lock

[kingtre]

Originally Posted by Kingtre

you prob typed it wrong or i'm reading it wrong- but who is the policy on?

it sounds like it should be a policy on YOU her parents so if something happens to you the child gets the money....i never heard of a baby having life insurance an the paretns getting the $ if it dies

thats just silly

def woulda been better just paying into a college fund or something....

read over the policy and see what it states....im pretty sure its on you or both parents and the child is the beneficiary (maybe the aunt too if she's shiest like that

) but i would think you would have some say in somebody taking a policy involving you

or it could be this:

"Good parents," said Dr. Jonas Salk, developer of the polio vaccine, "give their children roots and wings." With a gift of permanent life insurance, parents and grandparents can do just that: provide the roots of financial stability and the wings of economic freedom that can help children soar toward their dreams.

So forget the latest hi-tech toy for your child, or giving adult children the most sophisticated culinary accessories. More and more, financially savvy parents and grandparents are giving a permanent life insurance policy as wedding gifts, graduation, and birthday presents and for just about any other meaningful family occasion. While a gift of life insurance may lack the immediate "wow" factor, its value can outlast any video game, computer, or even a brand new car. It's probably the only gift where you may receive two thank you notes, one now and a second one 15 years or so later, when the child is an adult and begins to appreciate the enduring value of life insurance.

Why?
Purchasing a life insurance policy on the life of a young person can help establish a foundation for a lifetime of financial security. The cash value or death benefit can also be used to help pay for college or college loans, for a down payment on a new home, or to take advantage of a potential business opportunity.* It is an equally appealing gift to give to a young married couple just starting out to help provide much needed permanent protection the couple may not be able to otherwise afford. As one New York Life client said, "As I got older, I saw the benefit of a permanent policy. I wish I had been able to buy this type of life insurance in my 20s or 30s. Now I can do that for my kids. It's a great feeling to know I helped to make them financially stable."

What exactly makes life insurance a great gift?

Life insurance offers a lifetime of protection and financial security: Whether it's a gift for a child or young adult, the policy can provide a lifetime of financial protection. As long as the premiums are paid, the policy can never be cancelled and when the child matures he/she may have the option to buy more protection at favorable rates. The policy you purchase for a son or daughter today can still be there years from now, providing death benefit protection for this child's own son, daughter, or spouse.

It’s a gift that will increase in value over time: A gift of permanent life insurance won't end up collecting dust in a few weeks. Every year the premiums are paid, the cash value in the policy grows. Depending on the size of the policy, it can have quite a substantial amount of money in it by the time the child reaches the age of 18, which can be used to help pay for college. Or the policy can continue to grow and the cash value could be used as the down payment on a first home. Buy it for a young adult, and the cash value can grow to be used for any number of purposes, including funding their children's education, or, if there is no longer a need for the full death benefit, partially funding their own retirement decades from now.*

The cash value grows on a tax favored basis: Under current law, cash values that accumulate in the policy are tax deferred. Even when cash values are borrowed through policy loans, there may be no tax consequences in many instances. Finally, proceeds received by beneficiaries are generally not taxable as income. Consult with your tax advisor for more details. Few gifts have so much versatility.

Now is always the best time to buy: Premiums for a life insurance policy are based on age, so whenever you buy, the premiums will never be lower. Of course, the younger the child is, the less you will pay in premiums. Also, buying now locks in the rate on a permanent policy at the insured's current age for life.

It protects the child’s future insurability: Once the policy has been issued, coverage cannot be canceled as long as all required premiums are paid. By purchasing a policy on a child or grandchild with a Policy Purchase Option (PPO), you can ensure that no matter what the health of that child is when they become an adult, he/she can obtain additional life insurance at affordable rates, with no evidence of insurability. In other words, no matter what the state of their future health, they will be able to buy life insurance and have at least some protection for their family. With a PPO, the insured has a right to purchase additional insurance at designated dates, regardless of insurability. That's quite a gift.

How the policy works
If the insured is a minor, the policy is owned by the purchasing adult until the child reaches the age of majority as defined by state law (with ownership transferred at a later date). The beneficiary is generally a guardian or parent. With adult insureds, the policy is generally owned outright by the insured, who selects the beneficiaries.

You have two choices regarding how premiums should be handled. First, you can take a lump sum (such as $10,000) that would otherwise be given as an outright gift to the child or grandchild; instead, purchase a single premium life insurance policy for whatever face amount that sum buys. The advantage is that no further premiums are required. (There are tax consequences associated with gifting amounts. You should consult with your own tax professional for tax advice.)

The second choice is to select the premium or death benefit desired. Then, make the scheduled premium payments. (Note that there may be gift tax consequences, since the premium is considered a gift to the insured. Consult your tax advisor before acting.)

 

[k2theablam]

You planning on outliving your child, fam?

 

[i won]

Originally Posted by YoungSleezy

Originally Posted by I WON


As a baby shower gift, my new aunt and uncle in-laws gave me and my wife a life insurance policy for our baby in the sum of $1,000,000.

I'm ignorant when it comes to life insurance, can anybody explain what the point of this would be?  Will my babygirl get this when she turns 18?

you stupid cuh

really?

Just spoke with the insurance agent, she said the $1 million dollar plan is in place and will start to MATURE as soon as she is born.

When she turns 18, she either has the choice of cashing this out or keep on letting it mature from there.

You're just mad because my unborn child has more bread then you will ever have.
    

 

[kingtre]

Originally Posted by Kingtre

you prob typed it wrong or i'm reading it wrong- but who is the policy on?

it sounds like it should be a policy on YOU her parents so if something happens to you the child gets the money....i never heard of a baby having life insurance an the paretns getting the $ if it dies

thats just silly

def woulda been better just paying into a college fund or something....

read over the policy and see what it states....im pretty sure its on you or both parents and the child is the beneficiary (maybe the aunt too if she's shiest like that

) but i would think you would have some say in somebody taking a policy involving you

or it could be this:

"Good parents," said Dr. Jonas Salk, developer of the polio vaccine, "give their children roots and wings." With a gift of permanent life insurance, parents and grandparents can do just that: provide the roots of financial stability and the wings of economic freedom that can help children soar toward their dreams.

So forget the latest hi-tech toy for your child, or giving adult children the most sophisticated culinary accessories. More and more, financially savvy parents and grandparents are giving a permanent life insurance policy as wedding gifts, graduation, and birthday presents and for just about any other meaningful family occasion. While a gift of life insurance may lack the immediate "wow" factor, its value can outlast any video game, computer, or even a brand new car. It's probably the only gift where you may receive two thank you notes, one now and a second one 15 years or so later, when the child is an adult and begins to appreciate the enduring value of life insurance.

Why?
Purchasing a life insurance policy on the life of a young person can help establish a foundation for a lifetime of financial security. The cash value or death benefit can also be used to help pay for college or college loans, for a down payment on a new home, or to take advantage of a potential business opportunity.* It is an equally appealing gift to give to a young married couple just starting out to help provide much needed permanent protection the couple may not be able to otherwise afford. As one New York Life client said, "As I got older, I saw the benefit of a permanent policy. I wish I had been able to buy this type of life insurance in my 20s or 30s. Now I can do that for my kids. It's a great feeling to know I helped to make them financially stable."

What exactly makes life insurance a great gift?

Life insurance offers a lifetime of protection and financial security: Whether it's a gift for a child or young adult, the policy can provide a lifetime of financial protection. As long as the premiums are paid, the policy can never be cancelled and when the child matures he/she may have the option to buy more protection at favorable rates. The policy you purchase for a son or daughter today can still be there years from now, providing death benefit protection for this child's own son, daughter, or spouse.

It’s a gift that will increase in value over time: A gift of permanent life insurance won't end up collecting dust in a few weeks. Every year the premiums are paid, the cash value in the policy grows. Depending on the size of the policy, it can have quite a substantial amount of money in it by the time the child reaches the age of 18, which can be used to help pay for college. Or the policy can continue to grow and the cash value could be used as the down payment on a first home. Buy it for a young adult, and the cash value can grow to be used for any number of purposes, including funding their children's education, or, if there is no longer a need for the full death benefit, partially funding their own retirement decades from now.*

The cash value grows on a tax favored basis: Under current law, cash values that accumulate in the policy are tax deferred. Even when cash values are borrowed through policy loans, there may be no tax consequences in many instances. Finally, proceeds received by beneficiaries are generally not taxable as income. Consult with your tax advisor for more details. Few gifts have so much versatility.

Now is always the best time to buy: Premiums for a life insurance policy are based on age, so whenever you buy, the premiums will never be lower. Of course, the younger the child is, the less you will pay in premiums. Also, buying now locks in the rate on a permanent policy at the insured's current age for life.

It protects the child’s future insurability: Once the policy has been issued, coverage cannot be canceled as long as all required premiums are paid. By purchasing a policy on a child or grandchild with a Policy Purchase Option (PPO), you can ensure that no matter what the health of that child is when they become an adult, he/she can obtain additional life insurance at affordable rates, with no evidence of insurability. In other words, no matter what the state of their future health, they will be able to buy life insurance and have at least some protection for their family. With a PPO, the insured has a right to purchase additional insurance at designated dates, regardless of insurability. That's quite a gift.

How the policy works
If the insured is a minor, the policy is owned by the purchasing adult until the child reaches the age of majority as defined by state law (with ownership transferred at a later date). The beneficiary is generally a guardian or parent. With adult insureds, the policy is generally owned outright by the insured, who selects the beneficiaries.

You have two choices regarding how premiums should be handled. First, you can take a lump sum (such as $10,000) that would otherwise be given as an outright gift to the child or grandchild; instead, purchase a single premium life insurance policy for whatever face amount that sum buys. The advantage is that no further premiums are required. (There are tax consequences associated with gifting amounts. You should consult with your own tax professional for tax advice.)

The second choice is to select the premium or death benefit desired. Then, make the scheduled premium payments. (Note that there may be gift tax consequences, since the premium is considered a gift to the insured. Consult your tax advisor before acting.)

 

[k2theablam]

You planning on outliving your child, fam?

 

[realtalkaz]

lol i feel like i'll see this post come up on forensic files in a couple years

 

[realtalkaz]

lol i feel like i'll see this post come up on forensic files in a couple years

 

[orenthaljames]

Originally Posted by I WON

Originally Posted by YoungSleezy

Originally Posted by I WON


As a baby shower gift, my new aunt and uncle in-laws gave me and my wife a life insurance policy for our baby in the sum of $1,000,000.

I'm ignorant when it comes to life insurance, can anybody explain what the point of this would be?  Will my babygirl get this when she turns 18?

you stupid cuh

really?

Just spoke with the insurance agent, she said the $1 million dollar plan is in place and will start to MATURE as soon as she is born.

When she turns 18, she either has the choice of cashing this out or keep on letting it mature from there.

You're just mad becuase my unborn child has more bread then you will ever have.
    

So your child who isn't even 1 yet, is going to be a millionaire when she is 18? Damn that's ballin

don't tell her until she is like 30yrs old though, when she is mature enough to handle the responsibilities of that cash.

-The Juice

 

[orenthaljames]

Originally Posted by I WON

Originally Posted by YoungSleezy

Originally Posted by I WON


As a baby shower gift, my new aunt and uncle in-laws gave me and my wife a life insurance policy for our baby in the sum of $1,000,000.

I'm ignorant when it comes to life insurance, can anybody explain what the point of this would be?  Will my babygirl get this when she turns 18?

you stupid cuh

really?

Just spoke with the insurance agent, she said the $1 million dollar plan is in place and will start to MATURE as soon as she is born.

When she turns 18, she either has the choice of cashing this out or keep on letting it mature from there.

You're just mad becuase my unborn child has more bread then you will ever have.
    

So your child who isn't even 1 yet, is going to be a millionaire when she is 18? Damn that's ballin

don't tell her until she is like 30yrs old though, when she is mature enough to handle the responsibilities of that cash.

-The Juice

 

[soversotowel]

Its a game doggy .

Just throw the child off a bridge and you win ,Easy.






























JK, but you would mos def be caked though.

 

[soversotowel]

Its a game doggy .

Just throw the child off a bridge and you win ,Easy.






























JK, but you would mos def be caked though.

 

[tfromthe617]

Originally Posted by REALTALKAZ

lol i feel like i'll see this post come up on forensic files in a couple years

but yeah... i'm sure the policy if in case YOU die.. not the child..

 

[jinkazama]

Thought about doing this after our first child was born, FA pretty much laughed at us and said it was a stupid investment even though he would have profited from selling us the policy. Once he broke it down to us the benefits of investing that money elsewhere outweighed the benefits of the policy.

 

[jinkazama]

Thought about doing this after our first child was born, FA pretty much laughed at us and said it was a stupid investment even though he would have profited from selling us the policy. Once he broke it down to us the benefits of investing that money elsewhere outweighed the benefits of the policy.

 

[tfromthe617]

Originally Posted by REALTALKAZ

lol i feel like i'll see this post come up on forensic files in a couple years

but yeah... i'm sure the policy if in case YOU die.. not the child..

 

[dirtylicious]

yeap...knew it..
life insurance on kids is just throwing money away.

see if you can get your aunt and uncle to cancel the policy...and have them invest the money they would have to pay each month for the insurance premiums into an ESA or 529 for her college education instead.

 

[dirtylicious]

yeap...knew it..
life insurance on kids is just throwing money away.

see if you can get your aunt and uncle to cancel the policy...and have them invest the money they would have to pay each month for the insurance premiums into an ESA or 529 for her college education instead.

 

[snoflewis]

it sounds like you have a permanent life insurance policy, in which case, does accrue interest.
there's a separate cash value outside of the death benefit, and at one point, both values will increase because of interest.
you should call the insurance agent and ask him to break it down for you.

 

[snoflewis]

it sounds like you have a permanent life insurance policy, in which case, does accrue interest.
there's a separate cash value outside of the death benefit, and at one point, both values will increase because of interest.
you should call the insurance agent and ask him to break it down for you.

 

[an dee 51o]

Originally Posted by WaveyJonesLocker

Originally Posted by I WON


As a baby shower gift, my new aunt and uncle in-laws gave me and my wife a life insurance policy for our baby in the sum of $1,000,000.

I'm ignorant when it comes to life insurance, can anybody explain what the point of this would be?  Will my babygirl get this when she turns 18?

I'm sorry but

This isn't a trust fund my dude.

What kind of sick demented gift is this?

 

[an dee 51o]

Originally Posted by WaveyJonesLocker

Originally Posted by I WON


As a baby shower gift, my new aunt and uncle in-laws gave me and my wife a life insurance policy for our baby in the sum of $1,000,000.

I'm ignorant when it comes to life insurance, can anybody explain what the point of this would be?  Will my babygirl get this when she turns 18?

I'm sorry but

This isn't a trust fund my dude.

What kind of sick demented gift is this?

 

[kingtre]

Originally Posted by OrenthalJames

Originally Posted by I WON

Originally Posted by YoungSleezy

Originally Posted by I WON


As a baby shower gift, my new aunt and uncle in-laws gave me and my wife a life insurance policy for our baby in the sum of $1,000,000.

I'm ignorant when it comes to life insurance, can anybody explain what the point of this would be?  Will my babygirl get this when she turns 18?

you stupid cuh

really?

Just spoke with the insurance agent, she said the $1 million dollar plan is in place and will start to MATURE as soon as she is born.

When she turns 18, she either has the choice of cashing this out or keep on letting it mature from there.

You're just mad becuase my unborn child has more bread then you will ever have.
    

So your child who isn't even 1 yet, is going to be a millionaire when she is 18? Damn that's ballin

don't tell her until she is like 30yrs old though, when she is mature enough to handle the responsibilities of that cash.

-The Juice

cash value wont be anywhere near 1mil when she turns 18....

 

[kingtre]

Originally Posted by OrenthalJames

Originally Posted by I WON

Originally Posted by YoungSleezy

Originally Posted by I WON


As a baby shower gift, my new aunt and uncle in-laws gave me and my wife a life insurance policy for our baby in the sum of $1,000,000.

I'm ignorant when it comes to life insurance, can anybody explain what the point of this would be?  Will my babygirl get this when she turns 18?

you stupid cuh

really?

Just spoke with the insurance agent, she said the $1 million dollar plan is in place and will start to MATURE as soon as she is born.

When she turns 18, she either has the choice of cashing this out or keep on letting it mature from there.

You're just mad becuase my unborn child has more bread then you will ever have.
    

So your child who isn't even 1 yet, is going to be a millionaire when she is 18? Damn that's ballin

don't tell her until she is like 30yrs old though, when she is mature enough to handle the responsibilities of that cash.

-The Juice

cash value wont be anywhere near 1mil when she turns 18....

 

[dirtylicious]

let me just add.
the purpose of life insurance is to replace that person's earnings/income

...kids have absolutely no contribution to household income.

Insurance company's came up with these ridiculous policies b/c they're not legally allowed to sell investments like stocks and mutual funds, so they found a way to dupe the public into buying these crappy return of investment life insurance policies that have a cash value upon maturity.

meanwhile...if you had taken all that money you would have put towards the policy for each month for 18yrs... even at 100 bucks a year you're still come out way ahead with an ESA or 529 that has an index fund as an investment vehicle

 

[dirtylicious]

let me just add.
the purpose of life insurance is to replace that person's earnings/income

...kids have absolutely no contribution to household income.

Insurance company's came up with these ridiculous policies b/c they're not legally allowed to sell investments like stocks and mutual funds, so they found a way to dupe the public into buying these crappy return of investment life insurance policies that have a cash value upon maturity.

meanwhile...if you had taken all that money you would have put towards the policy for each month for 18yrs... even at 100 bucks a year you're still come out way ahead with an ESA or 529 that has an index fund as an investment vehicle