MEC & Non MEC Policies

EduTrainer Steve Savant coaches you through the basics of MEC & non MEC policies. Edutrainment Workshops: The Essentials for Life Insurance - MEC & Non MEC Policies
Life insurance policies issued on or after June 21, 1988 may be defined as "modified endowment contracts" (MECs) if the cumulative premiums paid during the first seven years (7-pay test) at any time exceed the total of the net level premiums for the same period.
Withdrawals from modified endowment contracts (including loans) will be taxed as current income until all of the policy earnings have been taxed. There is also a 10% penalty tax if the owner is under age 59½ unless payments are due to disability or are annuity type payments. Well-designed premium payment schedules can avoid the modified endowment contract treatment and retain the benefits which are unique to the life insurance contract.
Order the Life Insurance Basic Entry Level Manual at [e-mail]
Download Lincoln Benefit Life's user friendly proposal software and follow Steve Savant as he teaches the basic concepts of life insurance at www.lblsales.com/etw EduTrainment workshops is sponsored by Lincoln Benefit Life, An Allstate Company

[@xmanrules2001]

I just started selling IULs and this one video has helped structure them tremendously! This one short video has educated me tremendously! Thank you! Xavier

[@ezroland]

This is an excellent explanation of these complicated Life Insurance concepts. I recommend it.

[@stakhiIII]

I appreciate the history behind MECs!

[@BrokersAlliance]

Thanks for viewing! You can call me at 1 800 290 7226 ext 127 - Steve Savant

[@BrokersAlliance]

Thank you for your comments. If we can be of further assistance, please feel free to contact us. We are a national firm that supplies insurance products to financial professionals.

[@itmisc2012abc]

I am not sure, but what you are explaining seem to be a custom whole policy? If you stage premiums over the years is basically the same as a custom whole life policy?

[@xmanrules2001]

I have many questions. I firmly believe in the product as I learn more and more. I have much to learn. Do you have an email I could send my questions too?

[@lambo360ap]

use a whiteboard no one can read your "smartboard"

[@Magdy.F.Mahmood]

Very complicated. instructor brags so much about himself and his company.