Decision Tree Insurance

Day: June 30, 2026

What Happens to Cash Value When You Die? The Truth About Your Payout

Infographic detailing what happens to cash value when you die, showing the level life insurance payout formula where cash value and insurance risk equal the total family benefit

There’s a claim that shows up in nearly every online forum where permanent life insurance gets discussed, and it’s almost always delivered with the same righteous certainty: “If you die with cash value in your policy, the insurance company just keeps it. Your family only gets the face amount.” It sounds like a scandal. It […]

What Is an In-Force Illustration? How to Request and Read Yours

Hand-drawn infographic titled What Is an In-Force Illustration, showing a stick figure asking how their policy is doing. It compares an updated in-force ledger page using a realistic 4.75 percent interest rate against an outdated old illustration at issue that mistakenly assumed an 8 percent interest rate. A checkbox points to a final advice bubble reading Know your policy. Protect your future.

Most people who own a permanent life insurance policy have never looked at it the way an engineer looks at a piece of equipment. They pay the premium. They file the annual statement in a drawer. They assume, in the absence of any alarm bell, that everything is fine. Then one of two things happens. […]

1035 Exchange Life Insurance: Section 1035 Exchange Rules & Steps

Hand-drawn infographic explaining a Section 1035 exchange, showing the direct transfer of cash value from an old life insurance carrier to a new carrier. A stick figure holds an old policy and a 1035 form while a large green "X" crosses out a check, highlighting the rule "You Never Touch the Money." Permitted destination options displayed include a new life policy, an annuity, or a long-term care policy.

The Short Answer: What Is a 1035 Exchange for Life Insurance? A 1035 exchange lets you move the cash value of a life insurance policy directly into a new life insurance policy, an annuity, or a qualified long-term care policy — without paying tax on any gain in the old contract. The rule comes from […]

Tired of Paying Your Life Insurance? Your 3 Practical Options

Hand-drawn infographic detailing permanent life insurance nonforfeiture options, showing a policyholder weighing the choices between keeping, surrendering for cash value, or replacing a policy via a tax-free Section 1035 exchange.

The Short Answer: What Does It Mean to Keep, Surrender, or Replace a Life Insurance Policy? Keep means continuing to pay premiums — or restructuring the policy (lower death benefit, paid-up status) so it survives without the same payment. Surrender means telling the insurance company you’re done. They close the contract and cut you a […]