Indexed Universal Life Insurance

Indexed Universal Life:  Here’s what makes these so powerful and something no other insurance policy will provide:

  • Annual “Lock-In” of all profits on your anniversary date each year.
  • No cap on potential yearly returns!  Apply Today!
  • Guaranteed floor of 0-3% each year.
  • No market risk.  ZERO!
  • Does not make your Social Security taxable like other traditional tax-deferred qualified plans.
  • No participation requirements or administration fees for companies.
  • Access to your money at any time without penalty.
  • Money grows tax free.
  • Flexible contributions.
  • Death Benefit.
  • Real Returns (always positive) not Average Returns (which must factor in negatives)  This is a HUGE BENEFIT.
    Call or Email us today for your illustration.

Reasons NOT to invest in any type of “Tax Deferred Qualified Plan”

“Would you rather be taxed on the seed or the harvest?” The seed, for sure!! I can buy the seed for $50 and I’ll make $5,000 on the harvest.  Would you rather pay tax on $50 or $5,000? This being the case, why are so many people using Tax Deferred investments like 401k’s to save for retirement? The second you contribute to a Tax Deferred investment, you’re under control of the IRS and Uncle Sam’s rules; He can change them at any time!  With Social Security going bankrupt and the National Debt growing out of control, I’d bet taxes will be higher in 20-30 years.  These are obvious reasons that are signaling a major change in the way we save for retirement.  There is a better way and it’s called an Indexed Universal Life Policy.

Indexed Universal Life Insurance (IUL) is structured as a Tax Free insurance policy that puts the owner in control of their cash accumulation and not Uncle Sam! It’s perfect for individuals and business owners and has more “living benefits” than the actual death benefit that is included with the policy. The absolute beauty of these policies is their not classified as “Qualified Plans” by the IRS. An IUL is a permanent cash-value life insurance product that is designed to outperform Whole Life, Universal Life and Variable Life without the catastrophic downside risk to the cash value of the policy.  In fact, zero downside risk!  IUL policies are linked to major market indexes like the S&P 500, but your money is never in the market.  The carrier absorbs all market risk.  For example, if the market index returns a negative 30%, your downside protection within the IUL policy will protect you from these losses.  However, you benefit from any positive returns each year and those profits are “locked in” on your anniversary date each year and can never be subject to loss going forward.  This provides the cash value in a an IUL policy with the best of both worlds…all the up side with no downside risk!

Indexed Universal life policies are far more advantageous than any “Tax Deferred Qualified Plan” on the market!  IUL policies are not cookie cutter type insurance products.  IUL’s are custom built policies for child savings accounts, individuals, entrepreneurs, business owners, corporations or retirees who may be looking to rescue an IRA from their required minimum distributions (RMD’s).  Ginn Insurance specializes in building these policies.  These are complex products that should be explained by qualified professionals who specialize in selling IUL’s not just Insurance Agents who are “familiar” with these types of products.  Too many variables exist to just be “familiar” with this type of insurance product.  I can’t stress this issue enough!  Contact Ginn Insurance Services for professional advise.  Call us today.  We’d enjoy helping you!

Differences between Tax Deferred and Tax Free:

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Investment Question

I’d like to run a sample question and would appreciate a response from all readers in the comment section below.  This is regarding who actually knows the difference between “Real Returns” vs. “Average Returns”.
Consider this example:
Account A: loses -50% 1st year.
Account B: Gains 30% 1st year.

Question: Going into year 2, how far is Account A behind Account B?
Please post your answers below.  Thank you!  The answer will be posted shortly.

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