Evaluating Life Insurance Goals and Options. A Case History of a 54-Year Old Client

Evaluating Life Insurance Goals and Options A Case History of a 54-Year Old Client

Issue: John Brickman*, a 54-year old family man with a limited budget, came to Schulman Insurance Brokerage with concerns about how to best protect his family’s financial future, including the financing of his children’s college educations.

Theory: Schulman Insurance Brokerage’s expert advisors reviewed Mr. Brickman’s circumstances, including his assets and liabilities, forecasted his future expenses and determined his needs over the various future stages of his life. We determined that over the next 20 years, Mr. Brickman would need the most coverage, and after that, his needs would taper off.

Method/Solution: Schulman Insurance Brokerage created a laddered strategy to accommodate Mr. Brickman’s needs. The strategy combined a 10-year term policy for $250,000 of coverage, a 30-year policy for $600,000 and a universal life policy with $150,000 coverage until age 105.

Outcome: If Mr. Brickman had invested in a $1,000,000 universal life policy his premium would have been $11,484 per year. Using the laddered approach created by Schulman’s advisors, Mr. Brickman was able to meet his insurance needs at a fraction of the cost. *Names have been changed.