Reputable? Whole Life with Northwestern Mutual...

[BNTRS]

Speaking of high cost premiums universal life based policies pretty much take the cake. Doesn't much matter which, fixed, indexed, or variable, all have the same rising costs and a multitude of fees.

I also don't understand why so many people say it's flexible. The whole flexible premium thing is more myth than anything else.

Whole Life Insurance brings a lot of flexibility to the table from a planning point of view.

(btw, what happened to life insurance isn't an investment?)

 

[LGilmore]

"After all, this guy wants to retire by 50. He is going to be putting quite a lot of money away."

And he is going to have to bust his ass at work to do so... I think we are just seeing the same thing a bit different. I am not implying a "one and done" transaction by any means. It's just a matter of what amount of time does a person who is working massive hours have to meet quarterly and review?

I mean I understand the A, B and C clients and all that and don't disagree with your ideas, except what happens when the client doesn't have as much free "meet with my agent" time as we'd like them to have? With new ground to cover as things change, the limited time available needs to have a majority spent on new issues. The stability of a whole life, the most boring product made, has great merits. New issues, new business relationships, investment opportunities will demand alot time. Again, it depends on the client, but having to revisit and tinker is not for everybody.

Not having time doesn't mean he's buying from somebody else, it means the time he has to spend on this stuff is limited. While we'd all like to be uber critical of a person like this, we tend to forget "we're" the only people who find insurance interesting, or we wouldn't have to find clients, they'd find us.

My kid's in the same boat as this guy. I know what kind of time he has. Just because somebody's in the top 1% intelligence wise, doesn't mean they want to spend all their time in complex things. Sometimes the simple is all they want. Imagine 12 hours of patients,daignostics, research and charting. Now "my agent/rep" wants to go over in detail what transactions I should be making in my policy I bought a year ago. "Man I just want to know I'm not losing money and a beer..... "

I really do see your point, do you understand where I'm coming from?

 

[BNTRS]

"After all, this guy wants to retire by 50. He is going to be putting quite a lot of money away."

And he is going to have to bust his ass at work to do so... I think we are just seeing the same thing a bit different. I am not implying a "one and done" transaction by any means. It's just a matter of what amount of time does a person who is working massive hours have to meet quarterly and review?

I mean I understand the A, B and C clients and all that and don't disagree with your ideas, except what happens when the client doesn't have as much free "meet with my agent" time as we'd like them to have? With new ground to cover as things change, the limited time available needs to have a majority spent on new issues. The stability of a whole life, the most boring product made, has great merits. New issues, new business relationships, investment opportunities will demand alot time. Again, it depends on the client, but having to revisit and tinker is not for everybody.

Not having time doesn't mean he's buying from somebody else, it means the time he has to spend on this stuff is limited. While we'd all like to be uber critical of a person like this, we tend to forget "we're" the only people who find insurance interesting, or we wouldn't have to find clients, they'd find us.

My kid's in the same boat as this guy. I know what kind of time he has. Just because somebody's in the top 1% intelligence wise, doesn't mean they want to spend all their time in complex things. Sometimes the simple is all they want. Imagine 12 hours of patients,daignostics, research and charting. Now "my agent/rep" wants to go over in detail what transactions I should be making in my policy I bought a year ago. "Man I just want to know I'm not losing money and a beer..... "

I really do see your point, do you understand where I'm coming from?

Yup, learned a while ago that most people don't care about what I can tell them regarding investment strategies, if I can keep them from losing money that works.

I do enjoy complexity, but don't find too many people who share in this.

I've also discovered the wealthier a person is the less interested in risk they tend to be. I used to think that this was a result of making money and then moving it to safer assets. I found out however that most never had a high appetite for risk. The fight I find myself in most of time is convincing someone they should take on a slightly riskier portfolio.

 

[VolAgent]

I really do see your point, do you understand where I'm coming from?

I do. I think we are closer to agreement than we realize. Neither an ignored or a harassed person makes a happy client. You think it won't be possible to review existing accounts after going over new items during a review, and I think it would be. Only time will tell, now obviously you do have more experience than me, so there is certainly some wisdom to learn from there.

 

[bluemarlin08]

The stability of a whole life, the most boring product made, has great merits.


Perhaps you would enumerate some of those merits.

 

[LGilmore]

"Perhaps you would enumerate some of those merits"

Let's see...

Can't go backwards.
Can't outlive it.
Can't be taken away.
Can't be sued for it's value.
Can be the cheapest long term policy I'll buy.
Can be a ready source of money, so I don't have to bring in two years of tax returns and explain how my business operates.
Was a real asset from those btards with FASFA.
Can let me sleep at night, knowing that at least something in my portfoilio didn't take it in the shorts in the last two years.
Can allow me to accept other risk in other ventures because the policy will chug along without alot of surprizes as I do understand different choices bring different risks.
Also, I do understand for the "risk" I am accepting with that premium money, the "return" is reasonable.
I have other money I can put at "risk" with a greater expectation of return.

That's about it for now. I'm sure I left something off. Now, feel free to tell me how wrong I am. But also keep in mind my policies were purchased long ago as a super preferred and at 50, I am no longer insurable. I feel fortunate to have my insurance in place at a great low cost without worry of reentry.

cheers.
- - - - - - - - - - - - - - - - - -
"Neither an ignored or a harassed person makes a happy client. You think it won't be possible to review existing accounts after going over new items during a review, and I think it would be. "

Agreed, it comes down to that magic word "suitability". Know the client. true?

 

[Death Cab For Tootie]

You forgot the best part: A (potentially) growing death benefit that can be leveraged throughout retirement to provide more income and varied income sources!

 

[BNTRS]

How about we add flexibility with PUA's. Significantly increased cash values and can be used as an almost limitless guaranteed insurability rider.

Leveraging death benefit is a big one in my opinion. I've had too many clients who could have accessed more of their money if they had not believe the BTID guys and figured life insurance in their retirement would be a waste. I've also seen people try to fine the money in their already not large enough nest egg to buy life insurance because they want to ensure their wife has enough money after they die, sad.

Waiver of premium says even if I can't work due to sickness or injury I can still have life insurance and cash values.

Accelerated benedfit riders can be used for some long term care needs, or provide me with extra cash if terminal illness comes along, and I'll have it when I'm older and more likely to need it.

It can seriously increase charitable gifting.

Ultimately it helps you face the variability of life.

 

[HealthGuy]

Wow, with all of this collective wisdom I realize one thing: the more complicated and EXPENSIVE you make a NWML policy, the better it must be.

 

[Death Cab For Tootie]

Wow, with all of this collective wisdom I realize one thing: the more complicated and EXPENSIVE you make a NWML policy, the better it must be.

Hey pal, just because you failed at NWM doesn't mean they're a bad company. It just means you're not a very good agent.