FAQ - ADAPT TO CHANGING CIRCUMSTANCES IN THE CURRENT INTEREST RATE ENVIRONMENT

Our previous two FAQs focused on current planning opportunities created by the interest rate and market environment. In this piece, we will turn our attention to why this same environment makes it crucial for clients to have their life insurance policies reviewed.

How does the low interest rate environment affect life insurance companies?

What are the risks of not reviewing my policies based on what is happening today?

Are all life insurance contracts affected in the same manner by the low yield environment?

I implemented a whole life policy in 2005. Do I need to have the policy reviewed?

My parents bought a traditional universal life policy on my father’s life in 1990. He believes that the policy was designed to stay inforce for his lifetime regardless of his age at death. What should I tell him?

My mother had her universal life policy reviewed. Her circumstances have changed and she no longer needs the death benefit protection. What can we do?

FAQ - How to adapt to changing circumstances (july 2020).pdf

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