smart money: the missed opportunities in your existing client book

SMART MONEY[Webinar]

The Missed Opportunities in Your Existing Client Book

The ProblemEverybody wants some money in "safe dollar world""Safe dollar" options are low-yield and inefficient from tax standpoint

Low-Risk Investment Yields

The AlternativesT-Bonds

3-yr = 0.85%

5-yr = 1.34% 10-yr = 1.92%

Low-Risk Investment Yields

CDs

3-yr = 1.50%

5-yr = 2.20%

Money Market

1.00%

The SolutionReposition low-yield money

Earn a higher return

Retain low risk

Tax-deferred growth

Access to capital

Add valuable life and LTC benefits.

The ValueNo/Low surrender charge Strong tax-deferred growth over timeImmediate death benefit Chronic illness rider Critical illness rider

Who is the Ideal Prospect?Under age 75, table 3 or betterHas at least 100K in low-yield

investments Has a separate emergency fund

3-yr chargeback schedule – 100/75/25%

Has a need for Life and LTC insuranceBusiness Owners!

How Does It Work?12.5% cap, 0% floor, 100% par (S&P annual

PTP)

3% guaranteed minimum interest rate

0.75% guaranteed persistency bonus years 16+

Waiver of Surrender Charges Rider

Chronic Illness Rider

Critical Illness Rider

Zero percent premium load

North American Rapid Builder IUL

How Does It Work?50 yo male $250K Single Premium

Initial DB = $720K, Increasing DB

Year 1 Guaranteed Surrender = $253,022

Year 1 Surrender at 7% = $264,708

Year 20 Surrender at 7% = $780,545

Year 20 Surrender at 5% = $531,199

North American Rapid Builder IUL

How Does It Work?

Simplified underwriting

2% guaranteed min. interest rate (4.45% currently)

1% Surrender Charge

Very low-cost contract

MetLife PAUL

How Does It Work?50 yo male $250K Single Premium

Initial DB = $733K, Increasing DB

Year 1 Guaranteed Surrender = $242,506

Year 1 Surrender at 4.45% = $249,804

Year 20 Surrender at 4.45% = $489,676

MetLife PAUL

What's the Catch?North American - 3yr limited access to

cash

North American - full medical underwriting

North American - growth is linked to stocks

MetLife - lower potential returns

Client should have need for life insurance

Start the Conversation

Start with educational approachGive bite-sized explanation of

conceptTell a compelling "why-based"

storyCast a vision for the future valueAsk questions - LISTEN

How top advisors introduce this concept

A Simple Question

Tax-deferred return around 4-6%Immediate DB from 2-5x initial

depositRiders to cover LTC needsImmediate access to 99% +

initial deposit

Would you like to replace your CD?