Backdating to save age

He is paying ,000 a year for a backdated permanent policy that he needs for estate tax purposes. The difference in cost is 00 a year so by the fourth year he will be saving 00 a year over a current dated policy.

Always make sure you do the math if you are near your birthday or half birthday for age nearest companies. For instance, Lincoln Financial is following suit with a lot of other companies and replacing their no lapse guarantee universal life with a higher priced product.The deadline for an application for the old, lower priced product is the end of the month.If you wait until next month you can’t backdate your policy to take advantage of the lower priced product.Some states will the amount of backdate to six months.A couple other important points about backdating and health insurance.His parents both lived into their 90’s so for the sake of this example let’s say he lives to 95, 20 years.

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