About Mark Pace

T. Mark Pace

When there is an immediate need for cash at the time of someone’s death, it has been my experience that life insurance, when properly acquired and managed, is one of the best tools ever invented for the creation and transfer of wealth. However, life insurance is rarely acquired properly and, because it is mistakenly assumed to be a "buy and hold" asset, it is never managed. The resulting financial disasters are far too frequent and completely avoidable.

If you would like to learn more about any Pig-in-a-Poke blog posts or discuss any other life insurance issues, contact T. Mark Pace at Mark@objectivereview.com

 

Subscribe to Pace's Pig-in-a-Poke Blog

Email Newsletter icon, E-mail Newsletter icon, Email List icon, E-mail List icon Enter your email to subscribe
For Email Marketing you can trust

Pace’s Pig-in-a-Poke

About Pace’s Pig-in-a-Poke

Pace’s Pig-in-a-Poke, provides an arena for sharing the four great passions in my life. My three foundational passions are:

  1. Invest in yourself first;
  2. The genius in all of us, and;
  3. We can all live a long healthy life.

These three support my life work and my fourth passion; LIPM™ (Life Insurance Property Management).

As the blog title suggests, my focus is on debunking all of the myths, misuse, and muddled thinking that has accumulated in the life insurance industry. And, from time to time, I will go outside of the specific world of life insurance and share my views on my other three passions.

I hope you find my blog worthy of your attention, informative, and occasionally inspirational. I welcome your comments, questions and suggestions.

Category: Uncategorized
Mark Pace

News Update: Risk Parameters in Longevity Markets

Understanding the impact longevity has on life insurance performance management is key to making life insurance work at its very best.  The following article provides some interesting insight into longevity-related risk parameters.

Risk Parameters in Longevity Markets

by Michael Fasano

The 20th century witnessed a steady improvement in life expectancy, with U.S. life expectancy at birth (both sexes) increasing from 47 years at the beginning of the century to 77 years at the end.

Improvements in the first part of the century were significantly affected by reduction in mortality from infectious diseases due to better sanitation, refrigeration of foods, widespread use of vaccinations and the development of antibiotics; while mortality in the latter part of the century was reduced by better diagnostics, new treatment protocols and mitigation of risk factors affecting cardiovascular disease.

Continue reading
Mark Pace

What the home office doesn’t know can hurt you

Caution needed when changing GUL and UL payment modes

When you ask the home office to change a GUL or UL payment mode from an annual to monthly, quarterly, or semi-annual payments they will say “No problem.” All you have to do is divide the annual premium by 12 to get the monthly premium since there is no modal factor like a whole life or term policy.

Continue reading
Mark Pace

Crossing The Great Divide

The untold history of life insurance underperformance

Everything changed in 1979

For 240 years prior to 1979, the Life Insurance Industry had successfully sold one type of  permanent coverage known as whole life. Whole life policies were simple; the premium and death benefit were guaranteed and if you paid the premium, you got the death benefit… no matter when you died. The only thing that could potentially cause a whole life policy to fail, other than neglecting to pay the premiums, was misusing the right to borrow from the policy.

Continue reading
Mark Pace

News Alert: Estate tax law sparks abandonment of billions in valuable assets

Individuals with a networth of $5.25 million or less and families with a net worth of $10.5 million or less may be throwing the baby out with the bath water as they dump the life insurance policies held in an ILIT (Irrevocable Life Insurance Trust) for estate tax purposes.

Continue reading
Mark Pace

Beware of wolves in sheep’s clothing crying “wolf”

The Poke

It starts innocently enough.  At or near the end of October, an agency owner walks into a life insurance agent’s office and asks, “So, what do you think your year end numbers will be?”

Continue reading
Mark Pace

What is compounding self-interest and why should you care?

The Poke

Every wise investor knows and loves the miracle of compounding interest. The Motely Fool says, “It's very much like a snowball effect. As your capital rolls down the hill it becomes bigger and bigger. Even if you start with a small snowball, given enough time, you can end up with an extremely large snowball indeed.”

Continue reading
Mark Pace

How many ways do your perceptions hold you back?

 

“…human beings act in accordance with the underlying structures in their lives.

Some structures are more useful than others in leading to desired results.

Rather than asking, ‘How do I get this unwanted situation to go away?’ you might ask, ‘What structures should I adopt to create the results I want to create?’"

Robert Fritz

Continue reading
Mark Pace

Gratitude can break the bad news cycle

The Poke

While driving my car this past weekend, I turned on the radio and listened to a newscast. The stories went from bad to worse to bleak to near hysteria… the last being about the weather.

Continue reading
Mark Pace

Do you keep cool under Q4 sales pressure?

 

The Poke

Stop me if you’ve heard this one…

Late one November, an insurance advisor makes an urgent client call. “Mr. Smith, you’re a great client so I thought I would give you the heads up on the rate increases the insurance carriers are planning to push through in January.”

Continue reading
Mark Pace

Enjoy yourself; you’ve longer than you think!

 

The Poke:

What is your life expectancy?

If you are like most people, your answer to this question is too low.

While the life expectancy data published annually is accurate, meaningful and a key component in how actuaries arrive at the cost of life insurance, its relevance to your life expectancy decreases with each passing year.

Continue reading
Mark Pace

ILIT Grantors versus Beneficiaries: Whose side are you on?

The Poke:

In these litigious times, the one mistake that will get you successfully sued most often occurs after you agree to be a trustee of an Irrevocable Life Insurance Trust (ILIT).

Continue reading
Mark Pace

What’s up with internal replacement of old policies?

The Poke:

We are beginning to see some carriers are sanctioning and paying commission on internal replacement…  which of course leads us to speculate that something must be going on here.

Internal replacement simply means replacing an old policy with a new one from the same carrier. Advisors lean towards replacement as they tend to believe newer policies are better policies and it is in the owner’s best interest to replace old ones… if the carrier allows.

Continue reading
Mark Pace

When is a guarantee not a guarantee?

Beware of potential issues with GUL policies

The Poke:

Many advisors and life insurance owners believe Guaranteed Universal Life policies need no ongoing management. They assume that as long as the premiums are paid, nothing can go wrong and the death benefit is always guaranteed.

Continue reading
Mark Pace

Beware! Term conversion is not what it used to be

The Poke:

There once was a time when you could count on converting most level term life insurance policies into permanent policies at anytime during the level term period of the policy. And, generally speaking, you could convert to almost any one of the permanent life insurance products available from that carrier at the time of conversion.

Continue reading
Mark Pace

Poor underwriting ratings not etched in stone!

Health impairments are not the end of the life insurance world…

The Poke: Many advisors and brokers will tell you that once a case has been brokered for a person with health impairments seeking life insurance, whatever rating the insurance company comes back with is the best you can ever expect. Even if the case has been shopped aggressively – e.g.: the broker sent it to 10 carriers – once you are rated, that’s it, game over, tout fini!

Continue reading
Mark Pace

Big cases are rarely sweetheart deals!

Achieving the best possible results when placing large life insurance cases requires much more advocacy on the part of the agent or advisor than most people expect or even understand is possible… especially when the insured is getting on in age.

Continue reading
Mark Pace

One of the safest, highest return investments you may not be taking advantage of!

People who have borrowed money from older, participating, whole life policies are likely missing an opportunity to take advantage of some very high earning potential.

Continue reading
Mark Pace

The downside of equity index life insurance

Life Insurance product designers and agents are some of the most creative individuals in the world. This can be good when their creativity is applied to solving problems with life insurance.

But, when creativity is taken to the extreme and they focus solely on selling more policies to maintain or increase profits, very fine and valuable products are manipulated in a manner that, while generating a sale and a commission, will often never generate the results the life insurance owner expects and, more importantly, needs.

Continue reading