5 Reasons Why Life Insurance Is a Safer Bet than Vegas
Over the years I’ve had more than a fair share of clientele make the analogy that the premise of term life insurance is a form of gambling, and to a certain degree they’re correct. Say whaaat? Yes, there are some similarities. Both involve risk in that the individual is putting up a small amount of money with a potential sizable payout in return. Of course, insurance is not meant or intended for gain, rather it’s meant to make the beneficiary whole again and to return them to the original condition before the loss. This is unlike gambling which is strictly meant for personal gain.
However, the analogy got me thinking so I decided to have a little fun and make post to illustrate the many reasons as to why life insurance is much better deal than gambling in Vegas.
5 Reasons Why Life Insurance Dominates Las Vegas
1. Taxes- There is no income tax on life insurance benefits. Life insurance is one of the only few items that enjoy this sovereignty. Compare that to gambling in Las Vegas where you will have to pay around 40% to 50% on winnings in state and federal taxes. What’s the point, right?
2. You Can’t Lose- Insurance is an anomaly in that it is something you pay for but hope you never have to use.
3. Cheaper- A healthy 40-year old make can buy $250k of life insurance for $12 month or less than $140 a year. How long will $12 in Vegas last?
4. No Travel- When you apply for life insurance the nurse comes to you. Compare that to the long drive or flight to Vegas. Advantage life insurance.
5.Fun- Buying life insurance is a lot more fun than a long weekend of gambling, lying by the pool, buffets, clubs and shows you’ll encounter in Las Vegas. Am I Right?
Next time you think that buying term life insurance is a form of gambling, remember this list and you’ll know that it’s the smartest and most selfless financial bet you will ever make.
What are you thoughts when people say that term life insurance is a gamble. Agree or disagree? Leave a comment below.