Selling systems

[Golfnut2112]

I gotta admit that I was surprised to see you asking about LEAP after you posted this just a few days ago: https://insurance-forums.com/community/posts/1273009/

I agree with Scagnt83 about "trance" selling. In fact, the whole thing is just way too complicated and takes too long. And generally, YOU are doing most of the talking, rather than asking more questions and keeping the client involved. That's why I think that complaints happen more often for agents and advisors who use these systems - client forget why they bought why they bought - or they only bought because they finally "trusted" them.


If I were to use the LEAP system today (or anything like it - such as TruthConcepts, Circle of Wealth, Living Balance Sheet, WealthBuilding Cornerstones, etc.), I'd charge a consultation fee for the entire thing and only use it with affluent or high net worth individuals where I could be reasonably assured for a $50,000+ commission. It's just such a hassle.


I know that Kim Butler with Prosperity Economic Partners charges a $3,500 consultation fee for the entire process. (Her RIA discloses that fees can range from $300 to $10,000.) BTW, her RIA (Prosperity Economic Partners) is essentially a fee-only RIA. She set it up just to have securities compliance in her recommendations. You can look up her ADV Part 2 and read that "PEP does not provide investment management services; therefore, PEP does not exercise discretion on behalf of clients."

I only believe that life insurance should be used as a savings tool once someone has maxed out their Roth and 401k, then MAYBE life insurance will work. I was told by someone that LEAP can compare different wealth transfer strategies better than insmark. I have absolutely no problem with life insurance being sold as life insurance. Last August I took out a $25,000 loan against my whole life policy, but getting the loan interest bill stung, I would have been better off taking a loan on my 401K and paid the interest they charged to myself.

 

[Golfnut2112]

Perhaps TaxClarity from Covisum might be helpful? You can illustrate the effects of various taxes and then make the appropriate recommendation.

Tax Clarity

Thanks I will check it out I get to a computer.

 

[DHK]

Also @Larry Tew has used both LEAP and currently uses Circle of Wealth rather extensively. He'd be a decent guy to contact to get his take on these systems and if they would work for your style and philosophy.


A quick note: Wealth transfer is different than wealth replacement (permission slip spending) leveraging life insurance. Your contact may have really meant wealth replacement and could have gotten confused between that and wealth transfer. (To me, wealth transfer is transferring an asset directly and minimizing or eliminating income and/or estate taxes to the beneficiary.)

 

[Golfnut2112]

You may be right, what I basically do is show people that have money sitting in bank accounts and (or) taking RMD’s how they can move some of that money into a life insurance policy ( owned by a trust) to maximize the the amount the beneficiaries receive.

 

[scagnt83]

You may be right, what I basically do is show people that have money sitting in bank accounts and (or) taking RMD’s how they can move some of that money into a life insurance policy ( owned by a trust) to maximize the the amount the beneficiaries receive.

I'd look at Circle of Wealth over LEAP if that's your goal.

 

[DHK]

Don Blanton did a presentation in Memphis on Circle of Wealth. This video is the first of 8 segments that you might find interesting.

 

[Golfnut2112]

Thanks I will definitely check out the circle of wealth. Do you guys know a guy named Lew? I was at a company meeting in Arizona and was drinking with a guy named Lew that was giving a speech on a selling system the next day but I went to a different meeting. He seemed to make a lot of sense.

 

[DHK]

There's Lew Nason with Insurance Pro Shop... but he doesn't do much traveling these days. No one else comes to mind.

 

[DHK]

I just did a search, and I think you're referring to Nathan Lew:

Home - NAIFA Scottsdale

NATHAN Lew
Securing the Future –
“Wealth Transfer and Retention Strategies for the Next Generation”

 

[Golfnut2112]

I think his name might be Lenny. He gave me a book he wrote which I am trying to find