I regret that I have but one variable life to give

Anonymous — Mon, 24 Aug 2009 18:24:11 -0800

Once upon a time my new financial adviser sold me a variable life insurance policy. Although I didn't really need any more insurance, she said it would be a great investment for retirement because of its tax advantages. I doubt this now and wonder if (and how) I should get out of it. It's a Variable CompLife policy from Northwestern Mutual. I did a lot of research on the company, which is by all accounts solid and reputable. Unfortunately, I didn't do much research on the policy before signing up mostly because I wasn't able to find much about it I could understand and gave the adviser the benefit of the doubt.

I've learned since then and now wish I hadn't signed up, but you can't change the past. Now that I've been in the policy for 10 years I am wondering if getting out now is better or worse than staying in. I want whatever's best in the long run because retirement is at least 20 years away and I don't urgently need this money now. If I dropped the policy, I'd probably buy term insurance and invest the difference in my IRA like I probably should have in the beginning.

I'm having trouble finding anything that explains the consequences and procedure for dropping the policy or a calculation that will help me figure out if I should do so. To make matters worse, I don't feel I'd get unbiased advice from my financial adviser, so I hope MeFi can help.

The Game of Life

DonnieSticks — Tue, 18 Apr 2006 14:12:53 -0800

I'm in my mid 30s. I just looked at my retirement accounts (401K, SEP-IRA, stocks and CDs). These also total in the mid 30s. Am I on track? Too low? Depends on my goals, I know. I guess I plan on working to retirement age and live to 80 (but who can predict that?) I know all about compound interest and that I'll never be able to recover from my misspent 20s (literally and figuratively, I suppose). Just seeing how other MeFiers compare - not trying to brag or stir up some bourgeois warfare with this. Just asking to ask.

FYI - I'm single with no kids, half a mortgage and some student loans.

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I regret that I have but one variable life to give

The Game of Life