My husband has had a universal life policy with United of Omaha for over 20 years. We have paid $840 every 6 months.
Never missed a payment or paid late. Today I received the 6 month bill. It is $1,940.34! I called and was informed that there is no cash value in the policy because over time costs for maintaining the policy have increased.
Does this mean the insurance guy started taking a higher cut? What is there to maintain? My husband is now 62 and we are in no position to pay $4,000/year for an insurance plan that has no cash value after 20 years of payments. How is this legal?
They take our money until he reached a point where it would be extremely difficult to obtain other insurance due to his age and health, and then they more than double the premium. My advice to anyone considering purchasing insurance - DON'T DO IT! The insurance companies will find a way to leave you out in the cold. Take the money you otherwise would have paid for an insurance policy, and put it into a savings account.
You will at least have something after 20 years. In our case it totals over $33,600.00 that is just gone!
Product or Service Mentioned: United Of Omaha Life Insurance Universal Life Insurance.
Reason of review: Not as described.
Monetary Loss: $33600.