Do any of the below resonate with you?

  • I should own permanent life insurance but would rather purchase a traditional investment product.
  • I want to increase the internal rate of return on my estate plan. 
  • I want to maximize the Capital Dividend Account balance (corporate IFA). 
  • I have an existing permanent insurance plan with cash value and want access today.
  • I want to set up a charitable giving strategy without affecting cash flow. 
Did you know that you can leverage permanent life insurance policies using immediate financing arrangements?
This is a sophisticated strategy for high-net-worth individuals or corporations that involves leveraging your permanent insurance plan so annual cash flow is not adversely affected.
How an IFA works
1) You enter into a contract for a permanent life insurance policy which creates significant Cash Surrender Value (CSV) in the policy’s early years.
2) The policy is assigned to a bank as collateral to secure a line of credit.
3) You pay the annual recurring insurance premium.
4) You borrow back up to 100% of the CSV. (Or borrow back the entire premium by providing additional collateral security.)
5) You use the line of credit for investment purposes – for example, to fund an operating business, purchase real estate or invest in a non-registered investment portfolio.
6) Steps 3-5 are repeated annually.
7) When you pass away, the outstanding loan is repaid out of the death benefit and the remaining proceeds are paid to your beneficiaries.
The two most common IFA structures
100% Cash Surrender Value Lending 
100% Replacement of Premium
Have a Question? Contact Me:
Sim Gakhar
Life Insurance & investments Advisor
B.Sc, B.Ed, M.A, CHS, EPC, CEA, MFA-P


Direct: (647) 889-7290 | sim@simgakhar.com