The UL quote... an alternative approach
back to index
There is another way to handle the integration of UL in the program. RRIFmetic's 'generic UL' model, in many instances, won't match a specific industry-supplied UL quote/illustration. Now, if you have a UL quote which you wish to integrate exactly with the RRIFmetic cash flow model, do the following:
Don't use the UL section of the insurance window.... instead, use the 'term insurance' part of the window. If you were going to purchase $10,000 of UL over the next 5 years (you are 55) then enter 10000 in the 'premium' and 60 in the 'premium ends at age'. This covers the UL purchase.
BTW (if you have an 'uneven' purchase scenario, use negative 'nontaxable income' entries in the de grid and avoid the UL/insurance window completely) Also..... if the UL scenario is one where income is going to be taken out in the future, rather than leaving it entirely to the estate, enter that income in the same column, but as positive entries.
Now for the tricky bit....
Since the actual growth of the estate/benefit/UL capital may be more complex than RRIFmetic's generic model (it may be hidden to you since the insurance company has its own proprietary method of deriving the numbers), this new method has been developed.
What you must do is to grab the numbers from the quote supplied by the insurance company's software/illustrator and drop these values discretely into the 'death benefits' column of the data entry grid.
Now, this can be easy or hard depending on in what form the UL quote is. If it is in a spreadsheet column, then you can copy the column directly into the 'death benefit' column. (click here for more information)
Or, if they are in PDF form (in a column) then they can be imported thusly.
If they are in neither PDF nor spreadsheet form, you are going to have to drop the individual elements into the column year by year. This can be done quickly now (Feb 21/2002 version) using the notepad..... (enter "H" in response to the data entry prompt to find out how)
The disadvantage here is that the UL won't display in the reports as the generic UL does. You will see the premiums/ul purchase, but you won't see the estate side discretely broken out except for the summary report (death benefits)
Comparing the UL scenario vs the "no UL" scenario.....
Question... "what if I painstakingly entered the UL account values 1 by 1 in the 'death benefits' column and I want to show what it is like under a "no UL" scenario?
Answer... This is an ideal candidate for RRIFmetic's SAVE-AS utility. Create a second file using the 'save-as' program, you now have two files for that individual one with UL and one without.." More on UL demo
back to index