FALLACY OF NONLIFE SAVINGS FROM INVESTED DIFFERENCE

Dongsae Cho

Risk Management and Insurance Review, 1999, vol. 2, issue 2, 34-43

Abstract: Abstract: Usually nonlife savings with term life produce better investment results compared to the cash value in whole life insurance. This paper addressed a potential problem of the former that its balance may decrease during the later years, if the rate of return is relatively low. To fully reveal this declining property to the investors, it is recommended that the investment performance of nonlife savings be disclosed over a 50–year period at 5 and 8 percent returns. Further discussions are delivered regarding similarities and differences between nonlife savings and the cash values under universal and variable life insurance.

Date: 1999
References: View complete reference list from CitEc
Citations:

Downloads: (external link)
https://doi.org/10.1111/j.1540-6296.1999.tb00050.x

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:bla:rmgtin:v:2:y:1999:i:2:p:34-43

Access Statistics for this article

Risk Management and Insurance Review is currently edited by Mary A. Weiss

More articles in Risk Management and Insurance Review from American Risk and Insurance Association
Bibliographic data for series maintained by Wiley Content Delivery ().