Which Life Insurance Is Best: Term or Whole Life?
What Life Insurance Plan Is Best For Families?
One of the most important decisions and responsibilities a Dad has is to protect his family. When it comes to life insurance, there are many options out there and the endless choices can make insurance confusing and overwhelming.
Unfortunately, some companies use gimmicks, tricks, and buzz words to make their option seem appealing. At Rebellion, we want to cut through all that noise, all that fluff, all that B.S. and give Dads straightforward, clear advice on the life insurance policies that make the most sense for them and their families.
We believe if you're a Dad 50 and under, term life insurance is the clear winner and here's why:
Affordable and Effective Coverage: term life insurance gives you the most amount of protection without breaking the bank. Term life insurance is the fundamental plan to protect your family during the critical years of mortgage payments, raising kids, and saving for their future.
When you compare it to whole life insurance, which can cost 7 to 10 times more, term life insurance ensures your family is protected on a budget you can afford.
Customized For Your Needs and Wants: with options ranging from 10 years all the way to 40 years, term life insurance is able to fit your needs for the time you and your family need it.... not any more not any less.
Your Family Doesn't Inherit the Cash Value in Whole Life/IUL Policies: it's unfortunate and something many people don't know about, but when you pass away the cash value doesn't go to your family. That's right.... they get 0% of it. So, you could spend a lot of your income trying to build up a nest egg, but as soon as you die it doesn't go to your family.
Traditional Investment Vehicles Offer Better Returns Than Whole Life/IUL Policies: when comparing the upside potential and the downside risk, traditional investments like index funds outperform whole life policies.
Most people will challenge this and say the whole life policies provide cash values that are tax free. Yes, that is correct, but we simply ask those same people to look at the math. As an example: would you rather want $250,000 tax free or $500,000 taxed at 20%?
When we take the emotional and buzz words out of the equation, it's clear that a combination of term life insurance + traditional investments is the winning combo for Dads who want to protect their family and support their future.
While Term Life Insurance isn't the "One Size Fits All" solution for everyone, we do believe, unless you're retired or already uber-wealthy, it is the best option for Dads who want to protect their family because it maximizes what your family can receive, but still allow you the ability to enjoy life and make wise investment choices for your future.
