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Life Insurance Investments in Fast Food Get Attention

Life Insurance Investments in Fast Food Get Attention in General Life Insurance

Much has been made of the revelation last week that many life insurance companies have invested in fast food restaurants and companies.

Harvard Medical School conducted a study that examined the investment of millions of dollars by life insurance companies into Burger King, McDonald’s, Wendy’s, and more.

Critics are arguing that such investments are inappropriate, since eating in fast food restaurants is generally perceived to be unhealthy.

But the criticism being raised misses an important point – life insurance companies are also investment vehicles, and it is in the best interest of their clients that these investments do well.

The main difference between whole life insurance and term is that whole life insurance offers a standard death benefit plus an investment portfolio. Sure, fast food is often unhealthy, and the primary concern for all insurance companies ought to be the well-being of their customers, but sometimes the definition of well-being depends on the services being rendered.

And with millions of policy-holders depending on their whole life insurance investments to pay off in the event of their death or the end of their payment period, choosing those investments that offer high quality returns is what insurance companies are being paid to do.

So yes, fast food is often bad for them, but enjoying the financial rewards of a life insurance company that knows how to make sound investments can be very good indeed.

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