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When I was young, my parents bought a $10,000 whole life policy on me. They paid the premiums and for quite some time the yields would pay for the policy premium. A few years ago, however, they received notice that the dividends were no longer enough to cover the premiums. I am now 31 and on my own, so the policy was transferred over to my name and they left the decision of whether or not to keep it up to me. I have paid the difference between the annual premium ($75) and the dividends each year for several years now. That has run somewhere around $50-$60 each year. The cash value is currently just shy of $1300. The premium is fixed.
I am single and own a condo with my boyfriend. I have life insurance through work which is enough to cover the balance of our mortgage and then some. Our finances otherwise are completely separate. We do not have nor will have children, so that is not an issue. So my question to you fine folks - do I continue putting approximately $50/year into this policy, or do I cash out?
I am single and own a condo with my boyfriend. I have life insurance through work which is enough to cover the balance of our mortgage and then some. Our finances otherwise are completely separate. We do not have nor will have children, so that is not an issue. So my question to you fine folks - do I continue putting approximately $50/year into this policy, or do I cash out?
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