Just like your computer is probably outdated (unless it is brand new) your life insurance policy could be outdated as well.  Years ago there were a ton of expensive whole life insurance polices sold.  The problem with them was their rate of return.  Here is the rule of thumb if you are buying life insurance to cover your family if you die: Buy term life insurance.

Obviously, if you are buying life insurance for some complex, self employed, retirement program, that is different.  Sure, an individual might use life insurance as an umbrella to shield investments from taxes or you could just buy term life insurance and invest the difference.  I know there are some good whole life insurance policies out there with fantastic historic rates of return (variable policies with mutual funds that provide the growth – you need a Series 7 stockbroker to sell some types to you).  If you have a financial planner and they are recommending something – they are most likely telling you the truth – trust them if they know your financial situation, goals, etc. Otherwise just by the cheap Term life insurance and do the investing in your 401(k) or IRA according to your time horizon.