Presented by Brian Leising   When presenting Index Universal Life (IUL), we usually position the product as an either/or decision.  You either place your retirement dollars in an IUL or continue placing them in your 401(k).  When it works, this all or nothing approach is great.  What happens when this approach fails? Do you think some people are afraid to place all their eggs in one basket?  Consider this: don’t ask for all their eggs, just a few.  Here is the second way you can position IUL as a retirement plan supplement: Consider positioning IUL as a resource to tap during down markets.  During retirement, people need a steady income whether the stock market is up or down.  If a client withdraws money from a qualified plan invested in stocks when the market is down, they are selling at a loss.  This has a detrimental effect on their total funds over time.  What if they did not have to sell at a loss? What if they had an alternative fund to draw from in those down years?  Here is an example: The years 1973 through 1993 included five years with stock market losses.  Using this strategy, a client would only need their IUL to cover five years of loans or withdrawals, not all 20.  Since clients pay taxes on withdrawals from qualified plans, not on life insurance loans, the net amount needed from loans is actually lower than their qualified plan withdrawals.  You don’t need to ask for nearly as much money to fund five years of a reduced income need.  It should be much easier to redirect a portion of a client’s retirement contributions than all their contributions. How can these two ideas presenting IUL as a retirement supplement lead to more IUL sales?  1) Prospective clients tend to be more receptive to redirecting or moving some of their money rather than all of it.  This will help you close more sales.  2) Once they see the benefits of having an IUL, clients will ask to place even more money into the contract.  They will even think it was their idea.