Top 3 Single Premium Life Companies

[EAJoe]

Equitrust's WealthMax Bonus is great. Simplified issue through age 85, guaranteed ROP at any time, and a 12% bonus on the cash value. Nursing home benefit is 1/36th of the death benefit paid monthly for 36 months, or 85% of the total face amount for a lump sum, and chronic care benefit is 1/60th of the death benefit for 60 months or 75% of face as a lump sum. Terminal illness allows a lump sum payment of 95% of the face.

Index returns have been pretty good with rates renewing the same as what they issued at.

 

[kamp]

Equitrust's WealthMax Bonus is great. Simplified issue through age 85, guaranteed ROP at any time, and a 12% bonus on the cash value. Nursing home benefit is 1/36th of the death benefit paid monthly for 36 months, or 85% of the total face amount for a lump sum, and chronic care benefit is 1/60th of the death benefit for 60 months or 75% of face as a lump sum. Terminal illness allows a lump sum payment of 95% of the face.

Index returns have been pretty good with rates renewing the same as what they issued at.

Have you seen the fees that are eating that thing?

We just rolled one where the guy's surrender charge was as much as the fees he was paying per year..close to $5k.

 

[EAJoe]

Have you seen the fees that are eating that thing?

We just rolled one where the guy's surrender charge was as much as the fees he was paying per year..close to $5k.

I'm looking at a statement for a policy issued in April 2013 right now, here's the exact details:

Single Premium - $300,000.00
Face Amount - $450,000.00
Death Benefit – as of April 2015 - $571,323.46
Cash Surrender Value - as of April 2015 - $332,038.90
Loan Balance – as of April 2015 - $0.00

Beginning Accumulation Value - $344,625.04
- Policy Charges / Fees - $3,935.75

- Cost of Insurance Charges - $11,572.50

+ Interest Credited - $31,795.06
- Withdrawals - $0.00
Ending Accumulation Value - $360,911.85
- Surrender Charge - $28,872.95
Ending Cash Surrender Value - $332,038.90

I would consider any life policy with surrender value ~10% higher than the original premium after 24 months to be performing pretty well. Obviously a client with a different start date would have different results, but that's the case with any indexed product.

When was that policy issued and how old was the client? What did you replace it with? Just curious.

 

[Tahoe Ray]

It allows them to choose the percentage from 2%-4.5% of the death benefit until it's gone.

The product pretty much is straight forward, no frills.

Ran a quote for a 68 year old male. Dump was $150K which created $250,682 and they can access up to 4.5% per month for LTC if they've been in nursing home for 60 consecutive days. No fees. If they want all their money they can surrender anytime with no penalty and it has accelerated death benefits.

It doesn't pay bad either. It's not Oxford Life (crap) or Equitrust but it's very fair.

Simplified issue under $100K

It's interesting....seems more supplemental though. If LTC was the main focus, I would think that you'd want a much larger pool of money.

 

[kamp]

It's interesting....seems more supplemental though. If LTC was the main focus, I would think that you'd want a much larger pool of money.

Guess it depends what kind of fancy home you want to be in and how long you want it to cover you for.

2% of $250k at $5k of benefits per month is a little over 4 years of coverage.

This is also available on their continuous pay product. FYI.

 

[Tahoe Ray]

Guess it depends what kind of fancy home you want to be in and how long you want it to cover you for.

2% of $250k at $5k of benefits per month is a little over 4 years of coverage.

This is also available on their continuous pay product. FYI.

I hear you.