policy holders that own them – there are no major share holders. There are no risky investments, or expensive indiscretions made to benefit the ‘fat cats’ at the top. They’re almost like non-profits, but they’re not, they’re better described as for profit companies that give all the profits back to their customers. So, when you ask the big insurance associations about them – you’ll find they are at the certain TOP of the list when it comes to performing, client satisfying, & best touted in the industry. However, you may find that when you ask your local Northwestern rep about infinite banking, he may downplay the term, but if you ask him about the attributes I’ve described, he’ll talk with pride as if you’ve asked him about his own first born son. In fact, you won’t find any financial tool in existence today that matches the unique properties of mutually owned, dividend paying whole life insurance when it comes to tax-free growth, liquidity, returns without fees & penalties, & a death benefit thrown in just for the heck of it.
Here’s another response to Question 1 posted read by J. Steve Miller, a fellow blogger, and what he asks when the “experts” talk about whole life insurance:
“The Websites for these groups (infinite banking proponents) immediately start explaining why Dave Ramsey and Suze Orman are against them, saying stuff like “They don’t understand these policies.” Well, from what I’ve read of Suze, although I don’t always agree with her, she’s pretty thorough on things, particularly insurance. I’d want to know precisely why Suze and Dave are against this. If you don’t understand their criticisms, you don’t know both sides.”
GREAT question! So WHY are Dave & Suze against whole life insurance?? Bottom line, they compare whole life & term life like apples to apples, that they are not! Then, also whether to buy one or the other, which is absolutely the wrong question! People buy life insurance for mostly one reason, to protect their families against the loss of income due a pre-mature death. The same reason I use term life insurance for a $1 Million death benefit in case I don’t make it home to my family one night! So term life insurance has one benefit – in case of death. Whole life, to put simply, has two benefits, both death benefit AND living benefits, which is why the premium dollars to calculate term & whole life are built completely different. Term insurance just covers the “cost” of the insurance based on the calculated risk that I’ll die between now and the end of my 30 year “term”, thus the definition – term life insurance – the fact is that only 2% of all term policies EVER pay out a death benefit claim because most people live well beyond the end of their 15,20 or 30 yr term they bought as a 35 year old. Then when they expire, ALL of the dollars paid in premiums are gone & used up by renting the death benefit protection for that pre-determined period of time, that has now expired – assumed completely by the insurance company as pure profit. So, ask yourself, would you rather keep the insurance companies in business or get your money’s worth? OK, then let’s compare: the premiums for whole life insurance are calculated completely different, since 100% or every single one (vs 2% of term policies – just a few of them) of whole life policies kept in-force pay the death benefit. They are built for the LONG term, when people actually will die, like between 65-85. This means that if I put money into a whole life insurance I get two things – the death benefit (at whatever age I die – even 100+ if I get to live that long) AND the living benefits of the following:
A) to allow the cash inside the policy to grow tax free at a guaranteed interest rate every year + an annual dividend
B) to USE the cash accumulated inside my whole life policy while I’m living, for whatever I want – (cars, college, weddings, vacations) like a bank account, but bearing a much higher guaranteed interest rate (typically 4%) much higher than my savings account with the bank down on the corner – which hardly ever pays even close to <1% anymore. Then IF and only IF, my whole life policy is with a mutual insurance company (mutual companies are owned by every single participating policy holder NOT major stock/share holders like public companies), there are only 4 big mutual companies left in existence by the way… I’ll get a dividend paid on my cash every year, which can vary based on the declared dividend by the mutual insurance company every year, and finally…
C) to grow the cash inside my policy enough for it to become a tax-free income during retirement. Now, after only a short period of time of about 12 years, when I compare the dollars I’ve paid in premiums for whole life to the cash value & the death benefit I now have – I’ve totally broken even and EVERY single dollar I’ve paid or ever will pay in premium will come back to me in either cash or death benefit. Sound too good to be true? Yes, frankly it does, which is what I said too when I first began to understand it. Truth is, this has all been possible for almost the last 200 years but sadly all of these methods haven’t been taught for very long because only the very wealthy quietly used these policies in such a way. It wasn’t until those that have discovered these benefits began teaching it more widely outside of the insurance company’s own marketing efforts has it become even marginally known about – and without them being specifically biased to any certain one of the mutual insurance companies, except for a very few small differences in policy details.
At this point, you can see that term life & whole life policies are VERY different and are certainly apples & oranges. And like apples & oranges in our diet, BOTH are wisely recommended to be used in our financial “diet” and are both wisely used simultaneously. I own a term life policy to efficiently & inexpensively protect my family from any potential loss of income to a maximum amount of death benefit, and I use smaller whole life policies for ALL of the living benefits stated above. Eventually, and as young as possible, I’ll want to convert every dollar of my term policy into a whole life policy so that it will never expire, I’ll recover every penny of premium I’ve ever paid and will become the least expensive form of life insurance I could ever possibly own. Not to mention all of the other benefits of what whole life does during retirement to give me more income while paying less in taxes, and being completely independent of what interest rates or the market does if I chose the mainstream method of not owning whole life and just renting term life & “investing” the difference. In fact, you could add the likening of term & whole life, to renting or buying a home. I rent until I can save enough and afford to buy, then enjoy all the benefits of owning over renting.
So, if Dave & Suze ever bothered to learn this and tell you about it (assuming they’re just naive & don’t kn0w), they’d have to make a complete 180 turn on everything they’ve ever taught, which I”m sure they feel would detract from their reputation and the business they do with the insurance companies they promote. Of course if they do know these differences and still don’t tell you, well then, that’s another problem in and of itself isn’t it?
If you have any questions, I’ll be glad to answer…