More Than a Policy: Life Insurance as a Wealth Strategy
eBook by Mike Doniger explores insurance as an asset class
Many people think of life insurance simply as a safety net for their families in case the unthinkable happens. And while protection is critical, boxing in permanent life insurance like this obscures the bigger story: The right life insurance strategy can do far more than protect, it can build wealth, create liquidity, and establish a legacy that extends for generations.
Optifino CIO Michael Doniger’s eBook “More Than a Policy: Life Insurance as a Wealth Strategy,” explores how modern life insurance planning has evolved from a transactional product sale into a sophisticated component of modern wealth management.
Why It Matters Now
According to LIMRA, (source) more than 74 million Americans still lack coverage, and another 25 million are underinsured. Even among policyholders, too many own policies were “sold” rather than strategically designed. With Regulation Best Interest (Reg BI) expanding into life insurance, advisors are now required to act in their clients’ best interest (source). That means it’s no longer enough to provide coverage- now you’re on the hook for ensuring their coverage aligns with their long-term financial goals.
Tools for Wealth Building
The eBook highlights two foundational approaches using:
Whole Life Insurance – a steady, predictable approach where guaranteed cash value growth creates a disciplined savings plan insulated from market volatility. Think of it as the “conservative investor’s dream,” with premiums, returns, and long-term accumulation locked in from day one.
Universal Life Insurance – a more flexible option that adapts to evolving financial goals. With adjustable premiums, variable death benefits, and cash values linked to indexes or subaccounts, these policies function as dynamic wealth-management tools, capable of funding retirement, adjusting to market swings, or unlocking liquidity along the way.
Beyond Protection: The Private Banking
One of the most compelling permanent life insurance strategies is often called the “private bank” or “family bank” strategy. Over time, cash value in a permanent life insurance policy can grow into an asset that can be borrowed against, withdrawn strategically, or tapped in the case of emergencies. The bonus is that liquidity can often be accessed on more favorable terms than traditional lending or retirement accounts.
Clients enjoy the ability to borrow against accumulated wealth without credit checks, while their policy value continues compounding, untouched. Add in long-term care riders, and estate-planning advantages, and it’s easy to see why permanent life insurance is increasingly viewed as an asset class in itself.
Elevating Client Conversations
For advisors, the key takeaway is clear: life insurance should never be a one-dimensional product conversation. It’s an integral part of the wealth strategy discussion, and is capable of delivering tax-advantaged growth, estate liquidity, and legacy planning opportunities that few other instruments can match.
At Optifino, we’ve built AI-powered tools to help you analyze, design, and optimize these strategies with clarity and speed. What used to take hours of illustrations and guesswork can now be visualized in minutes—helping you show clients not just “a policy,” but a path to long-term wealth.
Download the eBook
If you’re ready to rethink how you position life insurance in client conversations, download “More Than a Policy: Life Insurance as a Wealth Strategy.” You’ll gain practical strategies, real-world examples, and insights to help you transform a familiar product into a powerful tool for building wealth and leaving a legacy.