The claim that life insurance returns are terrible is nonsense and a form of weak thinking mostly intended to confuse and mislead. But it's easier for all the financial bloggers and talking heads to agree with each other, so…
It seems that most people's only measure of savings or investment strategy is to look at the rate-of-return. If the return is higher, it must by default be better.
And since stocks tend to earn a higher return than everything else, that's where you should put all your money. If only your choices were really this simple. Alas…your choices should involve a bit more thought and discernment.
If you'd like to read more, check out this post we wrote a while back to give yourself a bit more context for this podcast.
Brantley is a practicing life insurance agent and has been for nearly 18 years. After years of trying to sell like his sales managers wanted him to, he discovered that people want to buy life insurance if you actually explain the benefits.
What are your Odds of an 8% Average Return on Investment in the Stock Market?
IPB 107: When Interest Rates Go Up, Bonds Go Down. What Does It Mean for my Life Insurance?
IPB 105: Is Indexed Universal Life Insurance Worth it even if the Interest Rate Assumptions are Wrong?
IPB 104: You Can Just Buy Bonds: One of the Reasons Not to Buy Whole Life Insurance