for ensano and ur situation.

[Moon_Child]

to make a long story short, my parents bought life insurance 8 years ago and my dads plan was under a non-smoker contract. my mom found out he was smoking occassionally and wanted to cancel this plan.
so at first we thought we would get some money back in return, but supposely the plans they purchsed from their friend had 'no cash in value'. what does this mean?

because my parents couldn't speak english, they got screwed and went into some deep do-do. we ended up cancelling the plans that cost us 20k over 8 years which we get nothing in return.

i talked to my mom about this situation and told her to let it go. i know 20k is a lot of money, but she did it for me and my sister, incase something were to happen to them, we would have some money. my sister and i are both doing university and i don't think we need the money anyways. i'm sure we'll both me fine in the future. anyways, i want to give everyone a heads up, especially ensano about thinking of purchasing whole life insurance.

i have a link to an interesting article that i also came across. you might want to read it. i'm not sure if everything is true, but nonetheless, life insurance i am sure is not the best option.

http://www.daveramsey.com/the_truth_abo ... 1.html.cfm

on a side note: i'm in canada, it would be different in the states, UK and other countries.

[Felting]

Good link there moon child. What he calls cash value policies I have also heard called whole life. By any name though they are a bad investment.

His advise to get term life and invest the difference is spot on.

[Sean_in_NJ]

Another link describing the differences between term and whole life policies.

Whole life policies are very often a bad idea, and should be avoided.

[Ensano]

thx for the concern... I knew a bit before about whole and term (granted more now that i've read those articles) but all I was looking for is a small term to cover maybe 1year+ of my income... just something that would make sure my significant other would be ok for a while...

the one i found was from RBC insurance(which i already have renter's)

it's 100k full coverage(old age, accidental and suicide after 2 years) and would cost 11.39 a month
it's a 10-year term and renuable without a medical check...

seeing as how I can easily afford the 11.39 this doesn't sound like that bad of a deal...

if i were to decide to just save the money...11.39 monthly in my ING account at 3.5% interest compM would only amount to 1633.70 in 10 years.. only 266.90 in interest...

seeing as how I have relatively no saving and no valuable assests (my net worth is actually -10k+) i wouldn't mind trading in this 266.90 for a potential lottery ticket... my g/f could be as happy as osdilik

[Phil14312]

Suicide hmmm...

[Moon_Child]

i've read over a bit of the term investment and they seem more reasonable...

and i never knew insurance companies covered suicides... =S

[UrAteUp]

... my g/f could be as happy as osdilik

Sell the scooter and put a bag over your head...she'll be twice as happy as Od....