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What is better for me to get, Group Universal Life Insurance, or Group Variable Universal Life Insurance? ?

I am having trouble figuring out the advantages vs. disadvantages of each. The GUL has a guarantee of at least 4% return each year. The variable has a bunch of portfolios, that given the market, are not there.

Public Comments

1. For life insurance, don't get anything else but "Term Life." Suzy Orman, financial advisor also stated the same.
2. Suze Orman is definately not the person to be getting advise from. Her advice is VERY general and is often conflicted. Suze Orman is on TV because she is charismatic outgoing and has a personality. Bottom line: She's no different than anyone else on TV. She's there to entertain, not provide accurate personal advice. Here are a couple links that prove it: In this clip she says Variable Annuities are useless. After a caller calls in and says that Variable Annuity worked well when her husband died, Suze backtracked and said they are only good when there is a death benefit....Suze...any informed person knows that ALL V.A's have a gauranteed death benefit, so by her logic, all variable annuities are good. And for the record, along with that death benefit gaurantee is a maturity gaurantee. http://www.youtube.com/watch?v=rd_3nCENMT8 Read this interview where in Mar. '08 Suze Orman said the worst is behind us and there's nothign to worry about. I personally would think that the market losing thousands of points on the Dow and many other markets and several companies coming out and saying they are on the verge of bankruptcy and more and more florclosures and job losses are not a good thing and things have clearly gotten worse than they were in March. She was the only one in the world saying the worst was behind us and for good reason...the rest of the world understood the bigger picture, where as she only understands what she read in a book or two 20 years ago about saving some money and try to pay off your debts. http://rwcs.com/blog/?p=1886 How about some information that she has provided abouther background that isn't true or misleading? http://www.forbes.com/fdc/welcome_mjx.shtml Take her advice with a grain of salt and with the intentions of actually visiting someone that is actually able to help you with your own personal situation rather than some generalization that likely won't apply to you. NOW...to answer your question, it really depends on what you are looking to do. Are you looking at using it as a tax shelter? Just looking for insurance? Looking at using the money to just increase the policy amount? Also depends on your risk tolerance? Can you handle seeing your investments drop a considerable amount once in a while? Personally, I would go with the Variable one. The markets are way low, so chances are over the next while (depending on how long you plan to have the insurance) the markets will rise and there should be some pretty good returns. I'm a bit more of a risk taker though. Your best bet is to contact a local insurance broker who can assess both of them and do a proper risk analisys to see which suits you best. IF you have the option to opt out of the group benefit, you will be far better off looking at an individual policy rather than a group plan. There are several reasons for this that I won't get into here, but you will have a lot more control and after you leave your job you won't lose it.
3. Pretty much the same thing. That 4% guarantee is a joke. They put that money in the stock market which is down 30% this year. You won't get 4%. Get the variable...