New Jersey Hybrid.. Annuity

[supersupps]

Client has 100k or more in bank earning nothing and wants ltc. 56 perfect health, New jersey. What can be offered with lots of bells and whistles.. ie. income stream and great ltc rider.for ex. no elim period , 5% compound, high daily pay rate, etc. partnership provision?

 

[moonlightandmargaritas]

New Jersey Hybrid? Is that like a Cleveland Steamer? Or a Boston Pancake?

 

[RonRoberts]

Client has 100k or more in bank earning nothing and wants ltc. 56 perfect health, New jersey. What can be offered with lots of bells and whistles.. ie. income stream and great ltc rider.for ex. no elim period , 5% compound, high daily pay rate, etc. partnership provision?

When you mention compounding it makes me think securities. Are we talking about a variable hybrid?

 

[Newby]

When you mention compounding it makes me think securities. Are we talking about a variable hybrid?

Compounding has nothing to do with being a security. CDs and fixed annuities compound.

It just means interest is paid on the principle plus the interest.

 

[Tahoe Ray]

When you mention compounding it makes me think securities. Are we talking about a variable hybrid?

He's talking about an inflation rider...

 

[Mr_Ed]

Client has 100k or more in bank earning nothing and wants ltc. 56 perfect health, New jersey. What can be offered with lots of bells and whistles.. ie. income stream and great ltc rider.for ex. no elim period , 5% compound, high daily pay rate, etc. partnership provision?

if he's in perfect health the annuity/ltc rider is the worst possible product for him.

he'll get more leverage if he buys a life/ltc combo product.

The 5% compound is very expensive. he'd probably be better off just buying the highest possible monthly benefit and forget about the compounding.

 

[RonRoberts]

Compounding has nothing to do with being a security. CDs and fixed annuities compound.

It just means interest is paid on the principle plus the interest.

Maybe I shouldn't have said securities instead of non fixed insurance products. But in my study of fixed index annuities I see where we are averaging crediting but not taking the compounded annualized returns since we are not taking in to account negative returns, unlike financial products such as securities, or variable annuities.

 

[Norwayguy]

Maybe I shouldn't have said securities instead of non fixed insurance products. But in my study of fixed index annuities I see where we are averaging crediting but not taking the compounded annualized returns since we are not taking in to account negative returns, unlike financial products such as securities, or variable annuities.

Your FIA compounds. The interest you gain this year is based on the positive performance of the market creates the percentage but the percentage is applied to the principal AND the previously credited interest.

 

[TriciaS]

Look at life/LTC combo. First I don't know of a TRUE annuity / LTC combo in NJ. Second those I know of in other states still have underwriting and third, if the money is "cash" you get better leverage on the life products (plus move the money out of the estate at death).