In my previous article, I expounded on why one shouldn’t purchase a long-term savings plan. If the list isn’t compelling enough, here are a couple more reasons why it’s a bad idea to commit to decades-long insurance savings plans, and what you can do if you have purchased one.

No incentive for agent to provide continuing service

As mentioned in my previous article, such plans come with high upfront commissions which eats up the time-value of your savings. A disgruntled Hayley tried to correct me by saying that the customer is paying “distribution costs” and not commissions, which I find really disingenuous. What makes up the overwhelming bulk of these distribution costs? Commissions.

And commissions incentivise people to behave one way or another. Need I spell the obvious? By its very nature, commissions are meant to incentivise people to sell, sell, sell. Upfront commissions exacerbates this problem.

When you

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