Retirees may be able to increase their net cash flow significantly, with this strategy:
Buy life insurance, getting quotes from several companies. Often, when someone 65 or older seeks life insurance, different companies will provide differing evaluations of that individual’s health and the resulting life expectancy.
Buy life insurance from the company that gives you the highest health rating, and the lowest annual premiums.
Go back to the insurance company that gave you the lowest health rating, to see if it will issue a “rated” single-life annuity.
That is, if one insurer thinks your life expectancy is relatively short, it may offer a better payout on an immediate annuity, compared with annuities from other issuers. By minimizing life insurance premiums and maximizing the annuity payments, more net income can wind up in your pocket while your heirs are protected by life insurance.
