Insights

Private placement life insurance (PPLI) and private placement variable annuities (PPVA) offer high-net-worth individuals and institutions powerful tools for tax deferral, wealth accumulation, and estate planning. But while most discussions focus on tax efficiency, investment flexibility, or structuring strategies, there’s one critical element that underpins every well-designed private placement policy: reinsurance.

This month, our “get to know” series travels to South Dakota and introduces you to an IPL team member who helps to make sure all the numbers are adding up correctly. This month, we sat down and talked to Denise Bartlett.

Read on to learn more about Denise, how she came to join us here at IPL, what she wished more people knew about PPLI and, of course, what she’s watching on TV these days.

When most people think of Financial Literacy Awareness Month, they picture budgeting apps, credit scores, or the power of compounding interest. But for families with significant wealth, and the professionals who advise them, financial literacy goes far beyond those basics.

This month, our “get to know” series once again moves beyond the walls of IPL’s offices as we introduce you to one of our partners. This month, we sat down and talked to Rohe Levy, President Rohe Levy Financial and Insurance Services, Inc.

Read on to learn more about Rohe, how he came to his current position, what he wishes more people knew about PPLI and, of course, what he’s watching on TV these days.

When it comes to sophisticated financial strategies, combining Private Placement Variable Annuities (PPVAs) with Charitable Remainder Trusts (CRTs) can create a win-win scenario for high-net-worth individuals. This approach not only allows for tax-efficient wealth growth but also amplifies charitable giving, making it an ideal solution for those seeking to balance personal financial goals with philanthropic aspirations. Let’s explore how this powerful combination works and why it might be a great fit for an estate plan.

This month, our “get to know” series once again moves beyond the walls of IPL’s offices as we introduce you to one of our partners.  This month, we sat down and talked to Rachel Beck, Chief Financial Officer at Finch Investment Group, LLC ("FIG").

Read on to learn more about Rachel and FIG, how she came to her current position, what she wishes more people knew about PPLI and, of course, what she’s watching on TV these days.

This month, our “get to know” series introduces you to an IPL team member who makes sure all the numbers are adding up. This month, we sit down and talk to Stephania Pazmino.

Read on to learn more about Stephania, how she came to join us here at IPL, what she wished more people knew about PPLI and, of course, what she’s watching on TV these days.

This month, our “get to know” series once again moves beyond the walls of IPL’s offices as we introduce you to one of our partners.  This month, we sit down and talk to Sam Malik, Chief Insurance Officer at Arta Finance.

Read on to learn more about Sam and Arta Finance, how she came to her current position, what she wishes more people knew about PPLI and, of course, what she’s watching on TV these days.

This month, our “get to know” introduces you to the IPL team member who makes sure everything we do is done with the highest level of compliance. This month, we sit down and talk to Alex Phillips.

Read on to learn more about Alex, how he came to join us here at IPL, what he wished more people knew about PPLI and, of course, what he’s watching on TV these days.

This month, our “get to know” takes a bit of a different form as we introduce a father-son pair!  This month, we sit down and talk to Doug and Jonathan Gerrard of Gerrard Advisors. 


Read on to learn more about Doug and Jonathan, how they both came to work in the industry (and with each other), what they wish more people knew about PPLI and, of course, what their watching on TV these days.

It can be difficult and costly to purchase life insurance at older ages. However, sometimes changing circumstances in your estate planning would be well-served by obtaining additional coverage. One potential way to solve this problem is to look at how you may be able to maximize your existing in-force policies.

Meet George.  He is 70 and has retired from a very successful career as a partner in a major international law firm.  As part of earlier estate planning, he created a grantor dynasty trust (the “Trust”) that currently holds $90 million in liquid investments and a retail insurance policy with a $30 million death benefit.

This month, our “get to know” introduces you to theIPL team member who is key to making sure the proverbial trains are running on time and allows the team to provide the most innovative solutions to our clients. This month, we sit down and talk to Regan Riley.

Read on to learn more about Regan, how she came to IPL, what she wishes more people knew about PPLI and, of course, what she’s watching on TV these days.

When working with successful individuals on their planning, a common refrain you hear as an objective is securing a legacy for future generations.  The question is, how?

One option is the Investors Preferred NextGen Annuity.  To show how this product can help fulfill the desire to create a legacy for future generations, let’s walk through a sample application.

This month, our “get to know”series moves beyond the walls of IPL’s offices as we introduce you to one of our partners.  This month, we sit down and talk to Francisco Soler, Senior Vice President and Chief Investment Officer at MAS Advisors, LLC.

Read on to learn more about Francisco and MAS Advisors, how he came to his current position, what he wishes more people knew about PPLI and, of course, what he’s watching on TV these days.

One of the basics of finance that is commonly used to help demonstrate the power of saving and investing, and doing so at an early age, is the power of compounding interest.  Compounding interest is when interest is applied not only to a principal amount, but also to the interest that has already accrued on that principal, making the total grow faster.

Today, we want to talk about a private placement life insurance (“PPLI”) version of this concept – the power of tax-free compounding.

This month, our “get to know” introduces you to another one of the IPL team members who helps make our service the best in the industry.  This month, we sit down and talk to Ashley Lahners.

Read on to learn more about Ashley, how she came to IPL, what she wishes more people knew about PPLI and, of course, what she’s watching on TV these days.

This month, our “get to know” series moves beyond the walls of IPL’s offices as we introduce you to one of our partners.  This month, we sit down and talk to Charles Arnold, Chief Marketing Officer at The Leaders Group.

Read on to learn more about Charles and The Leaders Group, how he came to his current position, what he wishes more people knew about PPLI and, of course, what he’s watching on TV these days.

A private placement variable annuity (PPVA) contract is issued to the owner from the insurer after the insurer approves the application and the owner remits premiums to the carrier.  Premium payments can be in the form of cash or in-kind (in-kind premiums such as property or securities in kind are subject to taxation on any gain in value at the transfer from the contract owner to the insurer’s separate contract account).

A Private Placement Variable Annuity (PPVA) is for affluent individuals and families who are interested in making tax-inefficient investments in a tax-efficient environment.  PPVA is most often viewed as a wealth management structure and a savings tool to allow a contract holder to reduce taxation on funds earmarked for the future.

Private Placement Variable Annuities (PPVAs) are popular for those high-income individuals who intend to retire to a lower tax jurisdiction.  For example, a New York State resident who plans to move to Florida can defer the income tax on their investment gains until they have relocated to a lower-tax jurisdiction, at which time they would take distributions and pay a lower effective tax rate.

A Private Placement Variable Annuity (PPVA) is the use of an annuity structure by an accredited investor and/or qualified purchaser to apply the tax benefits of an annuity to one or more single investments or to a customized portfolio.

This month, our “get to know” series introduces the world to another of our amazing team members who works behind the scenes, Rishabh Mohta.  Rish is an Associate Actuarial Analyst.

Read on to learn more about Rish, how he came to the United States and IPL, and what on his TV to-watch list!

This month, our “get to know” series introduces the world to one of our amazing team members who works behind the scenes, John Fernado Rio.  John is an Accounting Manager and is one of the longest tenured employs at IPL.

Read on to learn more about John, how he came to IPL, and what he’s watching on TV!

Private placement life insurance (PPLI) is institutionally priced and typically has a lower cost structure than traditional life insurance products. A policyholder may expect the following policy fees...

This month, our “get to know” series has a little twist.  Rather than talk to someone within IPL, we interviewed someone at another company with whom IPL works very closely - Dave Reynolds, the Chief Marketing Officer at Spearhead Administrative Services.  

Read on to learn more about Dave and Spearhead Administrative Services, including how they work with IPL, how Dave got to his current position and what he enjoys doing in his free time (including how he got into improv).

A policy is issued to the owner from the insurer after underwriting approval of the insured and acceptance by the owner, who then remits premiums to the carrier.  Premium payments can be in the form of cash or in-kind (in-kind premiums such as property or securities in kind are subject to taxation on any gain in value at the transfer from the policyowner to the insurer’s separate policy account).

The Private Placement Life Insurance (PPLI) Investor Control Doctrine is a legal concept that defines the level of control a policyholder has over the investments held within a PPLI policy. The doctrine establishes that for a PPLI policy to qualify for favorable tax treatment, the policyholder must not have "investor control" over the policy's underlying assets.

That's right, this fall we arecelebrating 10 years of providing private placement solutions for wealthpreservation planning.  To celebrate, we asked our team (pastand present) to answer two questions:  

1.  In your opinion, what has been the highlight of IPL's first decade?
2.  Now looking ahead, where do you see IPL heading in the next 10 years?

We continue our series where we get to know someone with Investors Preferred Life a little better by sitting down with our new President, Nikki Pethtel.  Nikki tells us about her journey to this new role, explains what she wishes more people understood about PPLI, shares some career advice, and gives us a peek into her non-work life.

The Variable Life Insurance Diversification Requirement is a regulatory rule established by the U.S. Securities and Exchange Commission (SEC) that requires variable life insurance policies to invest in a diversified pool of securities.

InvestorsPreferred Life Insurance Company (“IPL” or the “Company”), a premier providerof private placement life insurance and annuities, is pleased to announce that Nikki Pethtel has been named President of IPL. Ms. Pethtel succeeds Tommy Mayes, who will remain on the Board of Directors of IPL.

Welcome to our new series where we get to know someone within the Investors Preferred Life a little bit better.  First up, we learn how Anthony Stanek came to join us here at IPL, what he wishes more people knew about private placement and what he is watching on TV these days.

Private placement life insurance (PPLI) can permit a variety of investment types, depending on the insurance company offering the policy and the investment strategy chosen by the policyholder.

AM Best has assigned a Financial Strength Rating of A- (Excellent) and a Long-Term Issuer Credit Rating of “a-“ (Excellent) to Investors Preferred Life Insurance Company.

Private Placement Life Insurance (PPLI) can be used in a variety of ways, depending on the policyholder's specific financial goals and objectives. Here are a few common uses of PPLI.

Private placement life insurance (PPLI) is reserved solely for an accredited investor and/or qualified purchaser - an individual or entity who is allowed to deal, trade and invest in financial securities and satisfy one or more requirements regarding income, net worth, asset size or professional experience.

Private Placement Life Insurance (PPLI) is a type of life insurance policy that is typically offered only to policyholders who meet the Internal Revenue Code’s definition of an accredited investors and/or qualified purchaser or are an institutional investor.   PPLI policies are customized, flexible, and tailored to the unique needs of each policyholder.  It is typically used as part of an overall wealth management strategy to help preserve and transfer wealth to future generations.

By Tommy Mayes

A new team member has joined Investors Preferred as part of the firm’s ongoing growth initiative.

By Alan Jahde, JD, LLM (taxation)

Investors are often programmed to think it’s almost never a good idea to take early withdrawals from a retirement account. It’s the role of advisors to help them understand when it might actually make sense to take the funds and accept the tax liability.

In these scenarios, advisors often recommend that their client move to a Roth IRA and pay the tax upfront on conversion.

But awareness is growing about an alternative solution: a “stretch annuity.” This is an expanded use of a private placement variable annuity (PPVA), and it may allow ultra-high-net-worth (UHNW) families with significant retirement accounts to defer and stretch the tax bill over multiple generations.

By Alan Jahde, JD, LLM (taxation)

Oil and water, tinfoil and microwaves, pineapple and pizza (yes, I went there!) – these are just a few examples of things that simply don’t work together.  

In the wealth preservation planning arena, some advisors would add annuities and generational transfer planning to the list I started. It’s an understandable misconception since traditional use cases for annuities are quite narrow. But the reality is this: A private placement variable annuity (PPVA) can be used in a variety of unique ways that support specific planning goals.  

One of the use cases for PPVA we’ve been speaking to a lot of advisors about lately is the “stretch annuity.”

By Tommy Mayes

Often I am surprised to hear how many public speakers and other people who have to present to large groups consider themselves to be introverts. I am also an introvert, so I thought I would share a few observations and recommend follow-up reading. Regardless of whether you are an extrovert or an introvert, you need to develop the skills and emotional intelligence to work with both.

By Tommy Mayes

For several years now, Investors Preferred has been named one of the fastest-growing life insurers. The same is true for 2021, as recently shared by Life Annuity Specialist.

By Alan Jahde, JD, LLM (taxation)

At Investors Preferred, while working with advisors of ultra-high-net-worth (UHNW) clients, we often hear comments of adversity toward the “i-word” (insurance).

Why would an UHNW individual or family decide to purchase a private placement insurance policy or annuity?

As with most investment structures, this is a solution for specific planning requirements. The short answer is private placement policies are cost-efficient and offer institutional pricing. Therefore, almost 100% of premium paid accrues to cash value in the early years. But, that’s just the high-level response; in this blog I’ll expound upon these important features, which make private placement insurance a valuable tool for wealth planning.

By Alan Jahde, JD, LLM (taxation)

My first experience with life insurance was as a recent college grad: single, no kids, and no pets. I have no idea why I bought life insurance at the time, other than the agent was a friend and I thought it’d help my chances of going on a date with her. Eventually I dropped the policy, the premium I had paid was wasted, and no cash value had accrued. It was an expensive lesson.

Unfortunately, experiences like mine and the variability of costs associated with the traditional life insurance products has contributed to many advisors being unable to get past their dislike of insurance products. Because the “i-word” has become taboo, they may not even consider how non-traditional insurance solutions, like private placement, could help with wealth preservation planning for their ultra-high-net-worth clients.

By Tommy Mayes

I know Alan best for his deep experience in private placement life insurance and, “How can we make this happen?” approach to any challenge.

That’s why it was so fun to read this new interview with him– even I learned several new things about the man I spend hours with each week!

By Nikki Pethtel

An article published by Financial Advisors showcases how the firm has pioneered the concept of non-comingled SMAs over the past five years.

By Tommy Mayes

Life Annuity Specialist released its final data for 2020, which puts Investors Preferred at the top of the list for largest sales gains last year.

By Tommy Mayes

Founder and CEO Alan Jahde was interviewed for an article about how President Biden’s tax plan could impact the life insurance and annuity industries.

By Tommy Mayes

Life Annuity Specialist’s early look at 2020 data from the life insurance industry puts Investors Preferred among the top 5 firms for largest sales gains.

By Alan Jahde, JD, LLM (taxation)

An interest rate change with dramatically positive impacts for life insurance purchasers, carriers, and the industry overall was buried in the 5,600+ page U.S. Consolidated Appropriations Act passed in December.
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What does it all mean?

By Alan Jahde, JD, LLM (taxation)

S&P Global Market Intelligence noted the firm in its annual rankings.

By Alan Jahde, JD, LLM (taxation)

Published by Financial Advisor, this interview covers how advisors can use private placement life insurance to address complex high net worth wealth planning needs.

By Alan Jahde, JD, LLM (taxation)

S&P Global Market Intelligence noted the firm in its annual rankings.