What if?
Jeffrey Cait, MBA, CFP, CLU, CH.F.C., TEP
Independent Life Insurance Consultant + Educator
Content Warnings: This article contains hypothetical details some may find disturbing.
Sam decided to allocate 40% of his wealth to his family’s future. He was assured by his trusted life insurance advisor this would guarantee him peace of mind.
Then it happened. Covid 2. Within months 20% of the population was dead.
Sam was thrilled he had the foresight to get life insurance. He wondered if he had bought the right type.?He didn’t have to wait too long. The letter arrived.
Due to unexpected events, no dividends will be paid to policyholders until future notice.
That future notice never came.
Sam was one of the lucky ones. He made it to his pre-pandemic 2 life expectancy.
I did the math.
If he had diversified, family would have gotten $1.6 million. Now? $400,000. Yikes!
Risk management? We have been entrusted to address...
The worst case scenario with an extremely long term financial instrument that has the fewest off ramps.
Current planning approach sucks. And we want to call ourselves financial planners.
fuck