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From: deaner@dicomed.UUCP (Dave Deaner)
Newsgroups: net.invest
Subject: pro/con universal life
Message-ID: <246@dicomed.UUCP>
Date: Mon, 1-Oct-84 12:53:52 EDT
Article-I.D.: dicomed.246
Posted: Mon Oct  1 12:53:52 1984
Date-Received: Wed, 3-Oct-84 07:54:50 EDT
Organization: DICOMED Corp., Minneapolis
Lines: 15

Watch out!!! Universal life is a very complicated beast(I know I'm a lic-
ensed insurance agent).  

What Universal life is trying to address is the concept of "buy term and
invest the difference".  Term insurance provides the maximum coverage for
the minimum cost.  What can be done is to cash-in whole life and invest 
the cash value into a high yield savings vehicle, then compare the annual
cost of the whole life to that of term and invest the difference in premium
into the same savings as an IRA.  A good book to read is "HOW YOUR LIFE IN-
SURANCE POLICIES ROB YOU" by Arther Milton (1981).  This book explains in
depth Universal life and its short comings.  By the way Mr. Milton was a
whole life agent extrodinaire and voted man of the year 5 years in a row
until he wrote that book.