Insurance Field Status

[AngelicWriter]

What do you guys think about the status of our economy and the need for insurance? Do you think it has been affected? Is it changing for the good or for the bad? What is your opinion.

[randomthoughts1875]

I think there will always be a need for insurance regardless of the status of our economy. The problem is making the general public realize this. I haven't noticed any major changes of the last couple of years but, it's hard to tell what the future holds! What's your take on the subject?

[Insurance Phoenix]

Originally Posted by AngelicWriter

What do you guys think about the status of our economy and the need for insurance? Do you think it has been affected? Is it changing for the good or for the bad? What is your opinion.

Gee, I do not want to sound like a pessimist but with the coming baby boomer retirement beginning in earnest in the next few years I am concerned about this economy. Somehow the U.S. economy has always weathered storms but this is a big one. The number of social security recipients versus the number of workers per recipient is narrowing. Add the fuel to the fire with respect to the additional long term care needs that these retirees will need and you have alot of stress on this economy.

Scottsdale Insurance

[vino]

Hai,

I am Vino. I am Newbie to here.

I think there will always be a need for insurance regardless of the status of our economy.

Life insurance and saving - Certain life insurance contracts accumulate cash values, which may be taken by the insured if the policy is surrendered or which may be borrowed against. Some policies, such as annuities and endowment policies, are financial instruments to accumulate or liquidate wealth when it is needed. See life insurance.

In many countries, such as the U.S. and the UK, the tax law provides that the interest on this cash value is not taxable under certain circumstances. This leads to widespread use of life insurance as a tax-efficient method of saving as well as protection in the event of early death.

In U.S., the tax on interest income on life insurance policies and annuities is generally deferred. However, in some cases the benefit derived from tax deferral may be offset by a low return. This depends upon the insuring company, the type of policy and other variables (mortality, market return, etc.). Moreover, other income tax saving vehicles (e.g., IRAs, 401(k) plans, Roth IRAs) may be better alternatives for value accumulation. A combination of low-cost term life insurance and a higher-return tax-efficient retirement account may achieve better investment return.

[Keith]

Originally Posted by vino

Hai,

I am Vino. I am Newbie to here.

I think there will always be a need for insurance regardless of the status of our economy.

Life insurance and saving - Certain life insurance contracts accumulate cash values, which may be taken by the insured if the policy is surrendered or which may be borrowed against. Some policies, such as annuities and endowment policies, are financial instruments to accumulate or liquidate wealth when it is needed. See life insurance.

In many countries, such as the U.S. and the UK, the tax law provides that the interest on this cash value is not taxable under certain circumstances. This leads to widespread use of life insurance as a tax-efficient method of saving as well as protection in the event of early death.

In U.S., the tax on interest income on life insurance policies and annuities is generally deferred. However, in some cases the benefit derived from tax deferral may be offset by a low return. This depends upon the insuring company, the type of policy and other variables (mortality, market return, etc.). Moreover, other income tax saving vehicles (e.g., IRAs, 401(k) plans, Roth IRAs) may be better alternatives for value accumulation. A combination of low-cost term life insurance and a higher-return tax-efficient retirement account may achieve better investment return.

Hi, I certainly agree with you. Your advice is really very helpful for us.
Thanks a lot!

Interesting thread Guys,

Thanks a ton for sharing this useful information and hope to read more from you...

[vastersi]

Thanks for your share