It's one more question, that if you just add to your year-end client questionnaires, or ask your client directly, could mean the difference between a smoothly coordinated life insurance portfolio or one that comes crashing down on your client's family at a time when they are older and potentially unable to remedy the problem due to their older age or failing health.
Here is the question: WHEN WAS THE LAST TIME YOU REVIEWED YOUR LIFE INSURANCE POLICY?
An overwhelming majority of the time, maybe to your surprise, your client is going to respond, "It hasn't been reviewed in years."
While the client has been diligent about reviewing and re‑balancing their investment portfolio not a thought has gone into the life insurance policies. Why? They don't know what they don't know! They mistakenly thought it was a "set it and forget it" component of their financial plan. It's not.
Unfortunately, life insurance policies don't work like that.
And so that one extra question to your client, which shows you care about them beyond just completing their tax returns, could be the difference‑maker in preserving millions of dollars for their heirs ‑‑ which might even be more savings than your tax advice had ever rendered.