October 20, 2016

IPB 048: When a Modified Endowment Contract Makes Sense



Most people think that creating a Modified Endowment Contract (MEC) is a bad thing. We discussed that at some length in last week’s episode.

That’s mainly because the tax advantages of using life insurance are pretty widely known and discussed my agents…ourselves included. So, why in the world would anyone want to intentionally make the cash value taxable by using a MEC?

Good question. Losing the tax benefits can be a negative thing…especially if creating a MEC was not your intention. Read More…

October 13, 2016

IPB 047: The Modified Endowment Contract




Note: The podcast is fresh and new but the written post below is a re-post of information that Brandon wrote a few years back on modified endowment contracts:

Anyone who has looked into cash value life insurance has probably come across the term Modified Endowment Contract (MEC). Those with flexible premium policies may have noticed a portion of their statements that stipulate whether or not the contract is a Modified Endowment Contract.

You may have even seen numbers indicating the amount of money that can go into a policy before it turns into an MEC. What does it mean, and why do we care? We’ll explain that and more today as we cover MECs in their entirety. Read More…

October 6, 2016

IPB 046: Life Insurance Has Never Caused a Financial Meltdown



In light of the recent developments with Wells Fargo opening accounts for people without consent and their CEO, John Stumpf, being skewered by Senator Elizabeth Warren…

We decided it would be a great day to point out how many times a life insurance company CEO has been trotted out to testify in front of Senate or House investigative panel.

Do you remember how many life insurance companies made big news for causing or playing a role in the last financial crisis?

Let me skip the suspense…zero.

In fact, the United States Governmental Accountability Office (GAO) published a report in 2013 titled, Insurance Markets: Impacts of and Regulatory Response to the 2007-2009 Financial Crisis

If you’d like to read it I’ve linked to the pdf here:

GAO Report of Insurance Markets–http://www.gao.gov/assets/660/655612.pdf

To get our take on why the life insurance industry in particular hasn’t had these problems, go listen to the full episode.


P.S.  I know some of you are thinking…”but what about AIG?” Listen to the episode to hear the truth about the role AIG played in the last financial crisis. 

September 29, 2016

IPB 045: Can We Just Leave Dave Ramsey Alone?


We’re drawing a line in the sand here.

It’s time for insurance agents to get over Dave Ramsey. He has his crowd, his fans, his followers or whatever you want to call them. And that’s okay…get over it.


How many articles can you write about one guy who hasn’t really said anything different in the last 15 years? Read More…

September 22, 2016

IPB 044: It’s All About the Taxes



In exploring what we should talk about in episode 44, we realized that we’ve somehow gone almost an entire year without dedicating an episode to a discussion of taxes in relation to life insurance. Oops!

Sometimes we get caught up in focusing on finer points and miss the big picture. But we are correcting that today.

We’ve actually published quite a bit of information on the topic over the last 5 years and for those of you who prefer the written word…carry on. You’ll be please with what you find in the proceeding paragraphs. Read More…

September 15, 2016

IPB 043: The Indexed Universal Life Safety Review

With the current wave of companies lowering the caps on indexed universal life contracts, we thought it would be good idea to share our thoughts on that today.

Honestly, we’ve been “low balling” expectations on IUL contracts since we started offering them to our clients five’ish years ago. And that was back when some policies offered cap rates as high as 14%.

Now, I do hope that you all realize I’m being a bit tongue and cheek with the “low balling” comment above. Actually, we just believed that using a lower projected return was prudent. Read More…

September 8, 2016

IPB 042: The Really Important Life Insurance Metrics


Well the summer’s over. Which obviously means that we’re not allowed to have anymore fun…right?

You’d certainly think that if you were looking at our episode from last week and what we’re discussing today.

In episode 42, we’re continuing with the spirit of last week’s episode. So, if you that was the greatest thing we’ve ever released, awesome.

Sadly, if you thought it was awful, you’ll likely be disappointed in this week’s episode.

Either way, I think you’ll find the discussion useful.

Read More…

September 1, 2016

IPB 041: You Naughty, Naughty Life Insurer


Today we are revisiting something that has popped up a few times over the years of writing and podcasting. But our take is a bit different and the focus of this episode follows suit.

Our discussion revolves around universal life insurance. And no, we’re not hopping on board the media frenzy that wants to adopt a scorched Earth policy for every universal life insurance policy ever sold.

Nor are we lampooning every company that’s ever issued universal life insurance.

In fact, as those of you who’ve been hanging around for a while already know, we sell a fair amount of indexed universal life insurance ourselves.

But… Read More…

August 18, 2016

IPB 040: Single Premium Whole Life Insurance

Just yesterday, we realized that since we started the podcast back in November of 2015 we’ve not discussed anything specifically regarding single premium life insurance.

With interest rates today at their lowest point in recent history and for a protracted period, many life insurance companies have chosen to pull their single premium products. But there are still a few available. Read More…

August 11, 2016

IPB 039: Giving Up Control of Your Money

mind control

If you haven’t listened to episode 38, I encourage you to go back and listen to it before you listen to this one. Not that you have to but I think that listening to both of them will give you a better perspective.

We believe that the need to really understand income planning is so important we’ve dedicated two weeks to discussing it hear on our podcast.

In this second part of our discussion we’re talking more specifically about the “illusion of control”. What do we mean by that? Read More…


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