Life insurance advance interest rate?

Question

I have recently been given 3 months to live. My husband is in the military and I have life insurance through FSGLI. I was offered the option of taking an accellerated benefit option which would give me $50,000 now. I received a letter that stated that they would subtract the interest that they would have received from my advance. Does anyone know what the interest on $50,000 would be over a period of nine months. They didn't tell me the rate they use but I imagine it should be the rates that banks use. Any advice would be helpful. Thanks

Answer 1

Generally speaking interest rate on life insurance is between 8-12 percent.  Check with your company to be certain.  Sorry to hear that you won't be with us much longer,  This is why the accelerated Death benefit was created, this will allow you do some of your last wishes.  Make your last moments good ones for friends and family.  Good Luck