Corporate-Owned Life Insurance (COLI)
A well-planned COLI program can be very effective in helping your clients offset the cost of offering a nonqualified benefit plan. Newport, an Ascensus company, collaborates with top insurance companies to offer a wide range of institutional insurance products that can suit your clients' particular needs. Implementing COLI solutions can enhance your ability to provide tailored financial strategies and strengthen client relationships.
Using technology for a better client experience
Our comprehensive platform is designed to help you provide your clients with a full range of services to help optimize their COLI program and improve their hedging strategies. With a dedicated team of over 100 COLI specialists, we ensure expert support at every stage of the COLI lifecycle, helping you build stronger, more impactful client relationships.
Benefits for you and your clients
- Pricing and underwriting negotiations
- Fund and product selection
- Pre-purchase due diligence
- Implementation
- Monthly reporting
- Regulatory compliance
- Death claim sweeps and processing
How COLI can benefit your clients
If you’re helping clients navigate the complexities of nonqualified plan benefits, COLI can be an invaluable tool to help offset the costs of nonqualified plan benefits. COLI is a type of life insurance where the employer (or grantor trust) buys, owns, and is the beneficiary of the policies.
Benefits include:
Tax-advantaged cash-value accumulation
COLI policies allow companies to build financial reserves in a tax-preferred way, offering strategic flexibility.
Tax-free withdrawals and loans
With COLI, companies can access cash value without triggering tax liabilities, ensuring liquidity for evolving needs.
Tax-free death benefits
These policies provide tax-exempt payouts, helping offset costs and ensure long-term financial stability for the organization.
Broad asset class and manager investment options
COLI policies offer access to a diverse range of institutional-grade investment choices, giving companies more control over their financial goals.
Institutional pricing
Your clients can benefit from cost efficiencies that help reduce the overall expense of maintaining these policies.
Guarantee-issue underwriting
Simplify the process for your clients’ employees with streamlined underwriting that ensures a smoother implementation.
With these benefits, COLI stands out as a powerful solution for corporate financial planning. Whether you’re working with businesses to manage long-term obligations or seeking tax-efficient strategies, COLI is an option worth exploring further.
Related Resources
Need more information about our COLI offerings? Advisor Central is full of helpful resources on this and other topics for advisors like you.
