Which brokerage clients are considered good prospects for cash value life insurance?

Choosing clients who prefer the discipline of regular, periodic investments as good prospects for cash value life insurance is grounded in the nature of cash value policies, which are designed to accumulate wealth over time. Cash value life insurance combines a death benefit with a savings component that grows over the life of the policy. This growth often benefits from regular contributions, similar to the way clients would grow their investments through disciplined periodic deposits.

Clients who appreciate a structured approach to investing are likely to recognize the advantages of these policies, including the potential for a cash accumulation that can be accessed later in life for loans or withdrawals, along with the added benefit of life insurance coverage.

The other choices, such as clients with significant short-term cash needs or clients who only seek term insurance, typically do not align with the long-term investment nature of cash value life insurance. Clients invested only in mutual funds may also not see the integration of insurance for cash value as necessary or beneficial in their investment strategy. Therefore, the option reflecting a preference for regular investment discipline indicates an understanding of how cash value life insurance can fit within a broader financial strategy.