Earn More Commission by Upgrading Your Clients’ Coverage with No Additional Cost to Them Making the Most Out of the 1035 Exchange For authorized agent use only. Not for public use.

Question: Would your clients be interested in increasing their face amount or transferring their cash values to a product with a higher interest rate without incurring taxes and at no cost to them? Are you interested in making more commission? For authorized agent use only. Not for public use.

Answer: Of course. In the real world, rare is the opportunity to get something for practically nothing. This is your opportunity to speak with your clients about the benefits of a 1035 Exchange. For authorized agent use only. Not for public use.

Let’s say your long-time client Jane has in her portfolio a paid up life policy. You might give her a call and let her know you’ve been reviewing her life policy and wonder if she’s familiar with a 1035 Exchange and how it could benefit her. Would she be interested in increasing her face amount – without paying additional premium? Chances are Jane is very interested and she’s ready to talk. You’ve just made an appointment. For authorized agent use only. Not for public use.

So, Jane asks, just what is a 1035 Exchange and is this a good thing? Answer: By definition, a 1035 Exchange allows clients to exchange the cash values from one life insurance contract to another or from a life insurance contract to an annuity, or from one annuity to another without triggering a taxable event. And, yes, it can be a very good thing. In your case, if you qualify, we can exchange your current life policy for one with a higher face amount. You won’t have an increase in premium and there will be no immediate tax liabilities. For authorized agent use only. Not for public use.

Jane loves the idea. She now knows that you are concerned about her best interests and you have just strengthened this long-term client relationship. For authorized agent use only. Not for public use.

Ann-Marie is very meticulous with her money and you have carefully researched and helped her to build a solid portfolio complete with a life policy and an annuity. But, you notice that she could be earning a higher interest rate with a different annuity. You now have a satisfied client who won’t hesitate to hand out your business cards to her friends and acquaintances. You can now approach Ann-Marie with the opportunity to transfer her existing annuity contract into one with a better interest rate without being concerned about tax implications. For authorized agent use only. Not for public use.

Roger and Sarah Everly are good clients and long-time friends. Roger is a smart businessman and purchased his universal life policy when interest rates were high but is now having to pay a higher premium to offset the lower interest rate. Sarah also purchased her policy when interest rates were high but is now using the policy's cash value to pay the premium and is facing a depletion of her cash value. For authorized agent use only. Not for public use.

A 1035 Exchange can benefit both Roger and Sarah. If they qualify, each one is able to transfer the remainder of their cash value into a single premium whole life policy and never worry about paying premium on their life policies again. You have now built a better friendship and strengthened the client relationship. For authorized agent use only. Not for public use.

In today’s fluctuating economy, financial stability is among the top priorities of most people – especially seniors. The 1035 Exchange offers your clients financial choices in a relatively safe environment. For authorized agent use only. Not for public use.

Talk to your clients about this great provision that can afford them the flexibility to upgrade their portfolio without additional monetary investment and without incurring any immediate tax liabilities. For authorized agent use only. Not for public use.

Expanding your client base is wonderful. But now, you can expand your business with the clients you already have. Satisfied clients tend to be loyal clients and can be your best source of advertisement. Make an appointment today and examine your clients’ portfolios to see if a 1035 Exchange is right for them. For authorized agent use only. Not for public use.

Compliments of Standard Life and Accident Insurance Company or visit us on the web at: For authorized agent use only. Not for public use. Information contained herein is not intended to be legal or tax advice. Income and growth on accumulated annuity values have been held by the Tax Court to be generally taxable only upon withdrawal. (IRC §72)