Life Insurance products with Cash Value!

O.k I’m writing this post because I am coming across too many people who have purchased life insurance products that are getting taken by their so-called financial adviser. Many of you have more that one permanent insurance policy! Why? is my question, why would your financial adviser do that to you. There is no reason for that to be happening except that he gets paid for the two policies written. Each policy especially if it’s a Whole Life type has extremely high fee’s and high costs. Flat out Whole Life policies are terrible and if you have one get out ASAP and get a different type of life insurance like a GIUL(Global Index Universal Life), it’s the one that I have.

Having a savings plan within life insurance is a great idea because the IRS allows the growth to be TAX FREE, meaning you don’t pay taxes on the growth unlike your current tax qualified accounts. (Click here for a great article on this secret tax code). The idea with this type of policy is to over fund it, the more money you dump in this policy the more it will grow….When you are getting 9%,10%,11%, 12% or even 13% on your money TAX FREE why not. But the kicker is why is your adviser selling you two of the same policies when you should just over fund the one. Now if you need more insurance coverage then buy a term policy, it’s very inexpensive especially if you are healthy and under 50, if you are a female it’s even cheaper.

So people do your home work, I know that consumers aren’t aware and are very trusting and if you get a great sales person then you are doomed, always check your gut ask questions and lots of them.

Reasons why I personally chose the GIUL for me is as follows:

1. It’s Tax Free on growth
2. It has a 1% Guarantee(i.e. you won’t lose your money)
3. It has the high rate of returns of up to 13.25%
4. It’s liquid, you need not wait until 59.5 to touch your money, therefore you are in control.

Lastly, in your 401k or any other tax qualified account let’s say that you save $500/month for 30 years at a return of 12%, that’s roughly $1,700,000 in your account. But after you pay taxes, depending on how you withdraw your money either in a lump sum or annual installments also dependent on your tax bracket at that time you will pay anywhere from $500,000 to $875,000 dollars in taxes…So the question really is, who did you really save all those years for? The government! With Life Insurance it’s your money 100% tax-free. Due your due diligence and contact an expert today.

Here are a few video’s for you: