This application I first heard from Boss Rex in one of our agency rounds during our PAMI days
He has a client who has extensive property holdings, these are not liquid and she is short of cash most of the time as she is retired and is a senior citizen, she intends to leave these properties to her children as inheritance
Boss rex suggested that she sell the property (worth 10m) and buy a 10m life insurance policy as her inheritance instead, boss rex reasons that her children may most probably sell the properties anyway as they have their own already
the client now has liquidity (10m selling price less premiums) and still leave a 10m inheritance
this can also apply to other illiquid assets intended for inheritance
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