I was talking to a financial planner who on account of being referred through common friend offered to answers any questions I had about my fiscal fitness.
As we were talking about life insurance and that a term insurance would make sense for me, I learnt that one of the services he offered was to shop around and help me find the right (term) life insurance. If I choose to go with one of the suggestions he had, he mentioned that he would get a commission from the firm that offered the policy like a finder's fees.
I know I should have asked him this question and I most probably will but I was wondering how commission and term life insurance work together. With my limited knowledge about insurance, my understanding is that one of the reasons for the premiums on cash value life/permanent life insurance is very high compared to term life insurance is on account of the agent's commission. Secondly, there is no cash value being generated in a term life insurance so I suppose there is no question of "less" of my money working for me due to an agent's commission.
So my question is -could I be potentially paying a higher premium for the same coverage from the same firm going through the financial planner rather than if I were to be purchasing on my own?