There are 3 ways that ING life insurance company won't pay out the death benefit.
1) If you commit suicide within the first 2 years. After 2 years the life insurance company will have to pay out the death benefit.
2) If you misrepresented on the application for the first 2 years. After 2 years the life insurance company will have to pay out the death benefit.
3) If you die from committing a criminal activity (ex: your robbing a bank and the police offer kills you in a stand up)
Tuesday, September 27, 2011
Wednesday, September 14, 2011
Annuity are a goldmine for Insurance Company!
So lately I've gotten replies regarding that annuites are a scam and just a way for insurance companies to make big bucks. It is true that when a client signs up for annuity, it is very lucrative for the agents as well as the insurance companies but at the same time aren't all products lucrative for any financial institutions? (ex: credit cards, savings acct., CDs).
Also annuities can actually be helpful to clients if you are open to coaching. For instance, I met a 60 year old lady who no longer works and has about $80k left in her bank account. After calculating her expense, it appears that she would be running out of money within the next 4 to 5 years. Also at that age, what would be the most appropriate solution? Annuity of course! Why? Because as a babyboomer you definitely shouldn't classify yourself as an investor (take risk) and certainly not an investor with her remaining savings. She definitely wants to stretch out savings. so with the right type of annuity along with her social security income coming in, she was able to realize that she would be able to receive a guarantee paycheck for life even after the principal exhausted. Also if it didn't exhaust within the time she passes away, her beneficiary was able to receive the remaining principle.
Also annuities can actually be helpful to clients if you are open to coaching. For instance, I met a 60 year old lady who no longer works and has about $80k left in her bank account. After calculating her expense, it appears that she would be running out of money within the next 4 to 5 years. Also at that age, what would be the most appropriate solution? Annuity of course! Why? Because as a babyboomer you definitely shouldn't classify yourself as an investor (take risk) and certainly not an investor with her remaining savings. She definitely wants to stretch out savings. so with the right type of annuity along with her social security income coming in, she was able to realize that she would be able to receive a guarantee paycheck for life even after the principal exhausted. Also if it didn't exhaust within the time she passes away, her beneficiary was able to receive the remaining principle.
Monday, August 15, 2011
College Savings Plan for your newborn
Hello blogworld, I've decided to post my next entry regarding kids college saving plan and what is the best plan out there. Usually the most popular type is the 529 plan and I'm against it simply because of the fact that if you don't utilize in the future for your kids tuition you can face a huge penalty. Also there is liquidity issue with this plan and it doesn't accrue any interest. You simply lock your money up and in the future you have access to it.
Solutions....
Now if that is the case I'd recommend a ROP (return of premium) life insurance. If your a mother or father and have a kid who is dependent on you, your going to need life insurance anyways because in the case of the absence of the breadwinner, the people who are dependent on you can continue on with their lives financially. ROP also guarantees that you are insured for 10,20,30 years (however you delegate it) and by that 10,20,30 years, if you are still alive and well the Life Insurance Company will give you back all the money you've contributed. Plus you have access to portion of your money starting the 4th, 5th, 6th year and each year you'll have more access to your money. If you decide to not touch your money until that 10,20, or 30th year, then you have access to all your money and you can use it for whatever you want.
Another solution will be a ING global plus life insurance. This product you have liquidity so you can use it without any penalty or getting taxed for your long term goals. I'll get into more details about this product when my video uploads...VIDEO COMING SOON!
Solutions....
Now if that is the case I'd recommend a ROP (return of premium) life insurance. If your a mother or father and have a kid who is dependent on you, your going to need life insurance anyways because in the case of the absence of the breadwinner, the people who are dependent on you can continue on with their lives financially. ROP also guarantees that you are insured for 10,20,30 years (however you delegate it) and by that 10,20,30 years, if you are still alive and well the Life Insurance Company will give you back all the money you've contributed. Plus you have access to portion of your money starting the 4th, 5th, 6th year and each year you'll have more access to your money. If you decide to not touch your money until that 10,20, or 30th year, then you have access to all your money and you can use it for whatever you want.
Another solution will be a ING global plus life insurance. This product you have liquidity so you can use it without any penalty or getting taxed for your long term goals. I'll get into more details about this product when my video uploads...VIDEO COMING SOON!
Friday, August 12, 2011
My own Universal Life Policy
I will be uploading a video of my ING Indexed Universal Life policy really soon and I'll be explaining how my policy will help me with my long term savings on a tax favored basis. If you are anxious and want to see a rough draft of this video, please be sure to email me at bemyownbank@gmail.com
P.S. Any other questions or concern, feel free to email me as well.
P.S. Any other questions or concern, feel free to email me as well.
Thursday, August 11, 2011
Tuesday, August 9, 2011
10 reasons why life insurance is good for you
Let's all take a deep breath after Congress attempted to settle their $14 Trillion dollar deficit, USA dropped their credit rating and the stock market had gone berserk. Here are some simple reason why life insurance is good for you
1) tax free income
2) guarantees during down market
3) liquidity, access to your money
4) if the breadwinner is absent, the family can still continue on with their lives financially
5) Accelerated Benefit Rider, if insured has terminal illness, that person has access to portion of their death benefit
6) use for kids college tuition
7) use to buy a car without ever financing!! or paying interest!!
8) can potentially give retirement income for life! Like a pension
9) flexibility in your contribution (ex: $66.22 a month to $250 a month)
10) At the end of the day you feel your in the right path towards your long term savings goals and protection for your family in the case of your absence.
1) tax free income
2) guarantees during down market
3) liquidity, access to your money
4) if the breadwinner is absent, the family can still continue on with their lives financially
5) Accelerated Benefit Rider, if insured has terminal illness, that person has access to portion of their death benefit
6) use for kids college tuition
7) use to buy a car without ever financing!! or paying interest!!
8) can potentially give retirement income for life! Like a pension
9) flexibility in your contribution (ex: $66.22 a month to $250 a month)
10) At the end of the day you feel your in the right path towards your long term savings goals and protection for your family in the case of your absence.
Thursday, August 4, 2011
Why is it so important for agents to follow up with their clients?
This topic came to my attention because I've been going over some issues on yahoo answers and it truly amazes me how many times the insured never updates their life insurance policy.
For example, let's say your father was married to your step mom couple years back and they are currently divorced. Unfortunately your father passed away unexpectedly and he never heard from his life insurance agent ever since he issued that policy to your father (this happens all the time). Your father, therefore never got around to changing the beneficiary and now your stuck with your dad's bill and the step mom keep the death benefit and won't help whatsoever with the funeral expense or any financial problem that your father incurred. Unfortunately whoever the name is on the beneficiary will get that death benefit and there is really nothing that can be done to change that.
Tip of the day: Make sure that your agent follows up with you or your guardian at least once a year because lifestyle and circumstance do change!
For example, let's say your father was married to your step mom couple years back and they are currently divorced. Unfortunately your father passed away unexpectedly and he never heard from his life insurance agent ever since he issued that policy to your father (this happens all the time). Your father, therefore never got around to changing the beneficiary and now your stuck with your dad's bill and the step mom keep the death benefit and won't help whatsoever with the funeral expense or any financial problem that your father incurred. Unfortunately whoever the name is on the beneficiary will get that death benefit and there is really nothing that can be done to change that.
Tip of the day: Make sure that your agent follows up with you or your guardian at least once a year because lifestyle and circumstance do change!
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