For High-Income Earners
A short introduction to the strategy and who it's built for.
Join Phil Mylet and Marty Willenborg to explore the benefits of Kai-Zen IULs. (19 min)
Kai-Zen is an innovative life insurance strategy that integrates Indexed Universal Life (IUL) insurance with third-party premium financing. By leveraging bank financing at a 3:1 ratio, Kai-Zen allows you to secure a larger policy with greater death benefits, living benefits, and cash value accumulation — potentially increasing your retirement income by 60–100% compared to traditional methods.
You contribute 25% of the premiums, while a bank funds 75%, amplifying your policy's benefits without additional personal collateral.
The IUL's 0% floor ensures your cash value is safe from market downturns, with upside potential tied to market indices.
Access cash value through tax-free policy loans and withdrawals to supplement your retirement income.
You pay annual premiums for the first five years, typically 25% of the total, plus a small trust fee. The bank contributes the remaining 75%.
The bank continues to fund the full premium amount, allowing the policy's cash value to grow without further contributions from you.
The bank loan is repaid from the policy's cash value, with no personal liability or credit checks required. The policy remains as collateral.
After the loan is repaid, you can access the cash value for tax-free retirement income, enjoy living benefits, or use the death benefit for legacy planning.
Potentially 60–100% more tax-free income compared to self-funded policies.
Tax-deferred cash value growth and tax-free withdrawals via policy loans.
0% floor protects against market losses, with capped upside tied to indices like the S&P 500.
No credit checks, loan documents, or personal guarantees; the policy is the sole collateral.
Access to death benefits for terminal, chronic, or critical illnesses (where available).
Cash value is generally protected from lawsuits, bankruptcy, or creditors.
Requires an annual income of $150,000+ or minimum $2 million net worth, fairly good health, and ages 18–65.
Requires consistent minimum premium payments of $21,000 for the first five years.
Cash value and benefits are inaccessible until the loan is repaid (typically year 15).
Set up a tax-advantaged wealth transfer for your adult children (18+). Fund a policy while they're young and healthy, providing immediate death benefit protection and access to cash value later for major life goals like buying a home or covering college.
Business owners can implement Kai-Zen policies for key personnel to keep them with the company for years — a policy on the people who make your business thrive and grow.