Life Insurance Financial Evaluations, LLC
Life Insurance Policy Management & Financial Modeling Services

Life Insurance Financial Evaluations, LLC (LIFE, LLC) is a specialty insurance consulting company.  We are focused on applying project management and financial planning disciplines to assist corporations, banks, high net worth families, and trustees maximize the value of their life insurance plans.

Life Insurance Financial Evaluations, LLC provides life insurance policy management and financial modeling services to consumers from plan initiation to plan closing.  Services are engagement specific, and may be structured as one-time analyses or continuous plan oversight to MONITOR & CONTROL, EVALUATE, MEASURE, IMPROVE, and ACHIEVE the desired plan results.


Life insurance products are used for a variety of financial and risk management purposes due to their favorable tax and accounting treatment and potential for attractive after-tax returns relative to other investment alternatives.

Life insurance cash values grow tax-deferred and death proceeds are generally received income tax free.  However, the favorable tax treatment is foregone if the policy lapses or is surrendered prior to death.  For a life insurance plan to be successful, the policy generally must be inforce at the insured’s mortality age.  As a result, a life insurance plan may span 50 years or longer depending on the age of the insured and corresponding mortality age.

When a policy is lapsed or surrendered prior to mortality, the plan sponsor may not obtain the desired return on investment on the significant premiums paid over the life of the plan.  In addition, there may be other negative consequences of an unsuccessful life insurance plan such as unsatisfied plan participants or tax implications.

The Challenge

Many plans fail to achieve the expected benefits and outcomes despite agents and consumers having the best of intentions when selling and purchasing life insurance plans. 

High life insurance policy lapse rates plague the life insurance industry and harm customers.  The NAIC reports that "62% of the people who own life insurance do not really know what they have or why they bought it.” This high percentage is alarming and it implies that many life insurance policies and plans are in danger of steering off course and are in desperate need of guidance. 

Several reasons include:

  • A significant portion of life insurance plans are sold by agents with little to no service platform.
  • Numerous policyholders are orphaned when agents retire, exit the business, or switch companies. 
  • Financial models included in the sales or administration process may be faulty or misleading.
  • Plan design and policy assumptions may be too aggressive.
  • Critical policy management and service activities are missed since roles and responsibilities are not clearly defined.

The Solution

Proactive management of permanent life insurance products is required throughout the duration of the plan to ensure performance is kept on track and the policy provides the intended benefits. 

MONITORING & CONTROLLING a life insurance plan is a critical ongoing process to Insure Life Surpasses Your ExpectationsTM.  Monitoring and controlling includes the development of program and risk management plans to ensure critical milestones are achieved and issues/risks are identified.  It also provides continuous oversight of the plan and various financial modeling and evaluations.

Financial modeling and evaluations include: 1) ensuring the plan design meets consumer expectations and risk tolerances and consumers understand the risks and tradeoffs (EVALUATE), 2) periodically measuring to ensure the plan is still on track and identifying corrective or preventative actions (MEASURE), 3) considering plan and policy alternatives when warranted (IMPROVE), and 4) implementing other actions to achieve and maximize the plan benefits (ACHIEVE).  Collectively, these steps help ensure the policy is designed and managed so the expected benefits and outcomes are ultimately achieved.

Insure Life Surpasses Your ExpectationsTM

Let Life Insurance Financial Evaluations, LLC guide you to make prudent life insurance and financial decisions.  Contact us at:

Life Insurance Financial Evaluations, LLC

Share page on: