FundRobot » Child Investment Accounts » Name 2 benefits for this family if the father chooses to invest in a life insurance policy.?

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Default name 2 benefits for this family if the father chooses to invest in a life insurance policy.

The father is a single father with young children who lives in a rented accomodation.
This is a Home Economics Question

JohnyZone is offline   Reply With Quote
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Default name 2 benefits for this family if the father chooses to invest in a life insurance policy.

First of all, a Life Insurance policy should not be considered an investment, such as a mutual fund, stock portfolio or income producing real estate ,e.g. a rental house.

The Life Insurance should provide money for a family should the bread winner die. The person needing the insurance should compare policies and rates.

Most experts say "buy term and invest the difference".

Compare the rates for various 20 year term policies and a couple of whole life policies. The insurance agent will push the whole life (because it pays a much larger commission), but it has "some" advantages over a "term" policy.

Life insurance is very simple to understand. Sometimes the sale people make it difficult.

Good luck, and he should look for a rich wife.
TodayIBUY is offline   Reply With Quote
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