Life Insurance Funding Analysis Exhibit

By Susan J. Bruno, CPA/PFS

John Q. Sample



Life Insurance Funding Analysis



March 2010






XYZ Life Insurance Co. Universal Life Policy

Current death benefit:




1998 ILIT


Policy date:



Policy number:



Policy loan amount



Cash value as of  02/05/10:



Cost basis:



Policy current/minimum interest rate:

4.5%/4.5% *


 Estimated internal rate of return (IRR) if insured had died in 2009:






Estimated level premiums (provided*):



  Current (to age 86)



  To support policy to age 90



  To support policy to age 95



  *Per illustrations run July Sept. 09



Duration of policy with scheduled premiums

 Lapse on 6/1/19


Original estimated duration of policy

 Lapse on 12/1/20


Duration of policy with 0 future premiums

 Lapse on 2/1/14


* As-sold illustration assumes a 6.5% crediting rate.





John Q. Sample



Date of Birth



Age as of March 2010



Life expectancies

 As of Jan. 2010 report


  Company A

 74 months, 6.2 years


  Company B

 79 123 months, 6.6 10.3 years


Note:  See full report from company



This exhibit accompanies the Personal Financial Planning column in the June 2014 issue of The Tax Adviser.

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