My agent advised me to buy their signature policy aka legacy policy. Anyone has any idea how it works and if it’s worth it? Thank you. I need the advice and your collective wisdom. I am 45, 2 kids?

Hi anon,

A legacy policy is really for the purpose of leaving behind a sum of money for your children and/or grand children. It could also be leaving behind a lifetime of cash flow for your loved ones.

While we don't have to hand then a pathway to success by giving them too much money to the point where they don't work, we can definitely try to make things easier for them. Money isn't everything but it can shorten or lessen the burden on future generations by enabling them access to other things (that in themselves require money); for example, if they wanted to upgrade themselves by taking a master's degree, but were held back because they were worried about the costs (say maybe they had a family of their own to take care of), then money would remove the financial obstacle and allow them to proceed. What they then do with the knowledge gained is up to them.

You would proably have to think about these issues carefully before you decide if you want to get a legacy policy or not. Have a chat with an advisor if you need a second opinion.

We need more information pertaining to the technicals of the policy in order to share our thoughts on whether it is worth it. This is because there are many variations of such policy. Therefore, its worth lies in how it fits into your current planning and long-term life planning.

For this purpose, it will be a good start to look into your existing portfolio and have a complete understanding on what you have. And the best way to do this is to have an insurance policy summary. Through this process, it allows us to understand the coverage that we have, any financial gap, as well as to find out whether we are overpaying for our insurance policies.

Key Reasons Why:

Why Every Client needs an Insurance Policy Summary

From there, we can determine whether this legacy policy fits into your profile and needs.

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