Laddered Income Replacement Coverage

One common approach to determining the amount of life insurance needed for income replacement is to calculate the present value of the future stream of income. The typical recommendation is to buy a policy with a face amount equal to the current replacement need, and with coverage lasting until retirement.

Of course, the longer we live, the fewer years of expected future income remain. As a result, we'd expect the income replacement need to decline over time. Could there be an opportunity to save a bit of money by buying two or more smaller policies with laddered durations? 

This tool identifies the combination of 10, 20, and 30 year term policies required to most efficiently match the coverage in effect to the need remaining. Go ahead and enter your own values to see what portfolio of coverage could work for you.

The ILIT Remixed

From FinancialCounsel.com - The ILIT Remixed: A Workshop With Vincent M. D'Addona:

"'The only disadvantage to owning life insurance in the estate,' said D'Addona, 'is that it is in the taxable estate and would be in the estate at the death of the second to die. However, when looked at holistically, if I were worth $10 million in assets built by the sweat of my brow AND I had $10 million of life insurance on my life as well, one could say that if I were to die now and my wife were to die in the same moment (obviously from grief), our total gross estates would be $20 million leaving a net $10 million to my children. This is the same result as if I were worth $10 million and had $5 million of survivorship life and we both died in the same fashion.'"

Applying Winning Fantacy Sports Strategies to Insurance Sales

From LifeandHealthInsuranceNews.com:

"More of a competition of mathematics, analytics, and gamesmanship than an appreciation or devotion to actual sports, fantasy sports has become a phenomenon since its advent 32 years ago, with an estimated 29 million participants in the US and billions of dollars exchanged annually."

Sound like anyone you know? :)

On Wall Street: New York Life's Insurance Sales Soar 24% in 1Q

Pretty amazing ...

On Wall Street: New York Life's Insurance Sales Soar 24% in 1Q: "New York Life's Insurance Sales Soar 24% in 1Q
By Larry Barrett
New York Life Insurance Company said its individual life insurance sales rose 24% in the first quarter, helping the firm garner 12.1% of the overall market share among life insurance providers."