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Resize image project - 09 September 2026 at 07.55.20

Income Protection – Statistics That Hit Home

With the access you have to your clients’ financial plans, comes the responsibility to protect their most valuable asset – the ability to earn a living.

Insurance is available for everything from a car to a cell phone, and it’s vital to remind your clients that those things don’t exist without the funds to facilitate them – which is exactly why income protection is so important.

The following statistics highlight the importance of having that discussion:
  • An estimated 48.9 million people, or 19.4% of the non-institutionalized US civilians, have a disability.
  • An estimated 24.1 million people have a severe disability.
  • An estimated 34.2 million people, or 17.5%, have a functional limitation
Social Security is not a reasonable resource on its own – the average SSDI benefit payment is a mere $1,256 for males and $993 for females per month.
 
Employer sponsored DI plans only pay 60% of a client’s income – plus, the benefits are taxable with a cap on the maximum benefit. And, less than 5% of disabilities occur as a result from an accident on the job – where worker’s comp would be applicable.
 
It’s a matter that every advisor should take to heart, especially when most of you know your clients on a personal level.
 
We have the tools for advisors to start the conversation about Income Protection. Contact your DI Associate today.
Resize image project - 08 September 2026 at 07.35.38

Why Use Deferred Comp, When There Is A Better Way?

It wasn’t hot when I picked it up! The phrase had its origin when transactions were made only to find later that the property in question was stolen or illegal goods. The buyer who finds the deal wasn’t what it seemed might say, “It seemed like a good idea at the time!”

Deferred compensation is a deceivingly complicated benefit. An employer grants an employee a contractual right to payment later if conditions are met. The promise doesn’t even need to be funded.

But the stark structural simplicity loses its luster quickly when the realities of implementation and operation set in:
  • Administration costs are prohibitive for smaller groups.
  • Employer time and accounting and government reporting is burdensome.
  • Careless procedures can result in stiff legislative penalties.
  • Decline in business environments can make plan fulfillment difficult.
  • Business failure can leave plan participants without recourse.
Consider an alternative fringe benefit that:
  • Has no administrative maintenance or government involvement.
  • Is a deductible expense for the employer.
  • Allows each participant to choose among plan benefits including retirement income, disability/chronic illness/long-term care coverage, and death benefit protection.
  • Allows for flexibility in year-to-year funding by the employer.
  • Incentivizes participants with immediate vesting and portability.
  • Does not obligate the employer to future funding.

We will help you design simple and profitable benefit plans for all your business clients who want to attract and keep talented people in their workplace. Call Tom Virkler, JD, Director of Advanced Markets, at (706) 614-3796 or tom@cpsadvancedmarkets.com.

For What It’s Worth: Worthy informal idioms don’t go away. They just continue to prove useful in new circumstances. The most common complaint against online food delivery platforms is that the order was cold upon arrival. Of course, the most common courier excuse: It wasn’t hot when I picked it up!

Resize image project - 04 September 2026 at 05.58.15

Key To Success: Answer Your Underwriter’s Questions Before They Ask

If you were an underwriter and received the following application on your desk, what questions would you have?
 
  • Female, age 35
  • Noted to be retired with no annual income; Net worth left blank on the app
  • Seeking $8 million of term coverage; Purpose of coverage left blank on the app
I know you’d be scratching your head wondering why is this woman retired at such a young age and why is she looking for $8 million of coverage?
 
What the producer forgot was a good cover letter explaining the purpose of the coverage. This client just inherited a very large estate and recently quit her job. Estate taxes were a concern. Based on the inheritance, the $8 million applied for was justified.
 
How can we help in this situation?
We are here to provide our expertise when it comes to writing good cover letters. We can even write them for you. We will help explain the purpose of your applications to our carrier underwriters.
 
However, the most important source of information about a proposed insured is you, so we’ll need your help to prove your applications are financially justified.
 
Key information we’ll need includes:
  • What is the purpose of the insurance?
  • How was the face amount determined?
  • Who will be the policyowner and premium payor?
  • What is the current amount of in-force and applied for insurance?
  • Do you have any other pertinent documentation you can provide to explain how the amount of insurance was determined?
Give us the opportunity to help you move your applications smoothly through underwriting. If we answer our underwriters questions before they ask them, who knows?
 
Quicker approvals leading to faster receipt of commissions – then we move on to your next big app waiting to happen.
Resize image project - 02 September 2026 at 11.05.30

LTC Benefits – Won’t Lose It If You Don’t Use It

One challenge with presenting the need for long-term care is that it is viewed as a risk, not a certainty.
 
It’s not that your clients don’t want the coverage, but convincing someone to allocate funds towards something they may never use can be a difficult objection to overcome.

Good news – Asset Based Long-Term Care (LTC) with Guaranteed Premiums paid for life is here.

It allows your clients to use the LTC benefit if needed – and if they don’t, they can leave the death benefit or accumulated value to their estate.
 
Clients receive a guaranteed amount of life insurance. All of which may be used for qualifying long-term care expenses – also, the premium is credited with a guaranteed interest rate, raising the cash value each month.
 
With the use of the OneAmerica Care Solutions® Rate Calculator, financial advisors can run a quote for key Asset-Care individuals anywhere, anytime. Plus, get an easy to understand take-home guide for your clients.
 
Access the OneAmerica® Care Solutions Calculator and run a quote today
 
Contact your LTC Sales & Marketing Team to learn more.
Resize image project - 01 September 2026 at 11.01.10

Avoiding “Sticker Shock” With Disability Income Sales

Ever presented Disability Income Insurance to a client, and found that with one look at the price-tag they are reluctant to purchase?

While it is true that a DI plan could be costly for some – it certainly doesn’t have to be.

Avoid the “sticker shock” with your clients.
 
The general rule for the amount a client should spend on their Income Protection plan is 3% or less of their annual income.
 
If the premium is higher than the 3% amount, the client is more likely to experience “sticker shock” – and, even if you are able to place the policy, the likelihood of it lapsing is much higher. The client will then have no protection and you will not have a renewal commission.
 
How to keep premiums under 3% of a client’s income.
 
1) By adjusting both the Benefit Amount and Elimination Period (EP), you are able to make the policy more cost effective.
  • Adjust the benefit amount to cover just the basic monthly expenses such as rent/mortgage, utilities, groceries, etc.
  • Approximately 75% of fully underwritten policies have a 90-day EP – if your client has enough savings, offer a 180-day EP.
2) Creating a mixture of Base Benefit and Social Insurance Supplement (SIS) coverage, is another solution to keep a client’s premiums low.
  • The idea here is to get the most coverage for the lowest premium. Since the SIS coverage can be offset by Social Security, State DI or Workers Compensation, the premium is less expensive than that of the Base Benefit.
  • A good mixture of SIS and Base coverage can generally keep the premium within a client’s budget, yet provide them with the coverage to ensure their financial stability in the event they are unable to work.
A Fun Fact to share with your “sticker shocked” clients.
 
Over 80% of disability income claims are settled within 5 years because the client recovered and returned to work, or they passed away. In lieu of a less than 20% chance your claim will go past 5 years, a 5-year benefit can be very affordable.*
 
Not every client needs all the available costly riders the carrier offers – choose only the riders that will actually benefit a client.
 
And if in doubt of which rider(s) would be the most suitable – contact your DI Specialists to discuss the best options. We are here to help!
 
*Council for Disability Awareness
Resize image project - 31 August 2026 at 11.17.51

When A Business-Owner’s Qualified Plan Isn’t Enough

“The cobbler’s children go barefoot!” The expression is used to describe situations where people who are skilled at providing something for others often neglect to provide it for themselves or their own family.

But often it is the government preventing adequate self-provision by the person providing for others. Particularly in the case of business owners who provide for employees’ retirement by sponsoring a qualified benefit plan only to find they are restricted from making contributions on their own behalf that are proportionate to their earnings.

But an increasingly popular supplementary retirement strategy for business owners looking for an effective way to build supplementary retirement income is available.

Consider the advantages over what even a qualified plan can offer:
  • Availability of tax-free distributions at any time without early withdrawal penalties.
  • No government reporting or contribution limitations.
  • Complete separation from the business with no obligation to include employees.
  • Tax-free protection in the event chronic illness, a long-term care event, and pre or post-retirement death.
  • Protection from income and estate taxation at death.

Call us concerning clients you have whose retirement goals are not being met, even with maximum participation in available qualified retirement plans:

Tom Virkler, JD, Director of Advanced Markets, at 706-614-3796 or tom@cpsadvancedmarkets.com

For What It’s Worth: No surprise that a colonial cobbler was left with little time for his family. Accounts suggest it took between 8-10 hours to cobble a common pair of shoes. It was some consolation that a cobbler was the only tradesperson who could brag about a product that was soled before it was sold.

Resize image project - 30 August 2026 at 11.33.48

Better Questions. Better Client Outcomes.

Every client is different. Every client’s needs, goals, family situation, budget, risk tolerance, health, and protection concerns are unique. What motivates your clients? And why does it matter?
 
Two big reasons why you want to learn what truly matters to your clients are: 1) You can better design solutions to meet their needs, and 2) You can use this information to motivate your clients to implement your recommendations.

When you know which questions to ask, and learn detail of what your clients would like to accomplish, you start to get a clear picture of what matters most.

You must be willing to ask the discovery questions and be patient with the clients’ responses.
 
A few of the classic, high-level questions are:
  • What do you want your retirement to look like?
  • What kind of legacy do you want to leave?
  • How do you plan on taking care of your children if something happens to you?
Or, you can try a question or two that might normally be outside your comfort zone, such as:
  • What keeps you up at night?
  • What are you most passionate about?
  • What is important to you about life?
You might be surprised what you learn by asking questions you’ve never asked before.
 
Contact your Life Sales Representative today to learn more about the tools and resources we have available for you.
Resize image project - 27 August 2026 at 14.34.35

Selling Across Borders? Let Us Help With Non-Resident Alien Casework!

Some credit George Bernard Shaw with the observation, “England and America are two countries separated by a common tongue,” And playwright Oscar Wilde has one character conclude that, “We have really everything in common with America nowadays, except, of course, the language.”

If just manner of speech creates problems between cultures so similar, then difficulties abound between nations whose the social environment, modes of business and, of course, language are exponentially diverse. And nowhere more than when life insurance sales are attempted across national boundaries.

Policies payable in U.S. dollars are an attractive asset to non-resident aliens, especially those of substantial means. Consequently, sales to foreign nationals can be profitable business. But complications attend.

Consider:
  • How safe is the client’s domicile? – Many carriers will not do business in all or part of some countries.
  • What connection does the client have with the United States? – Carriers differ widely on what constitutes the necessary client nexus, often a sufficient business or blood relationships.
  • Will the solicitation, medical exams, and policy delivery be accomplished in the United States? – All important steps must be completed with the client on American soil.
  • How accessible are the client’s records? – Required offshore medical and lifestyle information must be collected and delivered to the carrier.
  • Are the necessary documents in English? – Many carriers leave it to the agent to arrange for translation.
The additional work is not a problem if you bring your case to us!

We do it all, finding the best carrier for whom all criteria are met and getting the best underwriting offer. Don’t let your next opportunity go out to sea. Bring it to us.

For What It’s Worth: Carriers could have used the English political economist Sir John Browning in underwriting.At the end of his life he could speak over 100 languages and understood 200.

Resize image project - 26 August 2026 at 10.12.06

A Game-Changer for Agents: The Power of Hybrid LTC Annuities

Have clients over 70 sitting on nonqualified assets but can’t qualify — or don’t want to pay — for traditional LTC insurance? You’ve got a powerful option: Hybrid Long-Term Care Annuities.

The LTC Catch-22

The fastest-growing population segment is adults 85+, yet most aren’t financially prepared for a long-term care event. Traditional LTC insurance is often too expensive, too hard to qualify for, or simply rejected by clients who assume they’ll never need it.

But here’s the win: many of these same clients do have nonqualified assets they don’t plan to touch. That’s where you come in.

Turn Idle Assets into Tax-Free LTC Benefits

Nonqualified annuities offer tax-deferred growth—great for retirement, but painful if liquidated for care expenses due to taxes and fees.

Thanks to the Pension Protection Act, hybrid LTC annuities funded with nonqualified dollars allow clients to access LTC benefits tax-free. No penalties. No income tax hit. And if LTC isn’t needed? The remaining value goes to their beneficiaries.

Why Agents Should Act Now
  • Simplified underwriting – ideal for clients who can’t qualify for traditional LTC.
  • No “use it or lose it” – funds not used for care pass to heirs.
  • Urgency matters – the older the client, the more difficult approval becomes.

Don’t let these opportunities sit idle. Contact your LTC Specialists today to help your clients turn dormant assets into living benefits.

Resize image project - 25 August 2026 at 12.18.27

Introducing A One-Way Disability Buy-Out Policy For Business Owners

The average business owner is not prepared to have a spouse or relative step into the business in the event that they were unable to work.
 
In most cases, any business owner would prefer passing responsibilities to someone who already understands the business and will know how to keep it profitable.
 
Issue a disability buy-sell option for your sole-owner business clients called a One-Way Buy-Out. Offers the flexibility to allow a key employee of the business to purchase Disability Buy-Out (DBO) insurance to fund a buy-sell agreement between him/her-self and the owner of the business.
 
The process is very similar to that of a life insurance policy that funds a buy-sell agreement. The difference is, your business owner clients have an eight times greater likelihood of becoming disabled during their working years than passing away.
 
Advantages of One-Way Disability Buy-Out Insurance:
  • The disabled business owner is protected by obligating the Key Employee purchaser to buy-out the owner’s interest
  • The Key Employee purchaser is protected by providing the opportunity and funding to purchase the disabled owner’s interest
  • Prevents the sole-owner from having to find an individual to buy the business while he/she is totally disabled
  • Provides a smooth transition of ownership
  • Benefits are tax-free (premiums are not deductible)
Contact your Disability Insurance Specialist for more information on how to properly develop a Disability Buy-Sell Agreement between the business owner and key employee.

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