A digital application designed to project the potential performance of a life insurance policy. This tool utilizes policy details, premium payments, and projected interest or dividend rates to create visual representations of future cash values, death benefits, and other key metrics over the lifespan of the policy. For example, a financial advisor might use such a platform to demonstrate to a client how a whole life policy’s cash value is projected to grow over 20 years, versus the anticipated returns of a term life policy.
These programs play a pivotal role in the life insurance sales process, providing transparency and helping clients understand the complexities of different policy options. Their genesis stems from a need for greater clarity in an industry often perceived as opaque. By offering simulations and projections, they empower individuals to make informed decisions that align with their financial goals and risk tolerance. Historically, such calculations were performed manually, making the process time-consuming and prone to error. The advent of digital tools streamlined the process and increased accuracy.
