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Presented by Jim Linn
Most clients’ largest financial debit is their home and if something were to happen to them they want the mortgage paid off. We have heard this countless times from clients. If you had the ability to show them a product, that not only covers the mortgage should they die prematurely, but if alive, also provides them a cash benefit to pay off the house early and save THOUSANDS, do you think they would be interested? Who wouldn’t be!
I am using a custom ROP Term rather than the traditional 20, 25 or 30 year plan. Why? First, it is different than what your competition shows them and second, you can customize the time frame based upon your individual clients’ mortgage lengths.
Option A:
Your Client:
Male 35 PNT $250K 30 year Mortgage at 4% interest.
Monthly Payment: $1200 (Principal and Interest)
Product: $250K 28 Year ROP Term
Annual Premium: $787.50
28th Year ROP Amount: $22,050 (787.50 x 28 Years)
28th Year remaining loan balance: $25,278
By applying the $22,050 to the existing loan balance that leaves a balance of $3,228. The client could either pay it off entirely from savings, cash on hand, or simply make 3 more payments.
Your client just saved themselves $28,800 ($1200 x 24 payments) and covered their mortgage should they die prematurely.
Option B:
Male 35 PNT $250K 30 year Mortgage at 4% interest.
Monthly Payment: $1200 (Principal and Interest)
Product: $250K 30 Year Term
Annual Premium: $307
30 Years x $307= $9210
Your client can take the cheap option and hand over $9,210 at the end of 30 years or take the SMART option and save THOUSANDS of dollars and pay off their home early. Which option do you think they will choose?
Call your Life Marketer at 800-397-9999 for details
P.S. – Don’t forget about coverage on the spouse as well. This multiplies the benefits of Option A.
Presented by Deb Strong
Do you have clients that are concerned with how they are going to pay for Long Term Care coverage? If you do, you need to call your Sales Manager at Financial Brokerage at 800-397-9999. We have many products that are protected by the Pension Protection Act, which means that structured properly, the long term care payments made to the client for their care are tax free! One option is an annuity that also provides long-term care coverage, giving the client not only protection from the stock market, but also a leveraged pool of funds to use for care. Nearly everyone buys insurance to cover their car and their home, as they should; own an asset and protect it. So, think about this: A truly great financial plan can be put in place to grow assets with proper diversification, taxable and tax-free accounts, etc., but forgetting to put in place protection for those assets can be disastrous. When one year of nursing home care can cost as much as $90,000, then how many years would it take to wipe out that well-crafted planning? Don’t forget to discuss this fact with your clients and let us help you find the perfect product that transfers the risk of long-term care expenses where they belong . . . to the insurance carrier.
Life Insurance