geepondy
Flashlight Enthusiast
My friend is pricing life insurance for her mom and I happened to be there when the insurance agent was. Prospective insuree is 56 years old, in excellent health with no bad habits, etc. Agent offered term 20 year policy for 75K for roughly one thousand per year. This was thru Primerica, the insurance company he represented. My friend asked about permanent (I assume whole life) insurance. Agent said he would not offer any whole life as he did not consider it a good deal. My friend said that alledgedly five years ago, her friend's mom who was in early 50s at time got permanent life insurance for a $50k policy for only eight hundred and something a year thru NY Life. Agent again said he would not do permanent as he considered it a bad deal and he'd have to see the policy but suspected something was wrong. Also stated NY Life was basically only out to get your money and he should know because he worked for them before. Said Primerica whom he represented was a much better insurance company. I wondered too if there is a catch. Say insuree lives 30 years which would bring her in her early 80s. She would have only paid in roughly $25k which is only half the policy. My friend said that they invest the $800 per year and so will make much more then the payout if it lasts that long. Maybe she is right, I don't know.
Anyhow, any advice. Agree with agent? Do you think their probably is a catch with the $800 and change a year for a $50k whole life policy? Any experience/opinions on Primerica or NY Life? Agent was there for a couple of hours this afternoon and this was not his first visit. Said he was only trying to do right and he did seem like a nice legitimate guy but he's invested an awful lot of his time in this, will he get a really big commision if he sells her a term policy?
P.S. update: Just as I was about to send this, friend called me back. Said NY life offered 29 year term which would bring mother's age up to 85 for $81 a month on a $100k policy. This would equate to $972 a year, roughly what the other agent was offering on only a 20 year term 75k policy. NY life agent said to bring contract to a lawyer to look over. So it sounds legit and a better deal but I still would like people's opinions.
Anyhow, any advice. Agree with agent? Do you think their probably is a catch with the $800 and change a year for a $50k whole life policy? Any experience/opinions on Primerica or NY Life? Agent was there for a couple of hours this afternoon and this was not his first visit. Said he was only trying to do right and he did seem like a nice legitimate guy but he's invested an awful lot of his time in this, will he get a really big commision if he sells her a term policy?
P.S. update: Just as I was about to send this, friend called me back. Said NY life offered 29 year term which would bring mother's age up to 85 for $81 a month on a $100k policy. This would equate to $972 a year, roughly what the other agent was offering on only a 20 year term 75k policy. NY life agent said to bring contract to a lawyer to look over. So it sounds legit and a better deal but I still would like people's opinions.