Is it better for a 25 year old married male to buy Term Life Insurance or a Whole Life Policy? Why?

Question

Is it better for a 25 year old married male to buy Term Life Insurance or a Whole Life Policy? Why?

Answer 1

I have an insurance agent who informed me about these things. You should definitely buy a term life policy from a reputable company. Try to get it from a company that sells 20-to-30 year policies. And beware of the companies that will sell you term only if it is renewable in a short period (usually 1 to 5 years). Reason? Term compared to whole life is much cheaper. You could take the savings from that and put in in a savings vehicle. Whole life is a forced savings, but it cost the company more money to maintain. These companies roll that cost over to you. My agent tells me to buy term and save the difference. When you reach retirement age you want to have cash not a large policy.

Answer 2

If there is significant debt such as a mortgage and you want to protect the payments in the event of an early death then term is an acceptable vehicle. It should be supplemented by some form of permanent protection insurance (whole life, universal life or variable life). A competent insurance agent with a reputable carrier can assist.

Answer 3

It depends what you are getting the insurance for. To cover a 20 to 30 year mortgage, you would buy a term life policy.

If you want coverage that is around even after you retire, then buy a VUL. Its like a whole life, but uses mutual funds for a sub account. Find a local agent that will quote you on both policies. http://www.insuremylife.org

Answer 4

As those with the right answer have already said, both term and permanent forms of life insurance have their uses. Avoid captive life insurance agents who will only sell you their company's policies; and avoid anyone who uses a multiple of your income approach to determine how much insurance you need.



Better to consult a financial planner in your area. He/she will ask about your overall financial situation to help determine a realistic amount of life insurance to put in place. Your planner will also help you understand the differences between all of the types of life insurance available and how each might fit into your situation.

Answer 5

Go with term for the temporary needs like mortgage proctection and replacing lost income. Supplement it with small whole life for final expenses or other permanent needs.

Answer 6

Hi.



There's plenty of information over this topic in various search engines.

http://www.google.com/search?q=life+insurance+wikipedia&btnI=I%27m+Feeling+Lucky

http://www.google.com/search?num=100&q=%2Blife+insurance

http://www.google.com/search?num=100&q=%2Blife+insurance+wiki

http://www.google.com/search?num=100&q=+site:dmoz.org+life+insurance

http://answers.yahoo.com/search/search_result?p=life+insurance

http://www.google.com/search?num=100&q=+site:answers.com+%2Blife+insurance

http://www.google.com/search?num=100&q=life+insurance+forum

http://answers.google.com/answers/search?q=life+insurance&qtype=all&num=100&sort=qeprice%3AA%3AR%3Ad1

http://search.msn.com/results.aspx?q=life+insurance





I have a vague recollection that one of those two is generally a scam from the book of privaledged information.