When it comes to being attentive and analytical and paying for advice and counsel, your clients go to great lengths to make sure they are entering into sound transactions and their capital is being utilized wisely.
Paying fees, sometimes significant, to bring in professionals and specialists to vet deals is commonplace. In fact, to not do so would often be considered reckless. Imagine the details of a multi-million real estate transaction, business acquisition or private equity deal. How many clients would solely lean on their own experience and expertise to dissect the minutia of these significant negotiations? How often would they move forward with a closing based solely on the commentary of the seller or deal maker?
Of course these are rhetorical questions. Why then is life insurance treated so differently? I’ve seen $100,000,000 portfolios put together with no independent or objective advice or opinion. It’s ludicrous. Most people realize this but don’t know exactly what to do about it. It’s easier to ask questions when one knows something about the topic at hand but when it is largely a mystery, putting one’s head in the sand is often the default action.
Treating a life insurance like the financial transaction it is and bringing in counsel to assure it is vetted, built and managed as well as it can be should be viewed no differently than any other meaningful transaction.
