During the last few weeks 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.
Case 1
We completed a life insurance analysis for a couple – Dale age 61 and Mary age 66. Dale had a $200,000 policy and Mary had no life insurance. With a pre-mature death of Dale the projections showed that Mary’s plan would carry her through age 100, however, with the pre-mature death of Mary, Dale’s plan showed he would run out of funds at around age 91.
We ran the same type of analysis for a hypothetical long-term-care event. With no protection strategy in place for either of them, we found the same outcome. A typical 3 year LTC event involving Dale at age 83 and then passing, shows that Mary would still be fine through her age 100. However, a LTC event involving Mary and then passing at her age 85, showed that Dale would be out of funds at age 91.
After careful analysis of many options, we recommended the purchase of a John Hancock Protection IUL with LTC rider for Mary and for Dale to keep his current insurance program in force. The plan called for a death benefit of $250,000 with 100% available for LTC expenses if and when needed at up to $10,000 monthly.
Results:
With the cost of the insurance ($5,633 annual) the change in net worth at Dale’s age 100 was a hypothetical change of only about $130,000 less. Now with insurance, If Mary passed pre-maturely or had a LTC event, then Dale was much better protected and likely carry his plan to age 100.
Note: The life insurance death benefit amount of $250,000 is fully available to help offset LTC costs for Mary if ever needed. Any amount of her death benefit not used for LTC expenses will be a tax-free death benefit for Dale or other beneficiaries.
When you speak with clients and calm their fears in this volatile market, why not introduce the life insurance discussion as well.
Ask, what if the worst happened to you?
Would you like me to look at some life insurance protection for you?
Also a nice way to boost revenue for your practice while helping clients. Let’s work together to identify a couple of potential cases and get moving.