Sam Kaufman, President, Agent Support Group
The best sales concepts are often those that have been tried and true. Life insurance as an “Asset Class” is a sales concept that has withstood the test of time and I was reminded of it recently when an advisor requested Survivor Life illustrations form clients ages 72M and 70F.
Looking at the chart below one can easily see that the death proceeds provided in this SUL plan proposed easily exceed many conservative alternative investments. Further, they are all guaranteed. Perhaps the only element that is not guaranteed is death.
This is a very compelling argument when meeting with a client or their financial advisor as it is difficult to argue that an alternative investment, not subject to market risk, could come close to providing a similar IRR.
We went one step further by flexing the premium to provide coverage for a lower premium that would increase substantially if the insureds lived beyond 92/90 and the IRR increased to 9.93 at ages 92/90.
At Agent Support Group we model plans of life insurance to tell a story. These are not just illustrations, they provide alternatives for the client and their advisors and help in refining the final model that meets the client’s objectives. This results in creating greater inter-action and more than just a sale.