Dividend Paying FE Plans??????

[yabadabadoo1026]

got replaced so she says by a company that on a mere 10000 policy at age 65 will generate dividends to pay her 46/mo premium at age 80

Now 50 years ago I got a 10000 participating policy from New York Life but I didn't know participating policies of such small face are available now

Thoughts on this please-----------suggested she have me look at policy when it appears/ sounds too good to be true but if so a carrier that would have a good selling pitch

 

[DayTimer]

got replaced so she says by a company that on a mere 10000 policy at age 65 will generate dividends to pay her 46/mo premium at age 80

Did you ask her to name the carrier? Then it would be a simple call to the carrier with the client present and have the new carrier confirm or deny what the other agent told her. That's what I'd do, anyway.

 

[jdeasy]

got replaced so she says by a company that on a mere 10000 policy at age 65 will generate dividends to pay her 46/mo premium at age 80

Now 50 years ago I got a 10000 participating policy from New York Life but I didn't know participating policies of such small face are available now

Thoughts on this please-----------suggested she have me look at policy when it appears/ sounds too good to be true but if so a carrier that would have a good selling pitch

I don't know of any dividend paying FE policies. Some of the companies in the FE market have dividend paying policies available thru their other channels.

KSKJ and LL come to mind.

But those numbers don't add up.

Until you go see the policy it's only speculation.

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Did you ask her to name the carrier? Then it would be a simple call to the carrier with the client present and have the new carrier confirm or deny what the other agent told her. That's what I'd do, anyway.

Or, you could do that. Go see the person and get on the phone with the company.

Either way, that's not a discussion I'm having over the phone with the client.

I'm going to see them.

 

[Baseball7]

This really comes down to all policy conservation should probably take place in person.

 

[Newby]

There is no company in existance that guarantees that they will pay any dividend on any whole life policy of any kind.
There are participating WL policies that do pay dividends and go down to $5,000. But they would never guarantee that.

 

[WinoBlues]

got replaced so she says by a company that on a mere 10000 policy at age 65 will generate dividends to pay her 46/mo premium at age 80

Now 50 years ago I got a 10000 participating policy from New York Life but I didn't know participating policies of such small face are available now

Thoughts on this please-----------suggested she have me look at policy when it appears/ sounds too good to be true but if so a carrier that would have a good selling pitch

That does not sound right. Are you saying she is 65 or at 65 the dividends will have accumulated enough to Extended Term to age 80? If she is a lot younger then the dividend could possibly be projected to be enough to offset premiums. unlikely on a small policy. Also why would they only pay to age 80?

Sounds like 1) she misunderstood what she is getting or 2) the agent is double talking her. As the others have said, you need to see the policy. I would drive out there just to find out if that is really a plan.

 

[yabadabadoo1026]

That does not sound right. Are you saying she is 65 or at 65 the dividends will have accumulated enough to Extended Term to age 80? If she is a lot younger then the dividend could possibly be projected to be enough to offset premiums. unlikely on a small policy. Also why would they only pay to age 80?

Sounds like 1) she misunderstood what she is getting or 2) the agent is double talking her. As the others have said, you need to see the policy. I would drive out there just to find out if that is really a plan.

you misunderstood--------her understanding was 15 years from now at age 80 her dividends would be sufficient to pay her $46 /mo premium going forward. If true I understand why that would appeal to her.

She couldn't remember the carrier name, policy hasn't showed yet and suggested she call me to look at it------------hardly not losing a wink of sleep over it, it was 5000 that I been on tiny renewals only for years so no big deal. With me its more curiousity than anything else.

To JD I said FE only due to the low 10000 face but -----I only distinquish FE from whole life due to simplified U/W and small face

The agent who replaced me got her attention by badmouthing "certificates"/ ie Forester which is bogus using such scare tactics against a 140 year company

 

[jdeasy]

you misunderstood--------her understanding was 15 years from now at age 80 her dividends would be sufficient to pay her $46 /mo premium going forward. If true I understand why that would appeal to her.

She couldn't remember the carrier name, policy hasn't showed yet and suggested she call me to look at it------------hardly not losing a wink of sleep over it, it was 5000 that I been on tiny renewals only for years so no big deal. With me its more curiousity than anything else.

To JD I said FE only due to the low 10000 face but -----I only distinquish FE from whole life due to simplified U/W and small face

The agent who replaced me got her attention by badmouthing "certificates"/ ie Forester which is bogus using such scare tactics against a 140 year company

Not really bogus. It's a legitimate concern. You just need to be able to handle those concerns.

 

[Rey]

Maybe she means it is a 15-year pay policy. When she is 80, it's reduced paid up.

 

[goillini52]

Maybe she means it is a 15-year pay policy. When she is 80, it's reduced paid up.

If it was a 15 year pay policy, it would be paid up in 15 years..not reduced paid up.

Not sure I've seen a 15 pay. They're usually 10 or 20 pay.