Financial & Estate
Planning Professionalism
Chartered Life Underwriters and
Chartered Financial Consultant
We are occasionally asked to interact with an internet client's advisors and help them design a financial or estate plan that meets the client's business or personal needs. We have a number of experts on our staff with the professional designations and expertise to design a plan to accomplish these goals.
You wouldn't go into court without an attorney or to an IRS audit without a CPA. Similarly, most people would want a CLU (Chartered Life Underwriter) or ChFC (Chartered Financial Consultant) to assist them with complicated planning. Here's an example of two recent cases:
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Contractor, age 47, deteriorating health, needs $10,000,000 of permanent insurance to provide for $30,000,000 estate – this case started with an inquiry about a key man policy for one of this contractor's important employees. Once that need was solved, we ended up helping this gentleman convert an existing $1,000,000 Preferred Rate term policy to Universal Life, and through much negotiation were able to help him acquire $4,000,000 of additional Universal Life from one company at a Standard Rate, and an additional $5,000,000 of Convertible Term Insurance from another company at a Standard Rate.
All other offers were for "Rated Policies" that would have been considerably more expensive and thus less favorable to this client. We coordinated ownership and beneficiary issues with this gentleman's attorney and CPA and provided him the most competitively priced and performing products available in the marketplace. Including the key man policy, we used policies from 4 different A+ rated companies to meet the needs of this client.
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Retired Businessman, age 49 and his wife, age 46, needed $2,500,000 of additional Second to Die permanent insurance (also known as Survivor Life Insurance) to pay estate taxes – this gentleman was working with his stockbroker, who was handling over $4,000,000 of his investments, and came to us for a "second opinion". He and his wife felt they were in excellent health but this stockbroker was only able to get him standard rates.
We were able to go to the same insurance company the stockbroker had gone to and, with the expertise of our own Underwriting Staff and Medical Director, were able to convince this A+ rated company to issue a policy with Preferred Plus rates for both the husband and wife, saving this couple thousands of dollars annually. We also evaluated an existing $500,000 second to die policy, determined that it was under-performing and would run out 23 years earlier than expected, and were able to exchange of that policy on a tax free basis using Internal Revenue Code Section 1035 into the new policy, now with $3,000,000 of death benefit, with lifetime guarantees that guarantee premiums will never increase and the death benefit will be in force until the second death, even if that occurs well after age 100.
