Return of the Return of Premium (or How to Get Your Money Back If You Don't Die)

Every once in a while I'll be talking with a client about life insurance and the client will say something to the effect of "If I don't die, do I get my money back?"  Typically, I respond with "If you don't get in an automobile accident, do you ask your car insurance company for a refund?"  Most of the time, I get a funny look.

Now I can give a different response.

One of our favorite insurance carriers has brought back the "Return of Premium" rider for their life insurance policies and it works like this:  If you outlive your policy, you can have your money back.  Pretty simple. 

In the name of full disclosure, this rider can nearly double the premium.  But some folks will still want it and those who do consider it to be a savings plan.

These policies can be written as 20 or 30 year terms for up to $250,000.

What would you do with all that money?  Pay off business loans?  Annuitize it for an income stream?  It's your choice!