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Life Insurance

As near to perfect as you can get

life insurance investment tax free money retirement

What is Life Insurance?

In its 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 and 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.

 

Life Insurance investment retirement

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 happen’s.  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. 

 

The 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 will permit this.  The Lapse rate on Term Insurance. This one reason that less than 2% of the Term Polices ever pays a Death Benefit.  You are in essence, Renting the coverage for a period of time.

 

Term insurance 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 insurance may be applied for online.

 

 

Permanent Life Insurance.

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 clients will like to use them for tax free income for annual cruise’s, Legacy to heirs or charity etc. To ensure the spouse will live comfortably after one’s passing.  Replace lost income because of one’s passing.  Put away more investment money, or just money for future needs.  And the list goes on

 

 What would you like to accomplish ?

What are your goals ?  

 

A sampling of available plan design

Whole Life, 10 year pay, 20 year pay, Universal, Single Premium, and the list goe’s 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 individuals that had lost their internal cash value, because of the investments going down.  A fatal combination of Cash values going down, while the cost of insurance went up due to increasing age.

 

 In order to keep the life insurance, they had to come up with massive amounts of cash to keep it.  Or let it lapse, which occurred most often.   The plan sounds good until the market changes………………  We will never put you at any risk.

 

A Universal plan funded with an Index is proving to be the best plan available.  It can provide a higher death benefit 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 internal cash value will never go down.  If you are looking for a higher death benefit or greater cash build up internally would be separate types 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, Life Insurance in retirement are 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