life ins

[henrys]

my pal has told me
she has taken out a 5 year life ins policy
on her hubby
at 50 pounds a month
she expects 20 grand back
after 5 years
it seems a lot for 5 years
your openions please

[kwicky]

Whats she putting in his tea?

[Dassie]

That's probably the death benefit. The policy may not necessarily have a cash payment after the 5 yr term is finished but even if it has, no insurance company would take the risk AND make a big payout after 5 yrs.

[Loosehead]

Yes the 20k is almost certainly the death benefit if he dies. There may well be a small investment element as in an Endowment situation but I'd be surprised if it amounted to 1K let alone 20K. Can you really expect 20k for investing 3k drip fed over 60 months? Tell me where if you can!