All carriers and policies are NOT the same. TAC recognizes the many misconceptions surrounding life insurance purchase and policy service practices and, specifically, TOLI.

When an insurance trust’s liquidity objective exceeds $3-$5 million, carrier and policy diversification must be considered. Diversification requires special handling and analysis to ensure a comprehensive TOLI Investment Policy Statement (TIPS), coordinated underwriting among multiple carriers, reasonable and appropriate costs, credible premium adequacy evaluation, and active program management. Subsequently, if trust objectives change, all these issues need reassessment to maximize existing asset values and committed cash flow.

Not surprising, the failing TOLI crisis is concentrated in large death benefit policies. The policies require credible evaluation, prompt corrective action, and often restructure. TAC’s policy evaluation expertise identifies failing policies and quantifies corrective action options. If restructure is required, we offer our clients a formal Request for Proposal process. By identifying all policy design, placement, management, and periodic restructure requirements, agent proposals are screened against pre-determined benchmarks. As a result, misconceptions are avoided and the TOLI funding program is managed to maximize the probability of a successful outcome to the trust estate.

Additionally, our secure website allows family office private trust companies to view their trust administration information, generate portfolio management reports, and export data.

While trustees The TOLI Center’s Request for Proposal service combines the product suitability criteria set out in the TOLI Policy Investment Statement (TIPS) with actuarial evaluation to objectively establish policy proposal specifications. As a result, competing proposals can be compared against the benchmark policy to determine the proposal most like to maximize the probability of a favorable outcome. Said differently, when competing proposals are solicited, this service safeguards the trustee from selecting the lowest premium illustration, which likely has the lowest probability of achieving its illustrated values and the highest probability of needing restructure.