The unique features of life insurance make it a strong vehicle for achieving additional income distributions in retirement. When overfunding an index universal life (IUL) policy or a whole life policy, there are no contribution limits, the cash value grows tax-deferred, and income can be taken tax-free.
Additionally, there’s protection from market risk, unlike other investments, and living benefit riders. The actual death benefit can also help protect the entire portfolio and the risk of long-term care (LTC) expenses eroding their nest egg.
Let’s dive into the ideal client profile, key selling points, a case study, and more on the topic of implementing life insurance as part of a retirement plan.