With funding life insurance for IBC, a little-know fact is that you can only buy so much.

Many people are already familiar with MEC (Modified Endowment Contract) limits that limit how much premium you can pay relative to the death benefit. But there is also a limit on how much total death benefit you can buy.

The insurance companies will only underwrite you for a maximum amount based on your income and/or net worth.

For example, if your lifetime income and/or net worth is $2M, the insurance company will not sell a $20M policy.

This creates yet another set of tradeoffs that need to be understood when designing a whole life insurance policy for The Infinite Banking Concept.

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Episode Highlights:

0:00 Intro

0:43 Human Economic Value

2:50 Your Greatest Asset

6:38 Calculating Your Maximum Potential

7:44 Don't Forget About Your Family

9:34 Policy Components Determining Underwriting

12:08 As Income Rises

13:59 Human Life Value and Total Underwriting

17:10 The Modified Endowment Contract (MEC)

18:52 Understanding the Purpose of Life Insurance

25:26 So How Much Life Insurance Should You Have?

29:04 Effects on Retirement

30:16 Story of a Typical Financial Advisor