Should I buy Single Premium Life Insurance?

• Minimal underwriting (good choice for the elderly)
• Can provide funds for emergencies
• Interest can accumulate tax deferred
• Compensate for estate taxes
• May have a rider where you can borrow cash if you are confined to a nursing home
• May allow you to take become terminally ill
• Guaranteed (by the insurance company) cash value account
• Payable directly to your named beneficiary

• The company is getting all your money up front, and you may be dissatisified
• Borrowing from your cash value may cause tax problems
• There are restrictions on a minors receiving the death benefit
• If a charity is named as bneficiary, the benefit may be taxable
• Tax issues may result if single premium polices are deemed a gift

Buying Tips:

• Get more than one quote
• Consider the companys financial strength, because they are geting your money upfront
• Get several copies of your policy give it to the benficiary
• Make sure the policy allows you to add more death benefit to the same policy