What is Bank On Yourself®?

What is Bank On Yourself?

Bank on Yourself®  is the creation of Pam Yellen and is a process of using whole life insurance as a means to finance major purchases.  The claims made by Bank on Yourself® suggest that following the program will unlock hidden wealth secrets employed by savvy investors and business people. But does it work? We get …

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Can I Borrow Against my Life Insurance?

Can I Borrow Against my Life Insurance?

If you are looking to borrow against your life insurance you have to ensure that you have the correct type of policy and that your policy has cash surrender value.  Once you determine that you have a type of life insurance that permits borrowing and that you have cash value against which you can borrow, …

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The Myth of the Rising Cost of Universal Life Insurance

The Universal Life Insurance Myth

For years, those who favor whole life insurance have told us that universal life insurance has an evil side. While the product affords the policyholder ample opportunity to adjust premiums as he/she desires, it also possesses the nasty cost of “shifting the risk back onto the policyholder,” thus (a favorite line of mine) “taking the …

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The Life Insurance Loan Process: A Step-by-Step Guide

Step-by-step guide to life insurance loans

With COVID-19 shutting down lots of major business activity in the United States, it’s no surprise that a lot of people are experiencing fluctuations in cash flow.  For many, the exact impact this will have depends entirely on the length of the current shut down. For those out of work, working reduced hours, or those …

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Why Paid-Up Additions Matter

If I had to pick one, and only one, additional feature of whole life insurance, it is hands down the paid-up additions feature.  Even if I lose the ability to blend death benefit, if I still have the PUA feature, I’m in a position to augment policy value.  This very special aspect of whole life …

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Indexed Universal Life: Market Neutral?

Indexed Universal Life Insurance Market Neutral

The other day I was part of a conversation with another agent about Indexed Universal Life.  The conversation was more of a challenge to my position that, like whole life insurance and current assumption universal life insurance, indexed universal life deserves just as much credit for being market neutral and falling into the alternative investment category …

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TEFRA DEFRA TAMRA: How Taxes Effect Life Insurance

life insurance policies have tax rules

Life insurance enjoys some unique tax benefits, but it also faces limits imposed by legislation we know as TEFRA DEFRA and TAMRA.  These pieces of legislation established specific guidelines as to what you can and cannot do with life insurance.

Each of these pieces of legislation creates rules that agents, policyholders, and people looking at whole life or indexed universal life insurance (or any UL product) should know.

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