What is the best whole life insurance? I’m Chad McMahan with protect with insurance, and I’m going to do my best to answer this question for you as briefly as concisely as possible. So there are a few ways to answer it. So again, I’m going to be brief here. The best whole life insurance. It depends upon your age.
It depends upon your health. It depends upon what your goals are, what your needs are, or more to the point what your loved one’s needs are your beneficiary’s needs are. So let’s start with if you are quite healthy and I’m talking about one, two or zero prescription medicines, no moderates, no major health conditions.
Preferably no minor ones, either. Your build your height and your weight are going to be, they don’t have to be perfect. They don’t have to be optimal, but they need to be fairly close. so again, this is for someone that’s going to be younger. so probably under the age of about 35 under the age of 40, you’re probably looking at universal whole life insurance.
that’s going to be a whole life insurance policy. That is going to get more valuable down the road. It’s actually going to grow, not face value. I’m sorry, not a cash value, but face value. And the difference is cash value is something you can tap into. You can pull out face value is the total payout upon your death.
So that will actually get bigger. As you get older. Now, one warning on universal whole life policy. Some people are all. Rip rip who Rob about, about those. but it’s important to know that, the universal whole life insurance policies, they do get, more expensive as they get more seasoned as you get older and you’ve been making more payments into them.
So as the face value of the total payout, as that grows your cost, your expense per month is going to grow as well. So you need to plan for that. Because if you don’t want a policy, that’s going to do that. And if you don’t care as much about a big payout, maybe that’s not quite as important. You may want to get just a run of the mill level, whole life insurance policy.
those are going to be at the same cost hallways. They’re going to build cash value, but they’re not going to grow. in terms of that face value, that payout is always going to be the same price will always be the same. but they have cash value you can tap into if you truly need it. So that covers universal whole life.
And that is basically the go-to category, of clientele. That’s going to probably seek that universal whole life insurance policy. Now, if you age, let’s say 45 or 50 plus, and anything from minor health issues, no health issues, even major health issues. And you’re looking at whole life insurance, then you’re going to want your run of the mill, just your normal, your standard level, whole life insurance policy.
And again, that’s going to be a policy that will not RO it’s always gonna be the same payment, which is obviously a big asset. It’s always been the same payment. It’s always going to be the same, payout upon your death. in some cases, you get a medical diagnosis. In some cases they’re going to actually do a hundred percent payout or most of the payout, right?
Upon just getting diagnosed with medical conditions. So it depends upon the company and it depends upon the whole life insurance product that fits for you. So the best whole life insurance for seniors, it’s going to be the same thing. So all going to be the same thing. So, just so you know, if you ever hear the term burial insurance, pure life insurance or pure insurance, permanent whole life insurance, final expense insurance, they’re all the same thing.
Okay. It’s marketing. It’s just marketing and tactics. That changes the term. So if you think that burial insurance is different from whole life insurance, somehow it’s not. unless you’re talking about universal whole life insurance is not a good burial insurance policy typically. because a lot of seniors cannot afford those increases.
Premium payments. And that’s, what’s important that it covered that earlier. So again, most of what we write for our clients, most of what we provide, they’re going to be your normal run of the mill level, whole life insurance policies. Most people don’t want those costs to go up down the road. It’s really a shame, you know, it’s great to get it in place.
Now, payments aren’t bad on those policies. At first, they’re still higher than the other ones, but, those universal whole life insurance policies when you’ve had it for, let’s say 20 years, 30 years, 40 years. Now you’re in your seventies or even your sixties, let alone maybe your eighties. And all of a sudden those premiums are not affordable anymore.
What a lot of people do with those universal whole life insurance policies is they let the cash value that is in there, make those payments for them, which is not a good practice to get into, but a lot of people can’t afford to do with any other way. And so all of a sudden they’re losing value in their policy.
And what happens is when you do that, when you use your cash value to do those things, it actually creates this loan that’s inside of your policy. And that counts against you until you pay it off and hardly anyone ever pays off that that loan that’s created. So then all of a sudden you get two strikes against you.
you’ve got the loan inside of there that gets attracted from the payout. And then you also have a small interest rate. That’s counting against it as well. So just be aware of that. most people and I’m talking about 99 point something percent, 99.5% of people. Are going to go with your standard, whole life insurance policy.
And the best one is going to be the one that’s going to be with an a rated insurance company. It’s going to be with an agency that does not have bias, meaning they’re not a captive agency. They’re an independent broker. It’s just like ours, where they can shop for you from all these different companies to get you the lowest possible price.
With the highest-rated company. So you want something that’s going to be in an, a rating. So a minus a plus or a plus, you want it to be at least a minus and you want to get the best price. And obviously, you want to get enough coverage and it’s gonna, it’s gotta be within budget for you. So those are the elements of the best whole life insurance policy.
now one last thing I want to just quickly cover is term life insurance. It’s not the subject of this, so I’m not gonna spend more than one minute on it, but if you’re interested in getting your price down more, you have to be quite healthy to get term life insurance typically, but this is not a fixed rule.
Typically three or less prescription medicines are a good indicator. If you can do it, your height and weight. It doesn’t need to be perfect, but it needs to be somewhat close to what’s normal for people of your height. if your weight is on the high side, I am, I’m a big heavy dude. And so, in my case, I was able to get termed no problem.
But I’m also a younger guy, zero prescription medicines, you know, in my case. so term life insurance can bring that price down. If you’re really strapped for cash. There’s a lot of that going on right now. A lot of people are struggling, struggling, financially. What I recommend is you either call or text us.
And again, our number it’s (928) 323-0933. You can text us at that number as well, and some will be assigned to help you out with that. but reach out to us and just say, here are my prescription medicines. Here are my health issues. Boom, boom, boom non-smoker height, and weight, female male. and then we can let you know what your options are and just run those for you.
We can do it all over the phone. texting. We’re great at texting quotes. So if that’s good for you, a lot of our clients nowadays prefer that I don’t know about you guys. I hate being on the phone. I hate getting calls. So texting is a really clean, efficient way to do it. So I hope this has been helpful.
Again, this is Chad McMahan. Protect with insurance. Please reach out to us. We’d love to help you with whatever you need. stay safe out there and take care.