4 Ways Whole Life Insurance Can Help with Business Expenses 4 Ways Whole Life Insurance Can Help with Business Expenses Owning a small business is a dream for millions of Americans. Starting a business is exciting. It is also a huge commitment that comes with a unique set of challenges, including planning for the unknown. Did you know that whole life insurance can be a pivotal part of this strategy? Traditional whole life insurance is commonly known for the important core value of protection coverage it can provide for a policyowner’s family. It can also play a role in helping to protect the owner’s business too. While there are benefits that come along with being a small...
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A Look at Whole Life Insurance Whole life insurance is designed to remain in force for your whole life, as long as you remain current with your premiums. In exchange for fixed premiums, the insurance company promises to pay a set benefit when the policyholder dies. Whole life insurance policies can build up cash value — effectively a cash reserve that pays a modest rate of return. This growth is tax deferred. Guarantees are based on the claims-paying ability of the issuing company. Most whole life insurance policies allow policyholders borrow a portion of their policy’s cash value. Interest payments on policy loans go directly back into the policy’s cash value. When the...
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Our Philosophy "IN ORDER TO BE A GOOD CORPORATE CITIZEN, YOU HAVE TO BE FINANCIALLY STRONG. AS IT’S IMPERATIVE TO DO WELL IN ORDER TO DO GOOD." Johan van der Merwe – ARC co-CEO ARC's business philosophy has dual aims – benefitting its stakeholders and positively contributing to the lives of South Africans. Its vision is to be a leading provider of financial services, covering the full spectrum of fiscal needs, such as life insurance, health care, asset management, general financial services, short-term insurance, property and banking. We do this by building strategic partnerships, both in South Africa and further afield, by obtaining equity stakes in product providers. Astute capital...
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Policyholder Information Company Overview Fidelity Bankers Life Insurance Company, an insurer domiciled in Virginia, was ordered into rehabilitation in May 1991. The receiver negotiated a plan with Hartford Life Insurance Company for restructuring and reinsuring the Fidelity Bankers policies, supported by the thirty-nine state life and health insurance guaranty associations affected by the insolvency. Hartford's assumption occurred in September of 1993. The seven-year plan ended in September 2000. Policy...
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Policyholder Information Company Overview Executive Life of New York (ELNY), a New York domestic life insurer, was placed in rehabilitation in April 1991 by the Superintendent of Insurance. A plan of rehabilitation (the Rehab Plan) was approved by the New York court supervising the rehabilitation proceedings in 1992, and since then the rehabilitation has been administered by the New York Liquidation Bureau (NYLB), on behalf of the Superintendent, as statutory rehabilitator. Pursuant to the Rehab Plan, in 1992 ELNY sold its surrenderable policies that had significant market value. The vast majority of the contracts (by liability amounts) remaining with ELNY comprised non-surrenderable...
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“You can check out anytime you like, but you can never leave.”—The Eagles Equating lenders to various tranches of a commercial mortgage-backed securities pool, the hard-money lenders are the C, or unrated, slice—and the life insurance companies are the AAA tranche. It is likely hyperbole to discuss the impact of another potential meltdown of the capital markets on life insurance lenders. As one originator recently told me, “Insurance companies are unwilling to sacrifice credit quality, and they will not increase their lending volume simply because there is more demand for their product.” Therefore, any comments about eroding credit quality or lending bubbles do not directly apply to the...
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