As near to perfect as you can get
What is Life Insurance ?
In it’s purest form – It’s MONEY.
Money that is 100% pure liquid.
Money that you can enjoy on a Tax Free Basis.
Money that you can pass to your spouse or others Tax Free.
Money you can use for Long Term Expenses.
Money you can use to pay taxes on your other qualified investments.
Money that can replace the low paying CD rates.
And if you’ve done really well, it can pay some of your Estate Taxes which are due within 6 months.
Money for you to immediately create a sizable estate for your heirs
What else can you do with Money ?
Digressing for a moment. My first position in this business was with a small company handling Life Insurance. After the first day out, the last thing I ever wanted to do was to work with Life Insurance. Admittedly, I was young an naive. Later in a more professional office, I found the value of Life Insurance. I, in the beginning had a negative opinion of Life Insurance. The same shared by the general public. After my ” OMG” moment, I’ve been fascinated as to what can be done with life insurance.
There are 2 types of Life Insurance
Term and Permanent.
Term Insurance is just that – For a Term of time. Many Brokers advocate ” Buy Term and Invest the rest “. That seldom to never happens. I do recommend term where there is a need and you have a specific purpose for insurance while still keeping the cost low. But not for long term planning. Exception being that you want permanent insurance. We have a Term plan that allows you to buy term today and convert it to permanent later without medical underwriting.
Thinking of buying Term until you get older is normally a disastrous idea. You generally pass away at older ages. If you wait, you have the risk of not being able to purchase it. IT IS your health, not financial ability that enables you to purchase life Insurance. Some Term plans do not allow you to convert to a permanent pan without underwriting again. ( one of my companies does permit this ) This one reason that less than 2% of the Term Polices ever pay a Death Benefit.
Term is normally available for a 5, 10, 15 or 20 year period. Or it may be obtained on an annually renewable plan. Keep in mind that as you age, the cost goes up very sharply. Normally to the point one can no longer afford it, at which time it lapses.
If you would like more information or would like to purchase Term for yourself, Please contact us. Term may be applied for online.
Permanent Insurance opens up a new world of plans available. Also the funding can be in multiple ways.
There are some common benefits of permanent insurance. Some will like to use them for tax free income for annual cruise’s, Legacy to heirs or charity, To ensure the spouse will live comfortably after one’s passing. Replace lost income because of one’s passing. Put away more investments money for future needs. And the list goes on. What would you like to accomplish ? What are your goals ?
Whole Life, 10 year pay, 20 year pay, Universal, Single Premium,
and the list goes on of the variety available.
First we do not recommend or provide any VARIABLE LIFE INSURANCE. That is a security funded plan that purchases’ Term Insurance to fund the Life Benefits. Remember the aging comment ? After the 2008 crash, I was approached by several that had lost their money because of the investments. In order to keep the life insurance, they had to come up with huge amounts of cash to keep it. Or let it lapse, which occurred most often. The plan sounds good until the market changes………………
A Universal plan funded with an Index is proving to be the best plan available. It can provide a higher death benefits at lower out of pocket cost. Some of the internal funding is based on an Index such as the SP 500. Unlike the Variable, the value will never go down. If you are looking for a higher death benefit or grater cash build up internally would be separate type of plans. The plans offer greater flexibility in design.
Needles to say that a meeting is first required to select a particular plan. My first question is always – Why do you want life insurance ?
Life Insurance in Retirement.
Like Bread and Butter, made to go together.
In Retirement, Life Insurance has so many benefits for different purposes. Preparing for retirement, we often use a 401K or an IRA to set aside retirement funds. With them however there are limits to the amount you can put in. With Life Insurance, there really is not a limit. As mentioned in the first paragraph, Life Insurance is Money. Money you have access to that is Tax Free. It will always be there.
Morningstar recently published an article on this subject. The use of Life Insurance has always been beneficial to retiree’s. With new taxes and increased cost, it has become even more valuable as part of our retirement planning. Please follow this LINK or the LOGO for the article.
For additional information, please Email us your questions.
Phone: 352.787.5061 or Toll free: 877.822.3102