How do I know what policies are still good?

Insurance Analysis / Risk Management Solutions


Change Happens

Over the years, your life will change and your existing life insurance portfolio may no longer align with your original goals and needs. IPS Advisors offers Insurance Analysis and Risk Management solutions to respond to your ever-evolving needs.

We Align Your Portfolio with Your Life

At IPS Advisors, our insurance consultants identify your goals and objectives, review the facets of your current insurance portfolio and determine if your current life insurance structure is in alignment with your current financial needs.

Our analysis of your portfolio will include the following:

  • We verify all life insurance contracts you own personally or by Trust. This verification will include policy ownership, beneficiary, death benefits, cash values, cost basis, loan status, premium amounts and frequency.
  • We obtain “inforce policy illustrations” for all your Whole Life, Universal Life and Variable Universal Life policies. These illustrations will reflect your current and projected policy performance based on current assumptions. We may also request illustrations that demonstrate market changes that can affect your policy and its performance. 
  • We review your current ledger projections to evaluate whether they are cost effective and competitive within the current marketplace.
  • We suggest funding scenarios to align your current policies, or provide alternative coverage options, where appropriate.

This material is for informational purpose only and is not meant as tax or legal advice. Please consult with your tax or legal advisor regarding your personal situation. NFP does not provide legal or tax advice.

To ensure compliance with requirements imposed by the IRS under Circular 230, we inform you that any U.S. Federal tax advice contained in this communication, unless otherwise specifically stated, was not intended or written to be used, and cannot be used, for the purpose of (1) avoiding penalties under the Internal Revenue Code or (2) promoting, marketing, or recommending to another party any matters addressed herein.

Due to the relatively short period of time the life settlement market has existed, the market is currently loosely regulated and the number of bidders for any marketed policy may be limited. Prior to selling a policy, the insured should consider factors such as the continued need for insurance coverage, whether there are plans to replace the existing policy with another policy, how the sale of the policy will impact estate plans, and the availability of new insurance as well as the cost of comparable coverage. Where relevant, tax implications must also be taken into consideration.

Loans and withdrawals from insurance policies may generate an income tax liability, reduce available cash value and reduce the death benefit or cause the policy to lapse. Early withdrawals and other distributions of taxable amounts may be subject to ordinary income tax, a surrender charge, and if taken prior to age 59 ½, a 10% federal tax penalty may apply.

All guarantees are subject to the claims paying ability of the issuing insurance company.

Securities offered through Registered Representatives of NFP Securities, Inc., A Broker/Dealer and Member FINRA/SIPC Investment Advisory Services offered through Investment Advisory Representatives of NFP Securities, Inc. a Federally Registered Investment Advisor. IPS Advisors, Inc. is an affiliate of NFP Securities, Inc. and a subsidiary of National Financial Partners Corp., the parent company of NFP Securities, Inc. This site is published for residents of the United States only. Registered representatives and investment advisor representatives of NFP Securities, Inc. may only conduct business with residents of the states and jurisdictions in which they are properly registered. Therefore, a response to a request for information may be delayed. Not all of the products and services referenced on this site are available in every state and through every representative or advisor listed.

For additional information, please contact the NFP Securities, Inc. Compliance Department at 512.697.6000

An NFP Company

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