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For over 38 years I have met with many people. And while getting to know them and their wants, it’s common to have a conversation about life insurance as it is the best means to create liquidity when it is needed the most.  

The best investment in the world is the one that pays the most when it is needed the most. That’s life insurance. 

Insurance creates dollars for pennies, dollars that are worth their most when clients are worth the least – die, ill, hurt. 

Most CPA’s and all the major accounting firms, highly recommend life insurance, including permanent cash value life insurance, if it is the right fit.

Sadly, at their loved one’s peril, some do not implement life insurance as a solution. 

I am saddened to envision the billions of dollars lost to families and charities for all the bad reasons. The only two valid reasons that exist are they truly don’t have the means, or they are not insurable.    

After doing their homework, many of our clients choose permanent cash value life insurance. It is one of the most unique, versatile, under-discussed, products in the financial marketplace.

It’s not uncommon for many clients to tell me years later they wish they bought more. With Life Insurance Awareness Month, now is a great time, regardless of age.

Permanent cash value life insurance:

•    Provides lifetime guaranteed cash value in a fewer and fewer guarantee world

•    Currently pays a 5.1% tax-free dividend in a 2% interest world

•    Is the only asset class anywhere on the planet that for over more than 170 consecutive years has never failed to earn a profit and distributes 97.5% of it to policyholders. 

•    Cash value and death benefit that is totally protected from the next economic tsunami or market crash

•    Provides tax sheltered growth to encourage people to buy life insurance

•    Provides tax free liquidity within weeks on death

•    Government will pay for your life insurance – contact us to learn how

In summary, there is no product in the world that can match permanent cash value life insurance. 

How well does Permanent Cash Value Life Insurance compare to other investments? 

Five to ten years ago I compared the 20-year rate of return of a doctor’s in-force fixed income cash value whole life insurance policy and discovered it exceeded the TSX return over the same period. 

I looked at another in-force policy, now 14 years old. If the insured was to die today at age 60, the premiums they have paid to date equal only 2 cents for every $1 of tax-free life insurance that would be paid out on death.  

To match, a fixed income non-registered investment would have had to earn 36.87% annually before tax. 

This same policy, if death occurred at age 90, assuming no changes to its current 5.1% annual dividend, premiums for life insurance would equal 7 cents for every $1 paid on death and would require 11.87% fixed income non-registered return before tax. At a reduced 4.1% annual dividend, 9 cents and 10.73%. Buying dollars at pennies is smart in anyone’s playbook.

What’s your excuse for not buying life insurance?

I’ll be the first to acknowledge that there are many who don’t “need” life insurance, as they’ve been blessed with enough or substantial wealth. 

As shared in the Parable of the Talents in the Bible (Matthew 25:14–30), for those who have been blessed with much, much is expected. 

You don’t buy life insurance because you need it.  You buy it because you care for and love others.  You buy life insurance because no other better option exists. That’s why successful people like Ted Rogers, J.C. Penney, Ray Kroc and Walt Disney owned cash value life insurance, many using it to launch their businesses. 

The Magic Kingdom of Disney would not exist if Walt Disney didn’t have a well-funded Whole Life insurance policy, who used their life insurance as their own private bank. 

Ted Rogers owned $350 million of permanent cash value life insurance. 

They were able to access cash from their policy without restrictions due to age, credit checks, auditing financial statements, needing to validate reasons for the money.

No urgency? You never know the day you become rated, uninsurable or don’t wake up? 

No money? Buy term insurance instead then. Get covered! Get covered today!

Who is permanent cash value life insurance ideal for?  

If you’re a business owner, professional or anyone with surplus income or assets, with taxes to pay someday and want a better fixed income return, cash value life insurance may be ideal for you. It may also be a great fit if you have term insurance soon to expire.

For those, who like having an exit plan, just in case, you can get a refund of most of your premiums paid after 3 years if you surrender the plan. We can show you numbers and scenarios. 

What will your legacy be?

Be sure to contact your life insurance advisor to buy some life insurance today.  Don’t have a life insurance advisor or want a second opinion? Don’t hesitate to contact us.

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