College Planning – Easy as 1,2,3,4,5

Presented by Brian Leising

You may have heard about using life insurance as a component of college planning. You may even incorporate college planning with your client reviews. Do you explore all the options available with your clients?

These five ideas can lead to writing not one, but several policies per household. All designed to maximize the use of life insurance in college planning.

Step 1 – Register to use the Smart Track Tool Kit college planning system through our website. The Smart Track Toolkit can help your clients learn how to rearrange their assets to optimize money available for college. Combined with the Leads on Demand system, you can place yourself in front of prospects with a great sense of urgency.

Step 2 – One or both parents should purchase a life insurance policy with Foresters. Children of Foresters members are eligible to apply for scholarships worth $2000 per year.

Step 3 – Establish a cash value or return of premium (ROP) term life insurance policy on a parent. Both offer death benefit protection if the parent dies prior to the child starting college, or a lump sum available to pay tuition when due.

Step 4 – Ask grandparents to rearrange their assets in a more tax-efficient manner. Many grandparents have IRA’s and qualified plans with benefits larger than they will need for retirement income. By taking this money and placing it into a life policy it will produce a larger legacy at death.

Step 5 – Utilize a fact finder that takes college funding into account. Both ING and Mutual of Omaha have software tools to help you plan the future costs of a college education.

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