Flyfish1
Recycles dryer sheets
OK - I am slightly embarrassed by the amount of insurance I got suckered into buying by my EX FINANCIAL ADVISOR , a Northwestern Mutual salesman. He no longer manages my taxable accounts, but back then I agreed to buying tons of Life Insurance. I have been making payments ever since and I feel nauseous the more I learn about these policies. Years and years of my money going to commissions, but not growing my cash value significantly. I know there are advantages, such as tax free growth and tax free income in retirement ( unless the law changes).
I'm 53, want to retire at 60, so I have 7 more years of payments on these crazy policies, although I am told I can cancel at anytime. There are 4 policies, only 2 of which have a positive cash value in excess of cost basis. I know I can cancel and take the cash value and invest elsewhere. Or stick it out and deal with the poor returns and then use the money in retirement for an income stream, which was my original plan.
I also have term and disability policies, which I would keep. The term policy is huge and would more than cover my family if needed, combined with my other assets.
Then there is the whole idea of having these policies in a Irrevocable Life Insurance Trust which is where they sit now. So, they are outside of my estate and provide assets that can pass easily to my heirs, and provides some degree of protection from potential creditors.
I don't know what to do- and I can't get an unbiased answer from my Life Insurance agent, I have to talk it over with my financial advisor. Anyone faced similar issues , and have an opinion on this issue?
I'm 53, want to retire at 60, so I have 7 more years of payments on these crazy policies, although I am told I can cancel at anytime. There are 4 policies, only 2 of which have a positive cash value in excess of cost basis. I know I can cancel and take the cash value and invest elsewhere. Or stick it out and deal with the poor returns and then use the money in retirement for an income stream, which was my original plan.
I also have term and disability policies, which I would keep. The term policy is huge and would more than cover my family if needed, combined with my other assets.
Then there is the whole idea of having these policies in a Irrevocable Life Insurance Trust which is where they sit now. So, they are outside of my estate and provide assets that can pass easily to my heirs, and provides some degree of protection from potential creditors.
I don't know what to do- and I can't get an unbiased answer from my Life Insurance agent, I have to talk it over with my financial advisor. Anyone faced similar issues , and have an opinion on this issue?