Please confirm that I should cancel my whole life policy. Called to cancel, got the hard sell, so I want to make sure I'm not missing anything.
35 yo
Married (he's 39)
No kids now, but planning on them
Policy put into place when I was super young (~17?) largely so I'd be eligible for a scholarship which I got.
Value $2400, surrender value $1600
Premiums $14/month
I think the payout is about $30k, which I can easily self-insure for
2 guarantee increase options I can exercise over the next 5 years if I wanted (for $50k)
He mentioned it's a 4% interest rate, not sure I understand that (perhaps that they pay 4% on the $1600 each year, to increase the $1600?), which rate is rare in today's market
I don't specifically need the $1600. I would just invest it.
I'm fairly healthy - right now I wouldn't imagine flunking a test for insurance, but things happen of course
I figured no insurance until kids...then term life just while raising, as necessary to help husband pay off mortgage or such
Should I keep it just because I got it when I was so young so my rates may be super low as a result? I called once about 5 years ago to cancel and got talked into keeping then, but that's their job.