A life insurance policy can be a good investment, if it gives a yield of at least 4% per annum in today's climate. This is possible if the policy has low expenses for marketing and administration, and is invested to earn an attractive yield for the long term, in a diversified fund. This type of structure can pay an adequate commission to the agent, and give a modest profit to the insurance company, and still give good value to consumers.
There are too many products that offer a poor deal to consumers, and continue to perpetuate high charges. Consumers should learn how to tell the difference and make the right choice. If more consumers are aware about it, there will be pressure on the insurance companies to design and market the right and fair products.
You can attend the FISCA talk on "Consumer Guide to Life Insurance" on 25 August. Do spend $30 and 3 hours and save yourself a lot of headache in the future. If it is already too late for you, you can tell your children and younger colleagues to attend, so that they can avoid a costly mistake.