How much does your insurance agent get paid?

Most are better off buying cheaper term life insurance for a specific period

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From the Summer 2016 issue of the magazine.

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life insuranceIf an advisor wants you to buy whole or universal life insurance, be sure it’s based on your needs—and not a big, fat selling commission. LSM Insurance looked at the average first-year commission and bonus that agents at Canada’s top five life insurers are paid when they sell new policies. While there are some situations where costly permanent life insurance makes sense, most families are better off buying cheaper term life insurance for a specific period, usually 10 or 20 years.

 

One comment on “How much does your insurance agent get paid?

  1. would the same be true in a situation where you are getting the Whole LIfe for your New born? In this case, wouldn’t it be cheaper to get it now where I have been given an estimate of $5000 payments for 10 years. My kid would start with a $500K insurance and then when he is 65 or even 85 it would be worth $2MM or $3MM.

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