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Three Reasons to Do Advanced Planning with the Guardian

Three Reasons to Do Advanced Planning with the Guardian

| June 19, 2019

At Guardian, we work with all kinds of producers from different backgrounds. Some are brand new and need training from the ground up. Some are experienced with their own planning process, and just need us for sales support, competition, or underwriting. Then there are many in between. However, one of the places we can provide the most value to your practice is in the Advanced Planning area.

Guardian has become very aggressive in simplifying and expanding access to its team of advanced planning experts, and that starts with your relationship with me at the local level. We have the experience and drive to help you in the business market and help you win bigger, better cases. Here are some ideas of where to start:

Buy/Sell Review Program and Insurance Planning Opportunities

Guardian, through their Momentum platform from the Business Resource Center for Advanced Markets, has released a new, complementary buy/sell review program. Our program serves as a great door-opener that can lead to new life and disability insurance sales and help your clients make decisions about business succession planning, business valuation, retirement income planning, and estate planning. The program includes everything you will need, such as prospecting letters/emails and a fact finder to gather important data. The BRC can work closely with your client’s team of legal and tax professionals to review an existing buy-sell agreement to ensure that it is up to date — and we will make recommendations based on your client’s current needs. The Buy-Sell Review Program will also generate a snapshot view of the business’s current value. The result is a comprehensive report that your business owner clients/prospects can review with their legal and tax advisors. And, unlike other programs, our report is fully customized to your client’s situation — not just a standard template.

Premium Financing Program

Business owners and high net worth clients and prospects often wish to purchase a large amount of life insurance. But it’s also common to find that these affluent individuals prefer not to pay their premiums from their current cash flow. Premium financing is a technique that can help fund a life insurance policy by enabling your clients and prospects to borrow the money they need to pay their life insurance premiums at an attractive interest rate. It’s a smart solution for individuals and business owners who need high amounts of coverage but don’t want to use their cash flow or liquidate high-yielding assets to pay the premiums. Guardian offers some great producer resources to help you get into this market.

Deferred Compensation, Executive Bonus, and Retention Bonus for Key Employees

Life insurance can be used in several different ways as a form of compensation or a golden handcuff for key employees at a business. Executive Bonus plans allow for life insurance premiums to be considered a form of compensation for a key executive, while retention bonus plans can offer the company control over a benefit that handcuffs the executive to the business in return for a bonus in the future. Both of these strategies use permanent life insurance, but they are conceptual in nature. The sale isn’t necessarily about the life insurance itself but rather the method in which it is used to provide a key benefit to the executive. They can be simply arranged and managed and are great ways to open additional planning opportunities at businesses.

There are numerous other opportunities in the Estate and Charitable planning markets as well; however, the key takeaway is in how we prepare you to both prospect and sell these opportunities. Our platform is designed to seamlessly transition you from education to the concept, to prospecting and reaching out to clients, to implementing, and finally managing the advanced planning for your clients. Guardian wants to make this process as simple as possible for you while retaining the sophistication needed to sell this type of business.

Contact me today to learn more about the Advanced Planning market and how we can take you to the next level!