Advice on Possible Big Case

[scagnt83]

He is concerned with losing money and your thinking of pitching a VA?

Only a VA salesman would see the logic in that thinking.... LOL

Way too many VA guys think a VA is perfect for any situation

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Yeah the VA thing. I've got to say that every VA this guy has wrote (we are related so I know) is above water. Plus he puts an income rider on every one.

Every VA on earth is above water right now.... nothing to brag about....

An income rider is only useful if the client honestly NEEDS to annuitize a portion of their portfolio. Way too many VA guys put them on there as a safety net... which is not what they are designed to do... if someone does not plan on using that rider they are just paying more fees than they should be.

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Where are you guys getting your contracts for ML-CDs? Care to say or shoot pm?

Twilight here on the forum offers ML-CDs through his IMO I think. He is a good guy and knows his stuff.

 

[DHK]

Only a VA salesman would see the logic in that thinking.... LOL

Way too many VA guys think a VA is perfect for any situation

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Every VA on earth is above water right now.... nothing to brag about....

An income rider is only useful if the client honestly NEEDS to annuitize a portion of their portfolio. Way too many VA guys put them on there as a safety net... which is not what they are designed to do... if someone does not plan on using that rider they are just paying more fees than they should be.

I know you sold VAs a long time ago as did I.

One reason that we sold them was for the income riders - and that compliance would not authorize an IRA rollover into a new VA without an income rider. Otherwise, it was just an expensive mutual fund and we needed to justify the VA recommendation.

So, sometimes it's because of compliance that advisors put those income riders on. Then advisors get excited about the riders.

I know I did.

 

[trevleffingwell]

If he's at that age, you need to look at an income annuity that would pay the prems for an unlimited long term care policy first. Then, I would just talk about some fully-funded college plans or some paid-up life policies for legacy building.

 

[Tahoe Ray]

If he's at that age, you need to look at an income annuity that would pay the prems for an unlimited long term care policy first. Then, I would just talk about some fully-funded college plans or some paid-up life policies for legacy building.

He's worth 9 million...some of those with that net worth see the value of leverage for LTC, but that and college planning probably wouldn't be my approach tactic.

 

[scagnt83]

If he's at that age, you need to look at an income annuity that would pay the prems for an unlimited long term care policy first. Then, I would just talk about some fully-funded college plans or some paid-up life policies for legacy building.

Exactly which carrier offers unlimted LTCI benefits on a qualified LTIC policy??

How do you know this guy has kids or cares about legacy building?

And locking in interest rates for life during the lowest rate environment in history sounds like a horrible idea.


Basically you think he needs to worry about everything except what he told the agent he is worried about....

 

[sman]

If he's at that age, you need to look at an income annuity that would pay the prems for an unlimited long term care policy first. Then, I would just talk about some fully-funded college plans or some paid-up life policies for legacy building.

Did I miss the part where we were told he has kids and needs to pay for college?

 

[Tahoe Ray]

Yeah the VA thing. I've got to say that every VA this guy has wrote (we are related so I know) is above water. Plus he puts an income rider on every one. Right now he's liking a Lincoln VA. But I'll tell ya he's been writing VAs since 2008. A handful of my clients have one with him. All happy last I knew and I think he only goes 5 years on them. I will ask him again if any are under water.

Under water won't matter...a client who doesn't want to lose money will be a nightmare in reviews, even with riders.

Anyone who sold VAs in 2008-2009 looks great...rising tide and all.

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Exactly which carrier offers unlimted LTCI benefits on a qualified LTIC policy??

State Life.

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An income rider is only useful if the client honestly NEEDS to annuitize a portion of their portfolio. Way too many VA guys put them on there as a safety net... which is not what they are designed to do... if someone does not plan on using that rider they are just paying more fees than they should be.

Turn those riders on and buy life insurance...why let the insurance company get away charging those fees when the client no longer needs the income...

 

[FRJ]

Sounds like a good candidate for SPIA plus some EIA w/ income riders/cash withdrawal benefits. A hybrid life/ltc policy might be a nice addition.

 

[scagnt83]

State Life.

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I said qualified policy.... is state life a tax qualified LTCI policy? (idk)

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Speaking of ML-CDs, I have heard that there are short term options as short as 2 or 3 years.... but the shortest I can find is 5.5 years. Does anyone know of short term options with them?

 

[Stephen]

Did I miss the part where we were told he has kids and needs to pay for college?

Plus one on this.