There are trillions of dollars of non-qualified deferred annuities on the books. With an aging population of annuity holders, the opportunity exists for you to provide a solution to those who are facing the prospect of a maturing annuity contract.
At OneAmerica, we have a solution called Legacy Care.
Legacy Care is a single premium deferred annuity that can accommodate 1035 exchanges from non-qualified deferred annuities up to the age of 99.
Think about it this way, if your client is faced with being forced to take their annuity monies when all they want is to keep it growing, you have a possible solution. It is a win/win scenario for your client – they are not forced to liquidate their annuity and pay taxes on the gain and their annuity money continues to grow tax-deferred.
Let’s say that your client is 90 years old, has a deferred annuity with $190,000 of value that is out of surrender, does not need the money for income, and is faced with the decision of how to take the money from that maturing annuity.
She has told you that she doesn’t need the annuity for income and intends to use it only in an emergency situation. But, ultimately, she wants to pass the money to new niece and nephew when she dies. (Note – the most efficient wealth transfer vehicle is life insurance.)
Legacy Care can help.
All she has to do is a 1035 exchange into Legacy Care and the annuity proceeds will continue to grow tax deferred.
I mention this every quarter and have found that by simply reviewing your book of business, you can find one or two opportunities to help your clients avoid the “take it and pay or take it pay tax” dilemma.
Remember – Legacy Care
Please join me for our OneAmerica Care Solutions Regional Meetings. September 28 & 30, we will be in Springfield, MA and Foxboro, MA; October 5 & 7, Cherry Hill, NJ and Hackensack, NJ will be our meeting locations. For more information and to register, https://ltccoffeebreak.com/care-solutions-road-show/
Schedule a meeting (virtual or in-person) to discuss how Care Solutions can address your client’s extended healthcare funding concerns – contact me at (678) 512-9627 or via email at kevin.fisher@oneamerica.com
Do you have product questions or need an illustration? Call Justin Fox at (844) 658-3725 or email at justinfox.isp@oneamerica.com
One last reminder, every Tuesday evening at 7pm, you can join the Great Retirement Income Gap consumer webcast with Michael Florio and me. For more information, go to the LTC Coffee Break Virtual Consumer Seminar webpage at https://ltccoffeebreak.com/virtual-consumer-seminar.
Fridays with Fisher 