Zero Return, Still Have COI - So the Account Value Can Go Down

  • 2024 0308 - Cody Askins - 3 Ways To Sell Indexed Universal Life Policies As An Insurance Agent! (NEED TO KNOW) - [VIDEO-YouTube-11:25]
    • 6 - Performance
      • "You can get a Zero. Everybody's selling that there is Zero Risk. Everything has risk."
      • "Can the floor of an IUL product be Zero?  Let's just say S&P 500 gives a negative 18% return. Can the policy be credited with a Zero and actually receive a Zero and not the negative 18%? Yes, however, you still have to pay for Cost of Insurance. What does that mean? That if a policy gets a Zero on a down year, which is good, there's still some security there. That's great. They are still having to pay the Cost of Insurance which means that the account can actually go backwards. Because you actually have to pay for the Cost of Insurance. Which is important."
      • 8 - IUL's have their place, Some people are selling it as the end all be all - The only option on the planet. 
  • I tell clients that the cash value is guaranteed not to go down when the market goes down because the cash value has a 0% annual floor.

--  Declaration of Sean L. Covi, Agent - Doc 258 - 2010 0710 - 11p

2000s - LC - Walker v LSW (Life Insurance Company of the Southwest) ---  [BonkNote]