Overfunded Life Insurance at Life

Overfunded Life Insurance. What is overfunded life insurance? Overfunded life insurance may be right for retirement, but if you do not need the cash value in the early years of your policy, a traditional whole life policy could be the most ideal.

Ad access any form you need. Overfunded life insurance, or oli, is essentially a permanent life insurance policy, such as a whole or universal life plan, in which a policyholder has paid higher premiums than what is necessary to maintain the death benefit. Ad access any form you need.

Do You Really Want That Overfunded Cash Value Life

For clients that have the means to invest more and who are focused on mitigating taxes in retirement, overfunded life insurance offers a valuable third option. Permanent policies like whole life insurance or universal life insurance have cash value attached, so by overfunding, you contribute more to the cash value. So, by overfunding your policy, you contribute more to the cash value. I was recently on a call with one of my agents (and friends) in california helping him as he discussed iul with one of his clients.