[Phanuthier]

Somewhat related to the inheritance thread, but also because this is something I just started looking into - I'm at a crossroads in trying to make a decision on deciding on whether to get a term vs. permanent life insurance. I understand the (tax) advantages of one versus the (cost advantages) of the other.

Part of the dilemma for me, besides the higher initial monthly cost of a PLI, is the overhead I'm looking at for a PLI. It makes me wonder about the opportunity cost of the alternative, where I simply purchase a term (20 years takes me to 50 yo, then purchase a 30 year to take me to 80 yo) then use the money I would otherwise save, invest it myself and save on the management fee's (look like 2%, and thats not including administrative fee's).

(Side note : lets assume that I am already maxing my 401k and IRA, a.k.a RRSP and RESP, so there are no other tax advantage vehicles that I can pursue)

So to me, the boiling point for me is - is it advantageous to bend over and accept the administrative and management fee's of a PLI, or is the lower cost term a better option?

Is there any other information I'm missing? Thoughts?