Why are we comparing on term policies?

Simply because, term policies are the only Life Insurance Policies worth investing in! Unit Linked Plans (ULIPs) are bad for investors – they have huge costs and are often mis-sold. Traditional plans such as Endowments and Whole-life plans are no better. They have very low yields and no transparency in their returns. Term policies on the other hand, are simple and offer high life cover at low and reasonable premiums. See http://www.insurance.fintotal.com/Viewpoints/How-ULIPS-are-Mis-sold/383/53 for a more detailed analysis of why Unit Linked Policies are bad.

 


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