from an insurance company while management decides to change the assumptions that you thought would never change 10 years after you've been paying into your policy and the premiums are increased. That's why I really like a well-designed, high-grade, permanent A+ Superior life company. Most, but not all, permanent policies have moving parts to make sure that the insurance company can make enough money to keep paying claims.
“If a man will not work, he shall not eat.” — 2 Thessalonians 3:10
But moving parts inside a life policy can be abused by a new management team that doesn't share the same vision as a management team focused on maximizing policy values to the policy owners. Don't be afraid to ask representatives of the company to show you a cost analysis of the life policy being used to fund your retirement program. You need to know the three major costs of postponing paying your taxes that can cost you and your family during your retirement years. The best protection against a policy going south on you is to be confident that your financial advisor understands the two IRS Codes mentioned earlier (590 and 7702). A good example would be an Income permanent life insurance policy, with an A++ Superior rating that has shown strong operating statements. And then, overfund your policy with as much money as the IRS will allow by having the minimum death benefits. This financial strategy will, in most cases, give you the greatest amount of income for you to use for your retirement years. Think about this, if you retire at 65 and live another 20 or thirty years, who will provide for you? I ask many people why they're in their company's 401k, and their only answer is that everyone else is in it. Never follow the crowd, they are wrong most of the time.
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