A broker approached us regarding options for an 84 year old female prospect, who had accumulated over $1M in various retirement and investment accounts which she would not be spending during her lifetime. This prospect also had cardiac impairments, leaving the broker feeling like it was a long-shot that she could even qualify for coverage.
The client would not have even considered life insurance as a solution had her broker not called us. After one phone conversation, the broker was encouraged to try and qualify for coverage before closing the door entirely on life insurance planning.
The Underwriting Team leveraged their experience, put their nose to the grindstone, and worked the emporium to match the case to a carrier offering a Table B substandard rating. The case eventually placed inforce with the client making a $620,000 single premium deposit which resulted in a $1,000,000 tax-free death benefit payable to her son as the beneficiary.
She was so pleased with the outcome that she has since submitted a second application with a single premium deposit of $310,000 to purchase a $500,000 life insurance policy.
As a result of the life insurance planning, the client has turned $930,000 of potentially taxable assets for her kids into a tax-free benefit of $1,500,000.
In addition to helping the client enhance the legacy she will leave to her children and grandchildren, the broker closed the two sales, earning over $100,000.
Do you have any clients with idle or excess assets who would like to provide a larger, tax-efficient legacy to their children, grandchildren or charity?
Even if you think age or health impairments could make such planning prohibitive, it never hurts to try – you and your clients might be surprised by the outcome.
Contact your Life Sales Rep to discuss how to best identify potential opportunities.