This can be a rabbit hole and I know it's not cookie cutter; but, as a newer agent (with my Series 7 & 66, Life & Health, hopefully CFP soon) with a mutual company, I need the real low down on the Term vs. Life argument.
I have yet to hear compelling discussion between two intelligent, experienced people from both camps. It's always the Dave Ramseyites speaking in their own comfort or on the other side, the R. Nelson Nashites doing such.
But, there's so much clutter on both sides. From what I've looked at on historical records on both accounts and some of my own experiences--Term Insurance popularity really picked up in the 70s based on sells. Permanent has lost some luster do the higher premiums and distrust of the financial industry (Yes, the cash values go forward--but people have become leery of trusting the historical returns, dividend charts, costs, etc.).
That being said, can I just get some feedback to help my own planning. If I have an ideal client with the ability to save a good portion of their income (let's say $1000/mo. after maxing a Roth, doing their employee match at work, having an emergency budget established)...if I want to maximize their money efficiently while creating diversity and future leverage--should we be looking at doing a heavily overfunded permanent plan (pros/cons?), term plan and invest elsewhere (pros/cons?), or should we be doing a mixture of both?
I'm open for all to give some good feedback. And like I said, pros/cons on both sides would be greatly appreciated!
Thanks!
I have yet to hear compelling discussion between two intelligent, experienced people from both camps. It's always the Dave Ramseyites speaking in their own comfort or on the other side, the R. Nelson Nashites doing such.
But, there's so much clutter on both sides. From what I've looked at on historical records on both accounts and some of my own experiences--Term Insurance popularity really picked up in the 70s based on sells. Permanent has lost some luster do the higher premiums and distrust of the financial industry (Yes, the cash values go forward--but people have become leery of trusting the historical returns, dividend charts, costs, etc.).
That being said, can I just get some feedback to help my own planning. If I have an ideal client with the ability to save a good portion of their income (let's say $1000/mo. after maxing a Roth, doing their employee match at work, having an emergency budget established)...if I want to maximize their money efficiently while creating diversity and future leverage--should we be looking at doing a heavily overfunded permanent plan (pros/cons?), term plan and invest elsewhere (pros/cons?), or should we be doing a mixture of both?
I'm open for all to give some good feedback. And like I said, pros/cons on both sides would be greatly appreciated!
Thanks!