Article on Private Placement Life Insurance

Alan Jahde (WealthCounsel) recently published his article entitled An Overlooked Asset Protection and Investment Tool?, Colorado Bar Magazine, forthcoming (Download Jahde). The introduction to the article is below:

Asset protection planning includes a wide range of tools and techniques. It includes specific ownership arrangements such as co-tenancies, limited liability companies, irrevocable life insurance trusts and domestic or foreign asset protection trusts. This article focuses on an ideally suited but often overlooked asset protection vehicle: private placement life insurance.

Life insurance is often negatively perceived as an investment tool by many practitioners because most cash value life policies and their attendant cash value accounts have historically performed poorly from an investment standpoint when measured against premiums paid in. However, an efficient, low-load, private placement life insurance (“PPLI”) contract, custom designed with a managed death benefit and emphasis on maximization of cash value, is different than traditional life insurance and can be a powerful asset protection, wealth accumulation and wealth shifting tool that should be in every advisor’s toolkit. This article will address how the author can make such a bold statement.

Special thanks to Jim Hillhouse (WealthCounsel) for bringing this article to my attention.