Is it Reasonable or too expensive paying a monthly premium of $349.90 on Wholelife insurance? Need views on my current policy (25 year term) Im still grasping on how these products/policies work 🙏👌

1) Yes, but if you do claim midway, the premiums would have stopped at that age.

2) You can't withdraw the cash value in the whole life policy without borrowing or surrendering the policy. Its paid out on top of the sum assured in the policy.

Hi,

There are 2 types of whole life plans.

1 of it has the option to convert into an annuity (can take out partial amount) upon retirement and another one requires you to surrender the policy fully if you wish to get back the money that you have put in.

Even tho it looks like a “savings plan”, you should not be looking at this as one as it is meant to give your coverage for the rest of your lifetime after paying a limited number of years.

Not sure if it’s considered “expensive” or not as it depends on the coverage that you have and the age that you are buying in.

To address your number 2, there will be cash value as long as there’s there is no claims payout. Hospitalisation is not relevant in this case. So even if you are hospitalised in between, as long as there is no lump sum payout, this policy will continue.

Rule of thumb: Budget within 10% of your annual income for all of your insurances premiums (accident, hospitalisation, death, critical illnesses etc) excluding savings or investment policies.