Are most adjustable life policies more expensive than conventional term policies or whole life policies?

Most adjustable life policies tend to be more expensive than conventional term policies or whole life policies primarily due to their flexible nature and the additional features they offer. Adjustable life insurance combines aspects of both term and whole life, allowing the policyholder to adjust the death benefit and premiums. This flexibility can lead to higher administrative costs and potentially higher premiums compared to standard policies that offer fixed coverage and premiums.

Conventional term policies provide straightforward coverage for a specified period at lower costs since they do not build cash value. Whole life policies, while more expensive than term due to their guaranteed death benefit and cash value accumulation, are typically less flexible than adjustable life policies. This lack of adjustability is what makes conventional policies more predictable and often more affordable.

The statement about the increased costs of adjustable life policies reflects the added features and flexibility, meaning that individuals looking for customizable life insurance options often pay a premium for those benefits, thus supporting the assertion that they are generally more expensive than standard term or whole life policies.