FE Final Expense Cash Values

[0b1kanobee]

I already know we are not supposed to be selling FE for the cash values.

With that said, what final expense companies (the ones people generally associate with final expense insurance) have the best cash value accumulation? When I say the "best", I mean the larger the value in the shortest amount of time (years) or all they all the same? if they vary from time to time (like annuities), which ones are good now?


Also, why I have your attention, why and when would a 10 pay FE policy make sense. What's the pros and the cons?

I have a 70 Y.O. male in good health and she doesn't like the idea of term.........one of my annuity clients and she does her own investments. They have no life insurance and she wants some on him. On the flip side they are frugal as all get out. If I could show her where she is getting at least some cash value she might feel more cozy. I'm also wondering if the 10 pay might be attractive to her.

At this point, all I know is I got a call asking if I sold Colonial Penn and her annual review is up so we are scheduled to meet.

 

[Newby]

You are over thinking it. She is looking for a guaranteed premium for life. Colonial Penn doesn't advertise how much cash builds up. They just list cash value as a feature.

You should have the easiest sale in the world. Just look at the ad that got her attention and beat it. She will tell you what features of the ad are her hot spots. Just ask.

10 pay makes sense for younger people in their 50's and early 60s for sure. 70 male it probably is not as attractive.

 

[Todd King]

When do you sell 10-pay? When they can afford it! Of course, a SPWL might do well in this situation too, provided they have the money for that.

 

[Cornelius]

Just for grins how much coverage are they looking for?

 

[0b1kanobee]

Just for grins how much coverage are they looking for?

50K
BUT here is the deal. It's only to pay off the house in case he passes. Thing is, the house will be paid off in 5 years at their current rate. He is 70 and still working.

I found a 10 year term from one of these FE companies (American Amicable I think) which I thought would be a good product but she doesn't want to rent and she doesn't want to pay much either. Don't know if that 10 year term is convertable to WL which I think would be the best option if it even is an option. I might be able to sell that idea even if I had to lower the face amount.

There might be 20k there somewhere to outright buy a policy single premium but I'm not familiar with those policies at all. I was looking for a quick crash course of ideas here and curious about cash values and 10 pays (wasn't sure of the pros, cons and whys of using them).

 

[Todd King]

50K
BUT here is the deal. It's only to pay off the house in case he passes. Thing is, the house will be paid off in 5 years at their current rate. He is 70 and still working.

I found a 10 year term from one of these FE companies (American Amicable I think) which I thought would be a good product but she doesn't want to rent and she doesn't want to pay much either. Don't know if that 10 year term is convertable to WL which I think would be the best option if it even is an option. I might be able to sell that idea even if I had to lower the face amount.

There might be 20k there somewhere to outright buy a policy single premium but I'm not familiar with those policies at all. I was looking for a quick crash course of ideas here and curious about cash values and 10 pays (wasn't sure of the pros, cons and whys of using them).

Maybe, if you called your upline (especially the one with Am Am), they might be able to help you figure this one out.

 

[TRSecurity]

Sometimes I use a 10 pay if someone wants a WL and the money is coming from a taxable source. The 10 pay spreads the tax burden out as opposed to a big hit for a SPWL.

 

[2001mason]

Sometimes I use a 10 pay if someone wants a WL and the money is coming from a taxable source. The 10 pay spreads the tax burden out as opposed to a big hit for a SPWL.

I am very new at this, so please bear with me. By taxable source, do you mean from cashing in stocks, mutuals, IRS'a etc?