Concerns – DBS

Men are from Mars & Women from Venus in the LTC Universe

Situation: A financial representative called her dedicated DBS Case Design Analyst with concerns about balancing the life insurance and long-term care goals of a married couple. Her client’s husband refused to attend a planning meeting to discuss long-term care, but always attended meetings in the past. The client was very interested in discussing long-term care […]

A Business Does Not Need to Die At the Death of a Key Employee

Read our print-friendly PDF version Businesses are born when the market has a need and someone has a great idea for meeting the need. A product or service is developed and offered to the public. Over time, the skill, knowledge, leadership, and experience of the business’s key people make it possible for it to grow […]

What Are the Most Popular Life Insurance Based Nonqualified Plans?

The post-COVID resignation boom has brought employee retention issues to the forefront. With turnover rates on the increase business owners are keenly aware of how difficult it is to attract and retain key personnel. The competition for superior technical, managerial, and executive talent is so fierce today that business owners are constantly faced with finding […]

Key Person Coverage: A Simple Concept with Underwriting Challenges

The hardest part in working with business owners is getting them to set aside time to talk about their life insurance. However, once the business owner agrees to meet with the financial professional, the next most difficult challenge may be determining the face amount of coverage and then getting the insurance carrier to issue the […]

Key Employee Life Insurance Checklist

Read our print-friendly PDF version The purpose of key employee life insurance coverage is to help indemnify a business for the loss of a key employee’s skills and experience in the event of the death of that person. Death benefits or cash values may be used to help recruit and train a replacement, to pay […]

Recent Modifications to Required Minimum Distribution Rules for Lifetime Distributions

Situation: Financial representatives know that clients who own IRAs or participate in qualified retirement plans must take distributions from their accounts according to the required minimum distribution (RMD) rules. The RMD rules mandate the timing and minimum amount an IRA owner and retirement plan participant must distribute both during life and after his/her death. Clients […]

Multi-Generational Estate Planning for Uninsurable Individuals

THE SITUATION A financial professional called DBS seeking estate planning advice for a very wealthy widow. The client had previously used most of her estate tax exemption and was still in good health . . . that is for a person 87-years old. THE PROBLEM Carriers have a maximum issue age which for most carriers […]

Will there be an Estate Tax Problem if a Couple Establishes Reciprocal ILITS?

Situation: Today, moderately wealthy couples are increasingly worried about the future lower Federal exemption amount. To keep the life insurance proceeds outside their estate, we often suggest that their life insurance be owned by an irrevocable life insurance trust (ILIT). Many of those clients purchase life insurance because of the long-term care or chronic illness […]

Case Study – Strategy for Uncertain Estate Tax Environment

Read our print-friendly version here Situation:A producer contacted DBS’ in-house advanced case design resource to discuss an insurance structure for a couple in their late 40’s with $8 million net worth. The producer noted that the net worth was less than the current joint exemption ($24.12 million), but more than the prior exemption which is […]

Consider Life Insurance as an Asset in a Diversified Portfolio

Life insurance is generally thought of in terms of protecting loved ones in the event of premature death. While this is an important aspect of life insurance, it’s only part of the story. As an individual’s career flourishes and resources allow for personal investing and long-term financial planning, life insurance may be an ideal component […]