My Investopedia Posts

How should we list beneficiaries for IRA and life insurance given 4 people listed in our trust?

The key question for me regarding your life insurance is this: what is the amount of the death benefit? Is it merely $20,000 or so – the amount you would… Read More

 

Want to learn more?
Read my free guide, How To Get Great Life Insurance Rates and learn how you can get life insurance companies to compete for your business, at no risk or extra cost.

Can an insurance company deny a life insurance payout?

I can think of three things going on here. With all three, the best way to find out is to get a claims representative from the carrier on the phone… Read More

 

Want to learn more?
Read my free guide, How To Get Great Life Insurance Rates and learn how you can get life insurance companies to compete for your business, at no risk or extra cost.

Do Trump’s words/speeches affect the markets?

It’s important to recognize that you are referring to media forecasts about what the markets will do – not what the markets are actually doing. Those “reporters” who are warning… Read More

 

Want to learn more?
Read my free guide, How To Get Great Life Insurance Rates and learn how you can get life insurance companies to compete for your business, at no risk or extra cost.

Should an 18 year old with their first job get a debit or credit card?

Get yourself a debit card so that you spend only money that you have. If you get a credit card, you might be tempted to spend money that you don’t… Read More

 

Want to learn more?
Read my free guide, How To Get Great Life Insurance Rates and learn how you can get life insurance companies to compete for your business, at no risk or extra cost.

Can the proceeds from a 1035 exchange be used to pay or reduce the premium on a new universal life policy?

I don’t see why the 1035 money can’t be used to pay back-premiums. I mean, you could conceivably use cash from a prior policy to completely fund a new one,… Read More

 

Want to learn more?
Read my free guide, How To Get Great Life Insurance Rates and learn how you can get life insurance companies to compete for your business, at no risk or extra cost.

What should I do with a whole life insurance policy given to me by my parents?

Here are a few things I think you need to know about this situation: Term riders are used in whole life policies to keep the premium down. But, using them… Read More

 

Want to learn more?
Read my free guide, How To Get Great Life Insurance Rates and learn how you can get life insurance companies to compete for your business, at no risk or extra cost.

What books should an aspiring financial advisor read?

I recommend “177 Mental Toughness Secrets of the World Class” by Steven Siebold. I am sure that you are now asking why I didn’t recommend a book that deals in… Read More

 

Want to learn more?
Read my free guide, How To Get Great Life Insurance Rates and learn how you can get life insurance companies to compete for your business, at no risk or extra cost.

What are some tips to pay less for long-term care coverage?

I’m going to give you an out-of-the-box alternative: don’t buy any insurance for long-term care expenses. Since you say you are in good health, do everything you can to stay… Read More

 

Want to learn more?
Read my free guide, How To Get Great Life Insurance Rates and learn how you can get life insurance companies to compete for your business, at no risk or extra cost.

What is a tax-free 1035 Exchange?

Let’s suppose you have a life insurance policy, but find a better deal with another carrier. You want to replace the current policy with a new one. The thing is,… Read More

 

Want to learn more?
Read my free guide, How To Get Great Life Insurance Rates and learn how you can get life insurance companies to compete for your business, at no risk or extra cost.

If I surrender this life insurance policy and take the $40,000, are there any tax consequences?

Here are a few things you to think about: Anything above your cost basis – the total premiums paid – would be taxable as ordinary income. Call the carrier and… Read More

 

Want to learn more?
Read my free guide, How To Get Great Life Insurance Rates and learn how you can get life insurance companies to compete for your business, at no risk or extra cost.

What should I be ready for when managing my mother’s annuities as she gets older?

I was in the same position as you. My mother was the same age, had three annuities, and I was the power of attorney. She was actually the one who… Read More

 

Want to learn more?
Read my free guide, How To Get Great Life Insurance Rates and learn how you can get life insurance companies to compete for your business, at no risk or extra cost.

The Role of a Life Insurance Super Specialist

Life insurance super specialists are experts in finding policies regardless of mortality risk. Read More

 

Want to learn more?
Read my free guide, How To Get Great Life Insurance Rates and learn how you can get life insurance companies to compete for your business, at no risk or extra cost.

Should I get rid of my long term care insurance?

Both my parents needed the assistance of a full-time aide before they passed away. That care was expensive, and most of it was paid for out-of-pocket. Fortunately, they had the… Read More

 

Want to learn more?
Read my free guide, How To Get Great Life Insurance Rates and learn how you can get life insurance companies to compete for your business, at no risk or extra cost.

Should I continue to max out my 401(k) contributions or diversify with a whole life insurance policy?

I don’t like to take a black and white attitude towards any financial product. In some cases whole life could be appropriate, and in other cases it would not be. For… Read More

 

Want to learn more?
Read my free guide, How To Get Great Life Insurance Rates and learn how you can get life insurance companies to compete for your business, at no risk or extra cost.

What type of life insurance policy should a 20 year-old be looking for?

You can purchase life insurance through your employer, but you don’t want to depend on it because odds are that if you leave your job, you will lose the benefit…. Read More

 

Want to learn more?
Read my free guide, How To Get Great Life Insurance Rates and learn how you can get life insurance companies to compete for your business, at no risk or extra cost.

How are capital gains determined on the surrender of a whole life insurance policy gifted to me by my parents?

That’s an interesting question. You are describing a scenario in which the whole life policy would have a stepped-up basis. To tell you to truth, I have never heard of… Read More

 

Want to learn more?
Read my free guide, How To Get Great Life Insurance Rates and learn how you can get life insurance companies to compete for your business, at no risk or extra cost.

Should I convert my 529 Plan into a whole life insurance policy?

No way. Whole life insurance is a bad vehicle for saving for college. These policies are great for accumulating cash on a guaranteed basis, and usually on a non-guaranteed basis… Read More

 

Want to learn more?
Read my free guide, How To Get Great Life Insurance Rates and learn how you can get life insurance companies to compete for your business, at no risk or extra cost.

Should I list my ex-spouse as an In-Trust-For on a life insurance policy that has my children listed as the beneficiaries?

Here’s the thing: a life insurance company is not going to release proceeds to minors. So, if you unfortunately pass away before they become adults, your carrier will hold the… Read More

 

Want to learn more?
Read my free guide, How To Get Great Life Insurance Rates and learn how you can get life insurance companies to compete for your business, at no risk or extra cost.

How does a wash loan work?

The idea of a “wash” is kind of misleading. When you take out a loan from your life insurance policy, you really are not using your money. You are using… Read More

 

Want to learn more?
Read my free guide, How To Get Great Life Insurance Rates and learn how you can get life insurance companies to compete for your business, at no risk or extra cost.

How can I get out of my IUL policy without surrendering a significant portion of my investments?

This is certainly a tough situation, and I appreciate your bitterness. Nonetheless, I think the emphasis should be on rectifying your portfolio, and not so much on recouping your losses…. Read More

 

Want to learn more?
Read my free guide, How To Get Great Life Insurance Rates and learn how you can get life insurance companies to compete for your business, at no risk or extra cost.