Baltimore Life Legacy Vs Aviva Balanced Allocation

[infoseeker]

For a 68 year old male good health who has about 200k in a IRA who does not want or need to take income when his RMDS start at age 70 1/2. wants the money to leave for his heirs

Would he be better with the Baltimore Life SPIA Genaral Legacy product or Aviva Balanced allocation?

 

[ScottLFB]

I'm not fully familiar with the Baltimore Life SPIA/Legacy option, is it a SPIA that 7-10 pays a whole life product as an efficient wealth transfer option? What is the DB on the above scenario? The Aviva BAA isn't the best option for a DB rider on an Annuity right now and if the client is in good health, why not go the life route instead of paying rider fees for minimal growth with the BAA?

 

[mrtmdomaha]

I'm familiar with both products. If the purpose of his IRA is to pass it on, life insurance is the best vehicle for that purpose, especially since he's healthy. Make sure the client has funds elsewhere to pay the taxes on the BLI spia payments. Another option is to just take RMD's, set aside enough to cover taxes, use the rest to make payments into a GUL. The BAA will still grow on average 4-5% on average, no extra fee for the FER rider.