Not so it also did 50/50 term and whole life and the IRR was worse for every company. Which is logical since you have to pay for the term insurance cost until your paid up adds replace the term portion. I have the last published report and also have the last non published report done before he died in 2013
Nothing better than that first anniversary meeting when a client says WOW! I paid a $20,000 premium and I can surrender right now and get a check for $22000
Which IULs have this no surrender charge rider? Can you give out a few examples? What is the cost of this rider? This should be made standard on all IULs without any cost.
Which IULs have this no surrender charge rider? Can you give out a few examples? What is the cost of this rider? This should be made standard on all IULs without any cost.
a number of them do.. ALlianz is the first one that comes to mine. There is always a tradeoff . you can have the no surrender and get less returns over time (but have more liquidity) or you can get higher return but less in the early stages without the rider.
IMO , it's better to have the choice.
NA also has the Rapid builder which is not a 100% liquidity but it's better than their regular product. Caps are also lower.
Not so it also did 50/50 term and whole life and the IRR was worse for every company. Which is logical since you have to pay for the term insurance cost until your paid up adds replace the term portion. I have the last published report and also have the last non published report done before he died in 2013
a number of them do.. ALlianz is the first one that comes to mine. There is always a tradeoff . you can have the no surrender and get less returns over time (but have more liquidity) or you can get higher return but less in the early stages without the rider.
IMO , it's better to have the choice.
NA also has the Rapid builder which is not a 100% liquidity but it's better than their regular product. Caps are also lower.
Thanks I will look into this. Someone from here sent me an illustration from Midland with no surrender charges but even that showed lot of zeros in age 70 and up at 3%.
Thanks I will look into this. Someone from here sent me an illustration from Midland with no surrender charges but even that showed lot of zeros in age 70 and up at 3%.
Yea at that rate it's the lack of return and the cost of insurance causing you to see the zero .. not the surrender charge.. now keep in mind since your return won't be as great in the later years when you have the waiver of surrender charge , at 3% you're more likely to reach 0 faster on the NO surrender charge IUL than on the regular IUL.
Also this also depends on your current age (and health). I'm 34 and I bet I wouldn't have that problem (at age 70) with a 3% illustration.
You are right but the overall point is that Whole life cant get you a 5% IRR even after 30 years and a blend policy has a lower IRR. Juicing paid up additions may increase the result a small bit but not by the 42% needed to equal an IUL return . Also WL is a black box. When a company increases its expenses or mortality charges it hits the Paid Up adds as well.
You are right but the overall point is that Whole life cant get you a 5% IRR even after 30 years and a blend policy has a lower IRR. Juicing paid up additions may increase the result a small bit but not by the 42% needed to equal an IUL return . Also WL is a black box. When a company increases its expenses or mortality charges it hits the Paid Up adds as well.
If you blend WL and it gives your less IRR .. your are doing it WRONG (if the purpose is for cash accumulation). .so that means the blease report is not focused on cash.. so you can't use the numbers to compare them to IUL. Everything has its place, IUL can be a great tool, WL can as well... Stocks and Bonds have their place. Stop trying to declare a winner.
for Example JS44 is worried about a 3% return on an IUL. Therefore WL could be something he should look at.. He just has to know that the potential return are lower in he so choses. But WL will take away that concern.
For a relatively young person of average health. Chances are IUL will get a better return over time. but that is not all that matters.
