A non-modified endowment life insurance contract permits access to its accumulated cash values for funding life events, emergencies and discretionary spending. Whether it’s for personal, business or legacy planning, cash value life insurance in tandem with the strategy of Your Family Bank, can be the cornerstone of your financial foundation.  The Arbitrage of Good Debt When you’re borrowing from your life insurance policy at 2-3%, your borrowing cost is low, lower than almost every other lending institution. Not even margin accounts are that low. Can you exceed that borrowing cost with your investment? Is the investment conservative? Have you taken a risk tolerance test? Remember, bad debt for depreciating items is double indemnity for good money. Tax Favored Treatment Earnings accumulate tax deferred.  Distributions are tax free and may be transferred to the next generation or the next generation after that or to a favorite charity, tax free. Defeating taxes on every government level is a worthy goal. There are few financial products that can achieve such a broad application in tax defense. The Low Opportunity Cost of Money Interest driven investments like CDs, fixed rate annuities or participating whole life have earnings that are the measuring stick for investing.   Read more…