There was a couple that had some concerns about the financial impact if the other passed. The wife, a retired nurse, had personal experience with the financial impact of a family and patient passing. The couple agreed they needed to make sure they had ample life insurance coverage if this impact ever became a reality.
The biggest issue – because the husband had cancer 6 years ago he was considered a high-risk individual. After further research, we found an insurance company that was able to insure him based on his medical history, but with a higher premium cost.
In order to accommodate the premium, we decided to restructure their current financial portfolio to create cash-flow that would enable them to pay for the policy without utilizing any of their funds from their paychecks.
By paying down on their current mortgage to a conforming loan balance and investing a portion of assets into specific yielding instruments with tax benefits, we were able to create cash flow that would pay for the insurance premiums for the life of the policy.