What is Legacy Planning?
There comes a point in time when seniors begin to worry about the legacy they’re leaving behind. Grandparents often worry about the grandchildren’s future. Their goal now is to pass their wealth on to others. A spouse is typically the first recipient. After that, children, grandchildren, and charities are usually next. Your clients want to control who will benefit from their financial success and establish the best way to transfer their wealth. This is a typical circumstance where a legacy plan, or an estate plan can be used.
With proper planning, it is possible for older generations to utilize assets, such as life insurance, that are not needed for everyday living expenses and make more efficient use of them for the benefit of future generations, while still maintaining control over these assets. Indexed Universal Life (IUL) Insurance is the perfect tool for this job.
An IUL is a powerful tool that your clients may utilize when planning a legacy for multiple generations. If properly structured, an IUL policy can provide the following key benefits:
- Income tax-free death benefit
- Tax-deferred growth of cash value
- Potential tax-free access to cash value that can be used to meet a variety of needs*
- Protection from creditors (varies by state)
We refer to this unique strategy as an Insured Family Legacy Plan.
IUL Software
Do you have clients who are a candidate for an insured family legacy plan? We have proprietary IUL software that will help you generate a turn-key presentation explaining this strategy.