We all know the importance and necessity of having life insurance. And the question of should you have life insurance? How much? What kind? The answers can be complicated. If your family depends on your income, then life insurance is imperative. Life insurance proceeds can be used for any expense. Funeral and burial, estate taxes, higher education for your children, mortgage expense. Or those proceeds can be used to fund your spouse’s future for retirement.
When we assist you to consider the amount and type of life insurance you may need, you must take into account what your ultimate use for the insurance is going to be. Do you have an estate tax issue? Do you wish to create a charitable legacy? Do you want to fund your children’s or grand children’s higher education? Do you wish to guarantee your family’s future financially? All of these issues should be carefully considered and discussed.
We will assist you to design a plan that will accomplish all of your objectives with the proper planning with life insurance.
Premium Financing of Life Insurance
For those individuals, couples and businesses with higher resources, total assets and/or income, we will design an appropriate program to place the necessary life insurance coverage to protect you. Through the use of Premium Financing of Life Insurance, you will be insulated and sheltered from estate and other tax issues, provide for family protection, legacy building and, most importantly, the Living Benefit of providing yourself tax free, lifetime retirement income. There are many other uses for the program, depending on your goals and objectives.
Premium Financing of Life Insurance is a program where the life insurance premiums are paid by a third party lender. This leaves the insured the ability to use the funds that would have gone to pay those premiums for other purposes. The insured must go through financial as well as medical underwriting. The use of an Irrevocable Life Insurance Trust (ILIT) is also required. The insured must also collateralize the loan. The benefits of using this method to secure life insurance are numerous and staggering. Premium Financing of Life Insurance may provide the opportunity to put in place a comprehensive life insurance program that may otherwise would have been neglected. We will design and illustrate the specifics for your needs to provide an understanding of this popular program.
There are restrictions and other requirements. Not everyone will qualify. Please discuss interest in this program during your consultation.
Use of this highly popular program allows for additional benefits for the insured. The Living Benefit is tax free, lifetime income while in retirement. After the policy loan is satisfied, (by the policy cash values themselves), the availability of leveraging the policy for monthly, lifetime tax free withdrawals is available. This allows you to still maintain the policy death benefit for tax purposes, family protection, etc., and have the income you desire when you retire. This Living Benefit, will afford you the ability to maintain your standard of living and quality of life without any interruption.