I opened their Christmas mailer to find out they have an offer to get your cash now and they gave numbers to call. Nobody is answering the Customer Action Center so I called 856 40 51.
I have 2 policies with them. The 500K is now drawing on the endowments. The last tranche will be on 2018. The 1M policy will be due on 2014.
Long story short, the employer at the other end of the line got flayed by my sharp tongue dahil...what they had to offer is the usual pre-termination rate. Nothing more. Kaya, " why bother mentioning it in your mailer if it is just the usual pretermination rate? We already know about pre-termiantion rates." That person then, gracefully retreated with, "you could just continue with what you are doing now" suggestion.
Why did I call? With so many pre-need companies going down, I entertained the idea of having a bird in hand rather than look at the one in the bushes. I can recoup partial losses. I did it with Family First because by then, I was already a very interested student in mutual funds. I knew of other roads to take.
Which reminds of what I recently came upon in the internet about sunk costs and zero sum fallacies.
Why do they want their policy holders to encash now?
Would you rather get a return of investment at a loss, or hang on to the hope that you will get the money due you on the maturity dates?
Your 2 cents please...