Douglas Andrew is a well-respected author and lecturer, with his Missed Fortune principles inspiring many. In his workshops and lectures, Douglas Andrew stressing the liquidity, safety of principal, and rate of return of maximum funded tax-advantaged life insurance. Today, Douglas Andrew talks to the staff at Aicube about finding success with the tips outlined in Missed Fortune’s workshops and videos.
Aicube: Is there a time when someone doesn’t have success with a maximum funded tax-advantaged life insurance policy?
Douglas Andrew: Well, in my experience, the number one reason someone would not experience success with a maximum funded tax-advantaged life insurance policy would be if it were structured incorrectly. As I always state, these contracts must be structured to comply with the Tax Equity and Fiscal Responsibility Act of 1982 and the Deficit Reduction Act of 1984.
Aicube: You also state in your workshops that a contract won’t be successful if it isn’t funded correctly.
Douglas Andrew: As an example, say someone has structured a policy to hold five million dollars, we need to get all five million dollars in there. If we can’t get all five million in there, we need to restructure it.
Aicube: What happens if someone has structured a policy for a certain amount but ends up putting more in?
Douglas Andrew: In this case, we recommend the person buy a second life insurance policy.
Aicube: Is there a limit to how many life insurance policies one person can have?
Douglas Andrew: Just as in real estate, a person can build as many buildings as he or she can afford. With life insurance, a person can buy as many as he or she needs, based upon that person’s resources.
Aicube: What about taxes?
Douglas Andrew: That is another reason some of these policies fail. A policy needs to be structured, funded, and executed to be tax-free.
Aicube: How can a person do that and still be compliant with the IRS?
Douglas Andrew: This is where our wealth architects can help. We follow TAMRA tax laws, which allow our clients to comply with sections 72e, 7702, and 101a.
Aicube: Are there other reasons a person might not be successful?
Douglas Andrew: We’ve seen individuals choose the wrong product or the wrong company. Another factor that is critical is finding someone who is proficient in maximum funded tax-advantaged life insurance. If you choose the wrong advisor, you’ll have to explain all of this.
Aicube: If someone knew it that well, that person wouldn’t need an advisor.
Douglas Andrew: No, you still need to be licensed to buy insurance yourself. But most people don’t have time to become experts in all of this, which is why it’s important to choose a true licensed expert.
Aicube: Are there many advisors who are experts in this?
Douglas Andrew: Not at all. In fact, most financial advisors specialize in other areas—99% focus on stocks, bonds, and other strategies.
Aicube: So how does someone know what to look for in a company or advisor?
Douglas Andrew: I explain that in many of my videos and workshops, but it’s imperative to find the right wealth architect who will work with you to create the right plan for your needs. My firm is the leading expert and can certainly do this for you.
Douglas Andrew regularly hosts workshops to help others understand the Missed Fortune philosophy. Through his books and videos, Douglas Andrew has helped many to find wealth and financial security.