It would appear there are some risks in both personal finances and the ability obtain additional insurance later if needed:
There is a lot I do not understand about life insurance and finance, so I may be missing some things here, but I am also not sure the article is consistent in its approach from beginning to end.
It seems to me to start by discussing insurance coverage on a life and life circumstances creating situations in which it is no longer possible to maintain that insurance (risk?) coverage due to a combination of market financial variables affecting the financial life of the covered person.
It then transitions to a conclusion in which a wealthy individual borrows money against a high dollar policy and uses the money for investment purposes. This seems to me to be a situation in which maintaining insurance coverage is not necessarily a desired objective. It seems to me the writer of the article may be promoting some kind of an investment fund generation scheme which will provide interest returns into a marketplace he is involved with in some way or another.
It is one thing to have someone else holding a small policy on your life to cover burial expense. It is quite another (IMO
) to allow someone to be holding big dollar life coverage on your life for other reasons.