7 Yr Old Child 20 Pay

[onefastpony]

I'm going to take a 50K 20pay policy on my son. I can use Royal Neighbors 20 pay @ 31.84 month.

However I would prefer a policy over a certificate and was wondering what other companies have a 20pay for a 7yr old for 50K at or about the 31.84 month with RNA.

I'm in FL.

 

[TwiLight]

Eventhough RNA has a great rate, dividends will be on the low side projected out over the life of the policy because you are not overpaying as much. So Cash Value is limited more towards the Guaranteed Value. The higher the WL premium, in a Mutual/Dividend plan the higher the Cash Value because of PUA's on the Dividends. Lafayette Life has a great WL product for the INDY agent.

The absolute best product, IMO, for a child with Face of 50k-250k is an IUL. Overfund it with the same premiums as a WL product and choose option B (increasing Death Benefit) so as to not MEC the contract.

North American (NA) and LSW are great plans for this option and you will see great projections at 5%, however, they will be higher over time as the market fluctuates with higher returns, it is a rockin product for a young person.

 

[blue_wynd]

Eventhough RNA has a great rate, dividends will be on the low side projected out over the life of the policy because you are not overpaying as much. So Cash Value is limited more towards the Guaranteed Value. The higher the WL premium, in a Mutual/Dividend plan the higher the Cash Value because of PUA's on the Dividends. Lafayette Life has a great WL product for the INDY agent.

The absolute best product, IMO, for a child with Face of 50k-250k is an IUL. Overfund it with the same premiums as a WL product and choose option B (increasing Death Benefit) so as to not MEC the contract.

North American (NA) and LSW are great plans for this option and you will see great projections at 5%, however, they will be higher over time as the market fluctuates with higher returns, it is a rockin product for a young person.

I assume the purpose of an IUL for a minor is to build CV rather DB? Curious so if you can expound on the benefits more (only read up on IULs here and there). Thanks.

 

[WinoBlues]

I. Second participating whole life or IUL opt 2 as the death benefit should grow over time. I would also see what the same money and time would buy in a GUL.

 

[TwiLight]

I. Second participating whole life or IUL opt 2 as the death benefit should grow over time. I would also see what the same money and time would buy in a GUL.

I don't like GUL's for child policies. Mostly because most of the robust riders are only available to age 18+ (ADBR and LTC for example)

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I assume the purpose of an IUL for a minor is to build CV rather DB? Curious so if you can expound on the benefits more (only read up on IULs here and there). Thanks.

The IUL or Participating WL is usually about CV growth and the IUL will give more flex and opportunity over time. Just make contributions about Target and the guaranteed rate of return will look nice. it is the potential 12%+ returns you may see in the future.

Now not all IUL is the same....Some are heavily Fee based and do not grow with low interest rates. That is why many will recommend NA, LSW, PennMut, Minnesota Mut. Etc. All great products.

We will be holding an IUL workshop at the end of January-2014, PM your email address to me and I will add you to the list of invites.

 

[WinoBlues]

I don't like GUL's for child policies. Mostly because most of the robust riders are only available to age 18+ (ADBR and LTC for example)

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The IUL or Participating WL is usually about CV growth and the IUL will give more flex and opportunity over time. Just make contributions about Target and the guaranteed rate of return will look nice. it is the potential 12%+ returns you may see in the future.

Now not all IUL is the same....Some are heavily Fee based and do not grow with low interest rates. That is why many will recommend NA, LSW, PennMut, Minnesota Mut. Etc. All great products.

We will be holding an IUL workshop at the end of January-2014, PM your email address to me and I will add you to the list of invites.

I was assuming he was looking for maximum paid up death benefit long-term. $50 a month for 20 years is not going to do a lot. Imho cash wise

 

[blue_wynd]

I was assuming he was looking for maximum paid up death benefit long-term. $50 a month for 20 years is not going to do a lot. Imho

Really? I thought he want the opposite, more cash value for his son. Guess there is two sides to a story. lol.

 

[scagnt83]

If you want a 20pay why not just go with Mass and get the 20 Pay WL?

I also 2nd the IUL. But a 20pay WL would work well too.

 

[WinoBlues]

Really? I thought he want the opposite, more cash value for his son. Guess there is two sides to a story. lol.

Ha, I was projecting my views over asking him his goals.

Had to go back and read the post again.
At $32. for 20 years I assumed it was about paid up coverage.

He'll, we would have kept going assuming his want wants till we had him investing in commercial property. ;-)

 

[blue_wynd]

Ha, I was projecting my views over asking him his goals.

Had to go back and read the post again.
At $32. for 20 years I assumed it was about paid up coverage.

He'll, we would have kept going assuming his want wants till we had him investing in commercial property. ;-)

I like commercial properties. NNN lease is a great deal for the landlord and you don't have to deal with broken toilets calls. You can hire an maintenance company as part the CAM too, so no out out pocket expenses except for the capital improvements or the TI given to new tenants. The trick is maintaining proper mix of synergistic tenants in a good area to minimize vacancy.

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I just need to sold a couple million dollar policies to get started on my real estate portfolio. .