Your Life Insurance Sucks! 

This is exactly why I quit selling insurance. I got sick and tired of ripping people off and I knew exactly what I was doing.

Dave is absolutely right. Be careful what they're trying to sell you.

That’s why I pride myself on being the worst sales person in the world. I have talked people out of policies bc it’s not best for them. If you look out for the clients best interest in any situation, you will always do the right thing.

because of you I just bought term life for me and my wife......thank you Dave

The $800 we keep referring to is more like $924 a yr. I mean, as long as we're talking numbers here ...

just put the 800 bucks in an envelope at home.

Ahh...a good ole Ramsey Whole Life rant :D

Excellent advice Dave as always. Thanks

But Dave, how else could I "become my own banker"???

I pay 333 a year on a 100k/10 yr term. I help my mom financially, I still want something for her in case I go before her. Hopefully that’s a decent rate.

Love the show Dave

Thank you brother! You helped me out a lot.

I am glad to review more on this video

I hate whole life. Biggest rip off ever! Buy Term Invest the difference

I really like this guy Thanks for your help

I had a ULP agent try to tell me I should buy the policy and put in $1,000 a month. I told him I can't afford to pay my bills where am I going to get a grand he said I can help you find the money he said if you put in a grand for 40 years or so until you retire, he said I would have like half a million and I should do index return so cap the return at like 12% so if the stock market goes down I don't lose any money if it goes up like 15% I get 12% gains (since I capped out at 12%) is that even a good idea to do a indexed ULP? But I imagine if it goes up like 3% I would just get that 3% gain.

Wow Sarasota Fl never thought I heard someone from my home town

I'm surprised the policy hasn't completely self destructed. They must have been paying the high end of the variable rate.

Insurance companies are the worst

if you want life insurance get Term. Cash Value is a ripoff don't buy it or your love one will be stuck paying the bill on your coffin.

Universal policies do have fees, the market has fees too, Dave! A standard Whole Life policy has zero fees. At least from a good company that pays dividends as well. Who promotes all these saying we hear eveeywhere? Market, market, market, thats all you hear. Seems like "people" want your money in the casino, I mean market. Look for guarantees wherever you can.

Sorry Dave!! Bad Advice this time. How long would you have a term policy? You can convert a term...but to what? Please contact the insurance company! How much more would you have to pay? UL policy is have flexible monthly premiums....Don't throw away your investment. Your husband will now pay more for a $15,000 final expense policy...he is sick. Maybe uninsurable. Yes!!! You need a 401k! But...You need a combination of other vehicles. What happens to your money in a 401k in a down market? There is not one tool that is going to take care of all your needs!

I pay $80 per month for 30 year term insurance for $500,000.00 worth. If I had gotten a better rate I would have gotten a million. I’m 36 and in decent health. If I die my wife is set for life.

Can you convert the whole policy to term or does it only work the other way around?

Thanks for the clarification. To be honest I did not know there were two types of whole life. But I've been looking at this from every angle and can't see the benefit when it takes so much down up front and sooo many years before one can actually see a benefit. So, if you don't mind sharing, how long before you can actually borrow from this new policy and will you be under 200k invested Mr. Krabs?

had a whole life policy with Mass Mutual and lost thousands of dollars in about 10 years.

After hearing the story, at this point I would keep the policy

what insurance to you have

Cash value? Pay the premium? Im 27 and my moms keeps buggin for me to get life insurance.. I have a feeling she knows very little about it and just signs. I want to know what im getting into!

Just got out of The Marines. The V.A. sent me a letter offering me life insurance through Prudential. The only thing I've read so far is that it is $36 a month for $400,000 of coverage. Does anyone know anything about this?

Insurance is supposed to shift risk away from you. These IUL policies do not do that but by the time people find out it's to late. If someone wants permanent insurance at least buy old fashioned whole life so you have a guarantee of future premiums and cash value, and shift the risk back to the company where it belongs.

The policy wasn’t funded properly

Wait a minute. Does she have a medical condition preventing HER from working???? He's survived two bouts of cancer and is STILL working! What's her excuse???

its very good

WFG lol

Hopefully her husband can put away a big chunk of his earnings within the next few years while its still only $77. He's more likely to parish when its $200 then now. And I don't understand when dave said use the cash value of 6000 to pay it, you can't have that money unless you cancel your plan I think. It sounds like the terms are changing when it goes up to 200, it's not that the plan is being canceled.

Lower benefit to paid up. They bought a policy that was under funded. The product can be useful but often isn't setup correctly or reviewed.

If you're going to have a cash value life insurance account, $77 a month, for anyone other than a child is too low. That's why the plan is garbage, the premium is vastly under-funded, the cash value can't grow adequately. Whether Whole life is the right kind of cash value account is a different question -- the answer, go IUL

Use Dave's get out of debt plan to a point that it makes sense. After that find a real licensed advisor (Dave isn't) instead of an entertainer that understands it (Dave obviously doesn't) to talk about your insurance needs.

Why not apply for a ten year term before dropping it

IUL>UL

I don't sell life insurance but whole life has it's pros and cons but this is a universal life policy. Whoever wrote the policy did them a disservice. You can build a universal policy to never be underfunded but whoever wrote it really didn't do a good job.

If we are on baby step 2 and have two children, should we worry about life insurance?

I purchased a Universal Whole life for my kids, at I think $40, 00 each, I paid for 10 years & I'm finished paying on it, I don't know what the cash value is, but I can check that info with my agent. It seems best to keep it instead if cashing out. Any takers on this one?

Its 2020. You have no excuse for buying garbage with RU-vid being in existance.

You're talking about Universal Life. Not Whole Life. You are misleading people. I'm guessing your sponsors are competitors to the good Whole Life Insurance companies. Keep peddling your BS while ignoring the huge corruption going on in the stock markets and managed funds Dave.

Insurance cost goes up each year regardless of the type of insurance you have. It is an ignorant to think that it doesn't. Properly constructed cash value life insurance is a great financial tool.

Sorry, such bad advice here from someone who obviously does not understand how universal life policies work. She should keep that policy until her husband passes away. He's GUARANTEED to die. It's guaranteed to pay out. There is NO WHERE she can put a few thousand a year somewhere and get the return to beat that tax-free death benefit GUARANTEED. All this woman's life she's only saved $80,000 in a 401k which is fully taxable. How can she now, at age 68, invest to beat a $80,000 life insurance death benefit? Sorry, awful advice here from this guy! I hope she doesn't listen to him. She should start paying more now. Letting the $6,000 cash value pay it will result in her not having any cash value OR life insurance benefit later, so that's HORRIBLE advice! $77/month invested for 20 years would NOT BE $300,000-$400,000 20 years later as he says. Anyone with a calculator can figure that out. That's laughable. That right there lets you know he has no clue what he's talking about. The husband went thru cancer twice & he could have died and so it was the responsible thing to do to have that coverage all that time. The problem with this is that she has been paying MINIMUMS (or close to it) all those years which is not what you should do with universal life. Universal life is flexible premium so you can pay more/less as you please to control how the policy will function. What she should do at this point is ask the company to run an "in-force" illustration to solve for how much she needs to pay to keep it going until at least her husband is age 85. Then solve for same thing at $70,000, $60,000, $50,000... And pay what she can until her husband passes.

I was sad to see this because Ramsey gave multiple pieces of poor advice in the span of a few minutes and then topped it off with trying to use this as an example of why any kind of permanent insurance, whole or universal, is a bad idea. On top of that, he plays the risk/reward poorly as advice on cashing out the policy as well. Just bad advice on top of bad advice here, imo. Its sad that people get into this situation with this type of policy because it's been set up poorly to be able to do what its capable of doing for this woman and her husband. The real problem is the lack of financial literacy of the public, which leads them to not knowing how to buy what they need and why. Dave has helped people budget and improve their finances, but this was a swing and a miss on the take home message.

Second

Ramsey. Ripping people off with rents What's the difference?

Not all ULs are the same. This advice is terrible! As for those who say “buy term and invest the rest.” How many people actually do that? The “good idea fairy” is ill informed

That's why Primerica is the best term life insurance out there! Never buy cash value or any type of whole life. It's a waste of money and a waste of paper!

Dave speaks only the 90% of whole life written poorly. There's a reason banks, corporations, the wealthy, and those in the know use these powerful financial instruments.

What a hypocrite

Dave Ramsey is pushing TL bcus he gets kick-backs from a TL insurance company. You need to understand this folks!!

Dave Ramsey doesn't know what he is talking about regarding life insurance.He is telling her to drop the policy right when she needs it. How great dies term insurance look now Dave? By the way $77 per month over 20 years would be about 70k. Not even the value of the life insurance policy. Sloppy math Dave. You shouldn't be giving out life insurance advice. You are obviously incompetent.

This is bad advice for the people who have a dream of owning whole life ins.

I would never gamble my money in a term life policy hoping to die before the term is up. I would much rather pay more for GUARANTEED life insurance that will definitely be there when I need the most. Whole Life is the best for the average person!!

This is one of the most ignorant takes on insurance. Dave makes literally millions selling his books and chafing people for speaking but doesn’t even truly understand the difference between whole life and universal life. If you purchase a indexed universal life policy you get all the benefits of investment with none of the downside of the market IE a correction. If you die the benefit is received tax free UNLIKE 401k, Mutual funds etc. if you buy a IUL early in life and over find it, it will be the best addition to your portfolio. Really disappointed in this as this was my first experience hearing Dave speak. He is giving awful advice.