WHY DO PEOPLE GET LIFE INSURANCE ?

Posted in finances, Insurance, Investing, Saving

We’ve all have been approached by someone selling life insurance. Personally I have been approached by random guy at 12pm in a Waffle House selling life insurance, but what is the actual reason why some people purchase life insurance and should you purchase life insurance too?

Is life insurance a scam or real

Depending on which company, life insurance can be a scam, it’s almost like a legal “Ponzi Scheme“. Companies who sell life insurance use multi-level marketing, which means to be an employee you have to be a user of product and the only way to make money is to invite more people.

The real life insurance side works through the customers life span which means, when an individual purchases a policy someone else is cashing out. To be honest all life insurance companies are like this, but it doesn’t change the fact that life insurance is important.

What does it do

Why is life insurance important? Picking a policy is important because of the way our society is nowadays.

Individuals are simply not able to save for their retirement because of the debt that is made by them or their parents. Unfortunately, When you or your parents die they can either leave you with a legacy of wealth or debt, and in many cases its always debt.

Now what life insurance does is take your contributions and a portion of your money goes towards funeral cost, but that’s not all it covers and depending on your policy you can leave your kids with a lot of money.

So now you found out how to turn your kids into trust fund babies, congratulations.

Know before you own

Those few things you need to learn before getting a policy are:

What types of policies are out there ?

Which policy is the best for you ?

What does the insurance company get in return?

And I will be able to answer all these questions in my next post so stay tuned and keep reading.

Thank you for reading

The Way I Save

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Published by Caleb Peters

Hi my name is Caleb, I created this blog when I was attending college at Southeastern University before that I had a career as a car salesman. When I was a salesman I was selfish and naive to what I was enabling people to do. Until one day, I sold a car to a specific person. I realized that I helped this individual get into thousands of dollars in debt for 5 years. Knowing that I enabled that individual, I ended up quitting my job as a car salesman. In college I found a lot of my peers making the same decision with loans and credit card debt. So I decided to create this page and gather information from business owners and famous entrepreneurs, to help change our perspective on money.