No. of Recommendations: 3
dhodson: "as a separate question would u ever recommend whole life?"

Almost never.

If you are really interested, in very limited circumstances, a VUL policy may be of interest to you. The details have been discussed several times on the Insurance Board.

Unrelated link:

See e.g.,

seminal FoolWAM

1605 on the insurance board, and its thread (and 5046)

and especially post 1603


You may want to take a look at FoolWAM's post #1913 at to see if you'd be a good candidate or not.

Also 5188 at


There are many things that are a consideration in such a decision.

For example:

What about a Roth IRA?
How long do you want to have life insurance?
What is your and your spouse's health history like?
How important is additional tax deferred growth to you?
Where are all your other assets?
Are you prepared to highly over fund such a policy and able to stay committed to following through with it?
What are you plans for your kids college education?
Do you have an adequate Emergency Fund in place?
What is your risk tolerance?
What is your asset allocation model like?
When do you plan to retire?
Just how are you going to use your retirement assets during retirement?
What are your plans for passing on any estate to your heirs?
What are the chances you're be receiving an inheritance and if so, about how big might that be?
What are your future carrier and income prospects like?
Do you receive bonuses? If so, in what form?
Are you aware of the caveats of using such a policy for “a tax-protected means of wealth accumulation”? (the main one being that the policy MUST stay in force your entire lifetime)

Well, I think you get the idea. If your “financial advisor” hasn't covered these and more issues with you AND your spouse, then it's probable that the recommendation towards “a tax-protected means of wealth accumulation” may not we a good fit you're a comprehensive financial plan.

This is not to say that a VUL can't work will as PART of a comprehensive insurance and financial plan as seems to be recommended. I happen to use more than one VUL in my comprehensive planning for my family. And I'll mention too that a VUL and Term life insurance work as a combination for me to fulfill MY personal comprehensive financial planning.

If anything, I feel that as you consider such a life insurance policy, it's particularly important to have a clear idea of just how you're going to use it in your planning. Such a policy and using it in such a way is rather complex and requires constant attention to detail. These policies can work well if they're well monitored, well funded, and well integrated into one's total asset allocation model. So, to do that it is best done with an advisor who really knows their stuff and can help you make well-informed decisions.

TTRoberts 9486 Ins.


13402 Insurance

especially 13404, which links prior posts!

13903 - Insurance

and its thread

14652 Insurance



16123 Insurance -

From my notes.

You can also search the insurance board.

Regards, JAFO
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