Frequently Asked Questions (FAQ)	Send this page to a friend

How Does It Work?

Essentially, it works this way:

• You apply for sufficient life insurance, in a specially-constructed policy with unique characteristics, to approximate the income you wish to provide for your spouse. Your spouse is your beneficiary. Of course, the younger you are, the lower the premium is likely to be. This insurance is subject to your insurability and the company's underwriting requirements;
• At your retirement, you take the maximum income pension option (the 100% benefit during your lifetime) or, perhaps, a somewhat lower Option to provide a 50% benefit to your spouse. You receive one of these higher incomes as long as you live. The insurance amount replaces income your spouse does not receive at your death by having elected either of the above Options;
• If you predecease your spouse, he/she receives the life insurance proceeds--which may be paid in the form of a guaranteed monthly income for life (or even longer);
• If your spouse predeceases you, there are a number of favorable choices you have to continue as you are, continue a portion, and/or to extract cash from the policy;
• In either of the last two instances, there is a good probability that there will still be considerable income to go to whomever is important to you.