Let's look a some of the applications.  A grandfather has some cash assets.  He wants to create a legacy for his granddaughter.  By converting the cash to a Single Premium Life policy, he increases the value of the legacy by 40% and ensures that his grand daughter will receive the benefit free of income tax and probate costs.

A client has a universal life policy that is not performing and will lapse in a few years, unless huge premiums are paid. In this case the client was able to eliminate future premiums and actually increase the value of the insurance coverage.

A mutual fund account of a new client had declined from an initial $300,000 to a current value of $200,000.By reallocating $100,000 of the mutual funds into a single premium life contract, we obtained an estate value of $200,000, allowed the remaining funds to hopefully grow.  Most important, the total estate value of $300,000 was restored.

A grandmother wanted to leave $15,000 to each grandchild. In a certificate of deposit, interest will be taxable and the value subject to probate.  In a single premium life policy, she will double the value of the account and the proceeds will be tax free and outside of probate.

A female client had $7500 in a money market account, earmarked for final expenses.Once again, the single premium life contract will double the value of the account and escape income tax and probate.

Annuities are great options for creating wealth and retirement income.In some situations, the intent is to leave the annuity to beneficiaries. There are two ways to transfer the annuities to Single Premium Life, but both will increase the estate vaue and eliminate the income tax burden.

We will provide information on quality single premium life products to our readers. Please feel free to contact us for more information.