RATING: AVOID
You can read the benefit illustration that is shown in the PDF below.
This policy requires you to pay a premium of $2.400 for 5 years and to keep it for 3 more years to the maturity date.
The death benefit is only slightly more than the total premium paid, so this policy does not provide any meaningful amount of life insurance protection.
The surrender value during the entire term is considerably below the total premiums paid. You will stand to lose a lot of your savings, if you have to terminate the policy before the maturity date.
On the maturity date (i.e. end of 8 years), the guaranteed cash value is $12,000 (i.e. the total premium paid) and the non-guaranteed value ranged from $12,765 to $13,847. The yield to maturity is only slightly more than 2%, on the optimistic assumption.
The distribution cost of $658 is not much, but why should the consumer pay this money for a product that is not attractive?
There are better ways for you to invest your savings. Talk to a financial adviser listed here.
The table below shows the amount that you will get, if you invest the premium on your own, to earn a yield between 1% to 5%.
| Annual saving |
Yield |
End of 5 years |
End of 8 year |
| 2400 |
1% |
12,365 |
12,740 |
| 2400 |
2% |
12,739 |
13,519 |
| 2400 |
3% |
13,124 |
14,341 |
| 2400 |
4% |
13,519 |
15,207 |
| 2400 |
5% |
13,925 |
16,119 |
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