During the last week we have worked on dozens of life, long term care, disability and annuity cases working alongside our Advisers.
If you are not discussing these issues with your clients, then who will?
Westland is here to help you protect your clients, their, families, their businesses and their portfolio.
Female Client age 60 has two adult children and she wanted to help them out by starting a life insurance program for each of them. The plan was to lock in their future preferred insurability and provide a bucket of tax free cash to help them out when needed or to supplement their retirements.
Mom is funding at $2,000 annually for a $250,000 Indexed Life Product for each.
Daughter: Age 28 (super preferred) At age 60, her cash value is expected to be about $160,000 and her death benefit about $400,000. At age 65, she could draw supplemental tax free annual income of about $22,000.
Son: Age 24 (preferred) At age 60, his cash value is expected to be about $250,000 and his death benefit about $500,000. At age 65, he could draw supplemental tax free annual income of about $42,000.
Super nice legacy gift from mom. You can also see that starting at a younger age has a better expected outcome – the power of compounding. If you have clients with children or grandchildren, these programs make great sense – starting for as little as $100 monthly.
Clients owned a large dental practice and unfortunately were divorcing. She runs the business and nearly 20 staff and he is the rainmaker professional dentist. 50/50 ownership. Attorney is drafting the separation agreement and a buy/sell agreement. Both will continue working together in the practice, just not as husband and wife. Her concern, is that she wants the business to continue should something happen to her ex-spouse. This protects her salary and the value of the practice. They had the life insurance covered, but not disability. He had personal DI, but nothing protecting the business. We suggested both a business overhead expense policy and a Disability Buy Out Policy. The overhead expense policy, will allow her to continue the business with up to $50,000 monthly. With scaled back operations and temporary dentist help, she could now continue until a new dentist partner can be found or the practice sold or merged. Win Win!
This case happened because of the divorce situation, but any professional practice and many businesses might be a prospect and should consider this type of protection. Next time you go to your dentist, chiropractor, doctor or visit a business, ask the owner “what would happen if you didn’t come in tomorrow and might not return”. Asking the question, could set in motion a fantastic relationship.
Mass Mutual case: Whole life review. Advisor was an agent of record on an existing policy that was originally purchased by a firm as key man protection. Since then, the company was sold and the Sales Manager, who was the key man, personally continued the policy at his separation from employment. We ran several in-force illustrations and walked the advisor through each so that he could present the options and have a quality discussion of the pros and cons of each. We offered to be available during the meeting or to even host the call or zoom meeting as the insurance expert working alongside the advisor.
Call for assistance with a case today.