Permanent Insurance

Ed, in your books and online you mention “permanent Insurance” as being the best thing since sliced bread. I have asked my Fidelity financial advisor as well as checked with AARP and they have insurance companies email you with solicitations for WHOLE life and TERM insurance policies. It is impossible to search online, get competitive rates or shop for these plans as all searches want you to fill out your info and get spammed by 5 companies in your area to solicit you for it.

Permanent insurance as you put it is TOO vague. Whole life, Term, hybrid policies – those are valid terms used by insurance companies.

If these are so great, how come it is SO difficult to find out good information on these instruments to “GET TAX FREE MONEY TO USE FOR WHATEVER YOU WANT DOWN THE ROAD – LIKE LTHC EXPENSES”???????

Sounds good, I’d like to check them out but the companies who have solicited me with PDF documents with 3 “typical” scenarios don’t seem like it is the “magic tax saving instrument” you tout.

Please provide me with YOUR insurance advisor who can discus and disclose what YOU have paid for as an active policy so I can see how great it is and what coverage it will provide you.

Buzzwords and what if scenarios don’t cut it if we “the consumer” can’t get valid information to make informed decisions for things that may offset LTHC costs but also MAY have additional premiums down the road and at that point you’ve invested tens if not 100 thousand dollars to get this magic plan and have to cough up out of pocket money to keep it valid or it closes out and you’ve lost available gains if you just put $100K into a balanced portfolio for 2 decades at 7% which would quadruple (rule of 72) and you could have $400K to use for those expenses down the road……

let me know what you can advise.



Sorry, you probably will not receive a complete response since those of us who reply to posts here are knowledgeable on IRAs but not necessarily on life insurance. We are not employees of Ed. The general plan assumes that taxable IRA distributions are being used to fund the premiums for the life insurance. Obviously, the premiums and eligibility will vary considerably based on the age and health of the applicant, and tax rates of both the IRA owner and the beneficiary must be compared when implementing this strategy.  Given the constant development of various insurance products, a CLU or similar should be approached with your question.



Add new comment

Log in or register to post comments