How to Buy the Best Infinite Banking Policy

Are you shopping for an Infinite Banking policy, but want to first make sure you have the correct policy design with the right life insurance company and a team you can trust? In this episode, we dive deep into the Infinite Banking concept and discuss the importance of choosing the right mutual insurance company and working with a like-minded advisor or agent team. https://www.youtube.com/watch?v=aUwFuc7NCec Join us as we share our insights and experiences to help you better understand and implement this powerful financial strategy in your own life. If you want to say goodbye to second-guessing and regret, and make Infinite Banking decisions with certainty and confidence, tune in today! Building Confidence Through EducationHow to Choose the Best Insurance Company1. Choose a Mutual Company2. Look at Financial Ratings3. Do They Have a History of Dividends?4. Customer ServiceHow to Choose the Best Producer/TeamThe Five Tenets of IBCHow Does Your Advisor Support You? How to Buy the Best Infinite Banking Policy1. Choose Whole Life Insurance2. Paid-Up Additions3. Apply Dividends to Cash ValueBook A Strategy Call Building Confidence Through Education Finances can be a tough space to navigate because money is deeply personal, and everyone has different opinions. That’s why we value providing education–because we want to give people the tools they need to build confidence and make their own decisions about money.  Confidence allows you to take action and build trust, and create a positive cycle. You learn more, become more confident, take more action, and build more trust. This simple, small shift allows you to be at the helm of your financial choices, rather than shifting responsibility off your plate completely. How to Choose the Best Insurance Company If you’re interested in Infinite Banking, based on our material or something you’ve heard elsewhere, you may have questions on how to do it “right.” While this can vary depending on your personal money goals, there are some general rules of thumb to follow when you buy a life insurance policy for IBC purposes. Let’s go over them together.  1. Choose a Mutual Company A mutual company means that the insurance company is owned by the policyholders. In order to benefit from dividends, this is the type of company you want to work with. As a partial owner, you get to participate in all profits. While not guaranteed, mutual companies tend to run a tight ship and make very conservative long-term decisions. You can expect them to profit.  The other option is to choose a stock company, which is beholden to shareholders. These shareholders may not even have a policy with the insurance company. This can drive stock companies to make riskier, short-term decisions that aren’t always in the best interest of policyholders. You also don’t get those dividends if they do turn out okay.  2. Look at Financial Ratings In addition to being a mutual company, you also want to work with a company that has a solid financial history. A good track record suggests that they know how to manage risks long-term, and can continue to do so for 30+ more years.  You can check a company’s financial rating in any of the major rating services: Standard & Poor, AM Best, Fitch, and Moody’s. A company with at least a 90% rating is a good company to work with.  3. Do They Have a History of Dividends? Another benchmark of a good mutual insurance company to work with is its history of paying dividends. This indicates that they have good long-term vision, and are capable of turning a profit even in dire economic landscapes. Many mutual companies have paid dividends every year for the last hundred years, which means they turned a profit during major wars, recessions, depressions, and the housing crisis.  This is a great indication of good stewardship and consideration for policyholders. So be sure to choose a company that has a solid record of profit.