Life Insurance Can Be About You... And Your Family

I came across a news article stating life insurance is not about you. Yes, while some life insurances are not about ourselves. Their are other life insurance policies that most Americans are not sure of and how to leverage. What I mean by this is...

Depending on your preference, you can have your family get paid while alive or after you pass. In fact some life insurances will pay you month after month. And these same life insurance are also used as banks. Yep... you can have your own bank.

Read more on this infinite banking concept.

But first, I would recommend you educate yourself on the different types of life insurances. If your looking for a cheap life insurance quote. That is fine, just understand what your getting. So I wanted to post this article below:

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Your Life Insurance Is Not About You

If you have a spouse or children, it’s time to consider a life insurance policy.

Life insurance policies can be complicated at best, unintelligible at worst.

Insurance companies are regulated on a state basis, which makes for different rules and regulations and more difficult comparisons.

A lot of people don't pay much attention to them because they get free or low-cost coverage through their employer. That's fine until you become unemployed or self employed and your insurance policy disappears.

So, here’s what you’ll need to know to get what you need to protect your loved ones, and avoid spending too much.

Term Vs. Whole

There are two basic types of life insurance: term and whole.

A useful analogy to explain the difference is buying versus renting. With term life insurance, you’re renting. It’s never really yours, and eventually your lease is up.

In contrast, you own a whole-life insurance policy, because the original policy amount must be returned to you. The monthly premiums are higher, but the money goes into a fund that grows over time. (For the cash-strapped or thrifty, there is a poor man's version called Universal life.)

The large majority of insurance policies are term-life. You pay for a certain number of years (20, 30, 40) for a certain amount of coverage $100, 000, $500,000, $ 1 million) and only received the benefit if you die while the policy is in place.

Whole life can be seen as a combination of insurance and investment.

Insurance specialist David Eidlitz of Northwestern Mutual recommends whole life policies simply because they are permanent.

“On a permanent whole life policy, you are investing into the general fund of the investment company. Once the money is there, it is no longer subject to risk. The mutual companies are owned by the policyholders, and they are not public. Given that there are no stockholders, mutual companies can hold their bonds to maturity,” he says.

Read more on term vs. whole here
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If you would like to learn how the ultra wealthy are using their life insurance to get paid monthly. Then check out my Facebook page where I share a lot of their secrets.

You don't need to be super wealthy to secure your future with life insurance. You just need to be educated.

Find out how the ultra rich use cheap life insurance to get paid month after month.

Baby On The Way... What Life Insurance Is Right?

Ahh how cute... you have a baby on the way. Congratulations, now it's time to decide what is the best life insurance policy for a family with a new baby on the way.

I found a great article you will want to read:

Buying life insurance is a no-brainer when you start a family, but what if the baby is already on the way? Should you apply now or wait until the little bundle of joy arrives? The answer for the mom-to-be depends on how the pregnancy is going, but in most cases the right time to buy for both parents is as soon as possible.

"The sooner, the better," says Ronald B. Lee, founder of MassMutual's Lee, Nolan and Koroghlian LLC in New York and New Jersey and a board member of the Life and Health Insurance Foundation for Education and Adelphi University.
Life insurance rates are based on age and health--the younger and healthier you are when applying, the less you'll pay in annual premiums. Pregnancy by itself generally does not affect insurability.

"Each insurance company is a little different, but if it's a normal pregnancy, most companies today will underwrite a woman who's pregnant the same as if she weren't pregnant," Lee says.

Life insurance consideration for abnormal pregnancy

So what if it's a not-so-normal pregnancy? Then a mom-to-be might have to wait until after delivery to apply for life insurance

Read more on Fox News

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Your 401K Will Be Non-Existent in 10 Years or Less

It is a frightening time right now. Especially if you are looking for a secure retirement. In fact, many Americans are finding their retirements becoming non-existent.

One main reason retirement money and 401K plans are diminishing is because of inflation and the value of the dollar in today's economy. It's no surprise that the U.S. continues to spend money. The reaction of this madness is the U.S. losing it's value. This means, your hard earned cash 5 to 10 years ago you invested is being devalued. It's becoming non existent.

Their are safer investments now during this economic crash. But their is only a limited time to start securing your future. At this point in time, America is in process to begin the largest wealth transfer we have seen since the great depression. More on this in just a moment.

For now, read over the 6 problems with your 401K Plan you must know about:

Over the past quarter of a century, 401(k) plans have evolved into the dominant retirement plan scheme for most U.S. workers. While many improvements have been made to the structure and features of 401(k) plans since their creation, additional problems still need to be addressed, and various enhancements still need to be made. Let's look at six problems with the current 401(k) plan structure, and then discuss how you can mitigate the negative implications of these known fallacies.

1. Structural Flaws Associated with Investing Contributions
You have probably been told that investing your money through a process known as dollar cost averaging will allow you to prudently build your retirement nest egg over time. Unfortunately, while this concept may be true when the market is expected to trend up over time, it is not true when the market is oscillating in a relatively flat manner, nor is it true if the market is trending down. Therefore, while it may make sense for you to buy more and more shares of an asset that is increasing in value, this philosophy does not make sense if you are buying an asset that is fully valued or one that is decreasing in value.

Sadly, you may have bought into the concept of dollar cost averaging because it was explained to you as a prudent investment methodology. Unfortunately, dollar cost averaging is simply a convenient solution to address the manner in which contributions have to be channeled from your employer to your investment funds in your 401(k) plan.


To explain, defined contribution plans, like your 401(k) plan, require periodic contributions to be made to your retirement account every time your employer processes a payroll on your behalf. Therefore, without a theory such as dollar cost averaging, the concept of funneling money on a periodic basis from your pay check to your investment options would not make sense, particularly given the fact that your investment options may be fully valued, or even worse, overvalued at the time the contributions are going being made. Fortunately, you can take control of your investment process by directing all of your retirement plan contributions into a conservative investment option that is offered in your retirement plan. Then, when the time is right, you can make a strategic investment allocation of the cash that you have accumulated to one or more of the funds offered in your 401(k) plan. Of course, you will have to be able to determine when your investment options look attractive from an investment standpoint. Nevertheless, you should expect this type of responsibility if you participate in a defined contribution plan.

2. Long Investment Time Horizons Have Negative Investment Implications
You have also probably been told that your employer established a 401(k) plan on your behalf in order to provide you with a long-term savings plan for retirement. Given this premise, you were most likely led to believe that you should develop a long-term strategic asset allocation based on a time horizon that is likely to exceed a decade. Unfortunately, what you may not have been told is that it is highly unlikely that the portfolio managers that are currently managing your investment options will be managing them 10 or more years from now. Therefore, if you are going to develop a strategic allocation with a long-term focus in mind, you probably need to be using index funds in order to mitigate the likely mismatch between the shorter-term tenure of your fund managers and your longer-term investment holding period.

Read more on the 6 Problems with your 401K.

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How to Secure Your Financial Future While 401K's Are Diminishing
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You will want to look into setting aside tax free money. But more importantly, after chatting with the super rich at elegant little dinner parties. You will be surprised how the super rich are leveraging their life policies to pay their family month after month.

During this unique economic situation we are in. Their is a large wealth transfer happening. Right now setting aside a little in your life insurance policy allows you to leverage this as your own bank. This is called "infinite banking" and has been used by the rich for years.

This allows you to lend money from your life policy. Yet, still get paid month after month. Not only that, you will also pay back the interest, not to your bank. But you pay the interest back to yourself. Your life policy receives the capital back and you earn more for retirement.

Learn more about these methods.

Action Steps:


1. Learn how the super rich use life insurance to pay themselves monthly

2. Share this important information with friends and family

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How Couple Bounces Back From Job Layoff to Financial Freedom

We all worry about the families financial future. Even the super rich worry and sometimes downsize. But are you doing enough to secure your financial future.

If you have not noticed, I try to educate a lot on how money in 10 years from now will not be the same in value due to high inflation. So their is a HUGE need to put your hard earned money in assets that do the work for you.

I read a cute story on how a couple bounces back from job layoffs to save for retirement.

The couple went with a financial advisor to get an idea on how to not only get by, but to prosper. One of the main deficiencies in the couples plan was... Life Insurance.

The other thing is... most American households do not really understand how to leverage life insurance to pay themselves monthly, while alive. Yes, enjoy the fruits of your labor and invest in your life insurance.

I go into sharing this technique here on my Facebook page.
===> Here's How The Ultra Rich Leverage Life Insurance

As for the couple... here is a little of their story:

Architect Cary Westerbeck is eager to draw up some plans for his family's future. At 40, he's rebounding after being laid off in 2009 by the firm he'd worked with for five years.

Unable to find a new job, Cary launched his own business, which has been steadily increasing as he builds a client base and the economy recovers.

Though Cary said losing his job was ultimately freeing, he and his wife, Julie Westerbeck, had to take a hard look at how they were going to cover their estimated $6,500 in monthly expenses.

"I make one-half to three-quarters of what I used to," Cary wrote in an online survey to participate in a free financial makeover. "Yet we have retirements to fund and two kids' college educations to fund."

That $6,500 figure includes the $1,600 monthly mortgage on their North King County home, Cary's student-loan payment, living expenses and payments on about $4,600 in credit-card debt. The Westerbecks also pay $212 a month to Washington's Guaranteed Education Tuition (GET) program to purchase units worth three years of in-state college tuition for their 7-year-old daughter Leah. They'll pay this amount until Leah turns 18.

Fortunately, as a teacher with 18 years of experience, a master's degree and a special certificate, Julie earns near the top of her district's pay scale, about $75,000 a year.

But since the birth of their second daughter last summer, she's been working 80 percent of a full-time job at her school, plus they have additional child-care expenses. Cary says he cut some insurance coverage, stopped contributing to his IRA and put off fixing the roof of their house while they reduced household expenses wherever they could.

"We weren't really 'budget people' until we were forced to be," Julie said.

Julie's contributions to her retirement plan at work are mandatory, and her balance is just over $100,000, but Cary's IRAs contain just $20,000 and he's only recently been able to resume putting $100 a month into one.

Still, he has the niggling sense that they are maintaining what they have, but not really getting ahead. Soon, they hope to be able to start purchasing GET credits for Lana, the baby.

Cary and Julie both said they would appreciate a blueprint for their finances to make sure they are being responsible with their money. Cary also says he's at a loss to know how much life or disability insurance they really need.

"We aren't doing badly, nor are we thriving," Cary wrote. "We probably have enough to get by if we do things right, but we don't always know what that is."

You can read the rest of their story here.

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As for you.... why I am writing this is because many Americans are either struggling or just getting by without any real improvement.

Having a system to put your savings into a better returning asset is critical. What I always preach about from my dinner chats with the Ultra Rich is consider a life insurance which pays you monthly.

Then... you can turn this life insurance into your own bank. This is called "Infinite Banking" and the rich do it all the time.

More on that in my next post....

For now, feel free to add me as a friend on facebook and send me your questions.

Also, share this unique method with friends and loved ones.

Valentines Gifts from The Ultra Rich

Love is in the air and I wanted to post how the "Ultra Rich" buy Valentines gifts for their loved ones. Seriously, I know the chocolates, flowers, and candy is great. But I found after chatting with a friend at my companies exclusive dinner the other night, that they buy them assets that help them make money in the future. This ultra rich have been doing this for years.

Sure the candies and flowers are sent. But literally 3 gentlemen went ahead and purchased a life insurance policy for their spouse.

Also, you may want to know that the policies the Ultra Rich get are life insurance policies which pay them monthly while they are living. It's not your normal term life insurance when one passes then your spouse and family get paid.

They in fact leverage life insurance to pay themselves monthly. Then even use the policy as their own bank account. This is what the rich call "infinite banking".

If you set on traditional gifts, you can check out the list below:

1. SAY IT WITH A (FREE) SONG

Amazon is giving away a free $2 worth of MP3s. So find the song you guys played over and over on that big road trip and send it!

2. EVERYBODY LIKES THOSE DARN FLOWERS

If you've waited until this long to put your flower order in, you're probably out of luck as far as ordering flowers for delivery on Valentine's Day goes. You can order them for Friday, Saturday, Sunday or Tuesday instead. And who says the only kind of flower it can be is roses? Tulips, oriental lilies and carnations are totally beautiful, appropriate, and affordable.

Read the rest of the list here from the Consumerist.

The "Ultra Rich's" Gift That Keeps Giving

It surprised me, but I have been preaching how the "Ultra Rich" use life insurance and other assets to keep paying them month after month. Then the other night, a wifey told me that she got hers with a new oink golf cart.

Keep in mind, you don't need to be super wealthy to leverage life insurance. You just need to be able to save a few bucks a month. The trick is to know what already works...  Life insurance is a first step to securing your financial future while alive. 

Find out how the Ultra Rich leverage life insurance during a crazy economic time. And how the use life insurance as their own personal bank.

==> Check Out My Dinner Chats with The Ultra Rich

Share This Valentines Gift Idea... Click the "Like Button"

Phooey... Not All Life Insurance Requires Exams

Many people are set on a long exam is required for life insurance. This is untrue, and select policies are developed to go through a question and answer period where it's required for you to answer questions honestly. Depending on the policy program and your life insurance broker or company. You may find an policy without even needing an exam.

Unfortunately, when I read articles like the one below. The word gets out to smokers, people with prior medical conditions, etc. That they cannot receive life insurance. This is false and don't believe for a second that all life insurance policies need you to go thru an exam like the article I am quoting below.

Feel free to read the post which gives life insurance prospects false hope.

If you're considering life insurance, you may find that a paramedic examination is required prior to purchasing in order to determine your insurability.

For many, this is a daunting task. Not only do you need a physical, but your results will be analyzed and shared with a third party (your insurance company). The good news is that a paramedic exam is usually quick and easy, and there are ways to prepare to help you present your best picture of health.

Know how it works and what matters
Insurance companies outsource the physical examination to paramedic examiners in your area who will call to arrange the examination as soon as you apply for life insurance. The paramedic examiner meets you in a location of your choosing, completes the exam and then reports back their findings to the insurance company. The exact measures of your exam will depend upon your age, past health history, family history and the amount of insurance coverage you're applying for.

During the exam, the paramedic may:
* Draw blood from your arm.
* Collect a urine sample.
* Determine your height and weight.
* Check your pulse and blood pressure.
* Complete an EKG (electrocardiogram).

Read the rest of the article here...

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Don't think for a second you will need a long exam to get things approved. Yes, their is an exam, but it depends on your life policy provider. They will ask you select questions and you will answer them honestly in order to get approved. But the times are changing and people are getting approved right from their homes right on the phone. Yep, simple, fast and efficient life insurance. You got to love technology.

Action Steps I Recommend You Take:


Visit me on facebook and get the scoop on how the "Ultra Rich" leverage life insurance.


You will surprised on how these wealthy folks have used life policies for tax free retirement and even turn their life insurance into their own bank.

Click "Like" To Get The Word Out:

Life Insurance as an Investment? Right or Wrong

Certainly after the cocktail dinners I have been fortunate to have with some of the smartest chaps in investing. They unanimously tell me how they structure life insurance to benefit their retirement. If you know the right policies and can save a little bit of money. Their are many unique opportunities you can do with life insurance. Including structuring your life insurance as your own bank. More on this later, for now I wanted to introduce an external view on life insurance as an investment.

Life insurance is often used as an investment for retirement planning. Basic life insurance can be divided into two general categories, term insurance and whole life insurance. When you buy term insurance, you pay premiums in exchange for a death benefit over a specified period of time. This is the least expensive type of life insurance. Because the death benefit is all that you get with term insurance, it's never sold as an investment.

Whole life insurance, also known as permanent- or cash value life insurance, not only promises to protect you for your entire life, but also includes an investment – the cash value. Initially, the premiums are higher than term life premiums, but later in life they become more comparable and could possibly even be lower. With the excess premium paid over the actual cost of the death benefit, the insurance company sets up an investment, which is known as an accumulation account.

The appeal of whole life insurance as a retirement investment is its tax treatment of the accumulation account. This money grows tax deferred, which means that taxes are postponed on income and capital gains. Assuming that you need life insurance at all, the argument over whether whole life insurance is a good investment basically centers on the question of whether you would be better off buying an inexpensive term policy and separately investing the additional amount that the whole life policy would have cost. In making that decision, there are several issues that you should consider:

• Your ability to pay the premiums. First, you should determine how much insurance you need. Next, you'll need to check the premium costs for both term and whole life policies. If you can afford only the term policy, buy it. You should never skimp on the amount of your death benefit.

• Your federal and state tax brackets. The benefit of a tax deferral is only as valuable as the amount of taxes that would be deferring. The higher your tax bracket the more valuable the benefit is.

• The possibility that you might not be able to get affordable insurance later in life. As potential health issues increase with age, this could be of major concern. If it is, compare guaranteed renewable term policies with the price of whole life.

• Your willingness to shop for no-load (or, no commission) insurance policies. Unless you buy no- or low-load insurance policies, the costs of whole life erode returns so much that it almost always makes more sense to buy term insurance and invest the difference.

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It is becoming more and more clear that with inflation. Baby boomers and many other investors are losing their hard earned cash. What I recommend is to consider looking into Life Insurance and other assets to secure your financial future.

Actions Steps To Take: ================


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