Chomp… Chomp… Chomp…
That’s the sound of termites destroying your financial foundation.
But most people aren’t aware it’s happening. And it’s claiming more victims than you might think.
Of course, you’re aware of how inflation is eating away at the value of your dollars. You feel it at the grocery store, the gas station, when you pay rent, and just about everywhere you look.
But, if, like many Americans, you own a term insurance policy, personally or through your workplace, it might not even be worth the paper it’s printed on when you need it.
Inflation has been running at a 40-year high, currently around 9% per year. But let’s say the Federal Reserve gets it right and brings inflation down to 4% annually in the next few years.
Imagine that you have a $500,000 20-year term policy. In the event of your death, the benefit your loved ones would receive will lose up to 56% of its purchasing power.
But what if inflation remains stubbornly high? If it averages 8% per year, the benefit your loved ones would receive will lose a whopping 80% of its purchasing power!
Term insurance is the most commonly owned type of life insurance, even though studies show that most term policies never pay out a claim. Term Insurance is designed to terminate before you do. The only reason they’re relatively inexpensive is that statistically, the insurance company knows you have very little chance of dying while the policy is in force.
How to Termite-Proof Your Life Insurance Program
Did you know there is a type of life insurance policy that protects you from the ravages of inflation in (at least) 3 ways? It’s high cash-value dividend-paying whole life insurance, commonly known as Bank On Yourself-type policies. Here’s how that protection works:
Inflation Protection Advantage #1: Your Premium Is Guaranteed Never to Increase for As Long As You Have the Policy
There are never any increases in premium because you’re older or you get sick. And no matter how high inflation gets, you’re paying the same premium with ever cheaper dollars.
When you take out a term insurance policy (typically for 5, 10, or 20 years), your premium will increase every time you renew it. The older you are, and the more health problems you have, the more astronomical those premiums will be.
Inflation Protection Advantage #2: Your Death Benefit Can Keep Growing and Growing and Growing…
Most financial reps only know about whole life policies where the death benefit stays level. But with a dividend-paying whole life policy, dividends can be left in the policy to purchase additional coverage, known as “paid-up additions.” They are called “paid up” because you pay for them just one time – in this case, with the policy dividend you were credited.
These paid-up additions boost your death benefit, and the death benefits of the policies my family owns have kept up with inflation – something a term life insurance policy will never do. See the proof here.
Inflation Protection Advantage #3: Bank On Yourself-Type Dividend-Paying Whole Life Policies Are Designed so the Growth of Your Cash Value Is Both Guaranteed and Exponential
And that’s guaranteed to happen every year, whether dividends are paid to policy owners or not. Dividends are not guaranteed, however, the Bank On Yourself Professionals use companies that have paid dividends every single year for at least the past 100 years, including during the Great Depression and the Great Recession.
In addition, the insurance companies recommended by the Bank On Yourself Professionals have much of their assets in long-term investment grade fixed income assets like corporate bonds. When the Fed drives up interest rates to curb inflation, bond interest rates typically increase. This can increase dividends to policyholders as well, and it’s precisely what has happened during high inflation periods in the past.
Of course, term insurance policies provide none of these benefits.
Here Are Four More Ways the Bank On Yourself Strategy Is the Swiss Army Knife of Financial Planning Strategies:
Benefit #1: Vacations are for people, not your retirement savings. A Bank On Yourself plan doesn’t skip a beat when the stock or real estate markets crash. This strategy has a 160-year-plus track record of guaranteed, predictable growth – with no luck, skill, or guesswork required. And your policy is guaranteed to grow by a larger dollar amount every single year.
Want to termite-proof your life insurance program and find out what your guaranteed bottom-line numbers and results could be if you added the Bank On Yourself strategy to your financial plan? Just request your free, no-obligation Analysis now.
Benefit #2: Adding Bank On Yourself to your financial plan lets you fire greedy bankers and finance companies and become your own source of financing, gaining access to money whenever and for whatever you want – no questions asked.
Benefit #3: You don’t have to liquidate your retirement savings or any other asset to get your hands on money for emergencies or opportunities. Plus, you can use that money, and your plan can continue growing as though you never touched a dime of it (if your plan is from one of a handful of companies that offer this feature).
Benefit #4: The Bank On Yourself strategy is an unbeatable place for money you need to keep safe and liquid and for money that you can’t afford to lose, whether that be money you’re saving for retirement or a college education. Your growth is guaranteed and beats savings, money market accounts, and CDs by a country mile. Having money safe and liquid doesn’t take away your options – it only gives you more flexibility and control.
Find Out Today How the Bank On Yourself Safe Wealth-Building Strategy Gives You an Unbeatable Combination of Advantages and Guarantees
It’s easy to find out what your guaranteed, bottom-line results could be if you added Bank On Yourself to your financial plan. Just request your free Analysis here now. You’ll get a referral to a Bank On Yourself Professional with advanced training on safe wealth-building strategies who can answer all your questions.
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