How a Minted Man Might Approach Life Insurance


How a Minted Man Might Approach Life Insurance
Sometimes being wealthy brings all sorts of attractions, some desired, and others not.
The Attraction You Want:
Often women can be attracted to men that have their financial act together and that can include many financial details including having life insurance.
Be smart when you shop for life insurance and consider all of your options. Although exceedingly wealthy men (and women) can be good candidates for cash value life insurance policies - such as Whole and Universal life - that does not necessarily mean that you need that type of life insurance.
Term life insurance, which is a pure form of life insurance and contains no investment side account, may be a better bet.
Not a Fatal Attraction:
When you are known for having money you are more prone to being approached by salesmen that want to fleece their own pockets. Insurance may not be too different. Many wealth managers insist that the best way to create wealth is with overpriced whole life insurance policies, many of which may cost $20,000 or more per year. These whole life policies contain an investment side account that is wrapped around the pure insurance. Some insurance agents may claim that the product is tax free, asset protected and great for saving simultaneously for your future children college and your retirement.
These claims of the benefits of whole life insurance are often mostly overstated. Although life insurance can possibly be used for a few things, it is best left for insurance and sometimes possibly to leave an estate for your heirs.
Get Wealthy the Right Way:
Question anyone that is trying to sell you any financial product. Many financial advisers suggest keeping your insurance and your investments separate, and I generally agree with that recommendation.
Consider Low Cost Investing: In general buying and trading investments that have a lower cost may mint you millions over your lifetime.
Find an Insurance Person you Trust: This goes without saying, but trustworthy people can be hard to find. A good solid insurance person that specializes in affluent clients - will first off recognize your liability needs rather than your life insurance needs. If your liability coverage is exposed, there may not be much reason to worry about life insurance.
What Financial Security Really Looks Like:
A man that has his financial act together is always more attractive than someone who is not. That does not mean that you can't flash your cash, but you need to make sure your financial house is in order.
Fund Your Retirement: Yes, even wealthy people should take advantage of qualified retirement accounts.
Consider a Simple Term Life Insurance to Start: Consider buying a convertible life insurance policy that will allow you at some later time to convert it to a whole life insurance policy if you must. Otherwise choose a high dollar amount (say $5MM) level term life insurance policy from an agent that you trust.
Set up a Large Emergency Fund: Establish an account with a bank that caters to the High Net Worth and get a large chunk of money set aside in a savings account. This money can be used in all sorts of situation, most of which are hard to imagine when times are going well.
Buy a House: Although not always thought of as being a profitable investment decision, buying your own home is usually one of the smarter and safer choices that can be made.
Get an Alarm: Remember when we discussed attracting the wrong kinds of people? I didn't just mean sleazy life insurance agents. I also meant your ex. An alarm will keep many other undesirables as well and is generally well worth the money.
The Minted Man and His Money:
A minted man may find his options increasing as his balance sheet grow. He may also be able to attain more of his goals because he follows a good solid path

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