Skip to content

757-410-4678 |

Cash Is King: Part 8 – What is Specially Designed Life Insurance?

How can you store your cash in a way that you control it?  The most important attributes you want on an account where you store cash are SAFETY, LIQUIDITY, and GROWTH.

We use a concept called the Private Reserve, built on the Infinite Banking Concept, popularized by Nelson Nash.

You want your money earning UNINTERRUPTED COMPOUND INTEREST.  To do this, you don’t want to deplete your reserves, but to LEVERAGE your reserves as collateral.

The most powerful tool I have seen is Specially-Designed Whole Life Insurance with a mutual company.  This is structured to pay dividends, have high cash value up front, and strong long-term growth.

What is Specially-Designed Whole Life Insurance?  It’s not an investment, but a place to store cash where money is secure.

We dig into how it works and why, including:


  • Company with strong financials (A ratings or higher by Moody’s, Fitch, and Standard & Poor’s)
  • 3 – 5% growth over a 30+ year timeframe
  • Over 100-year history of consecutive profitability


  • Guarantees backed by dollar-for-dollar reserves (unlike traditional banking system, life insurance companies cannot use leverage to create wealth)
  • Cash value that only grows, never goes down in value


  • Because your cash value is your asset, you can access your cash at any time, for any reason
  • To access your cash value, you borrow against your cash value, using leverage that allows your money to keep growing

When you utilize your cash value to collateralize opportunities, you can stack your investments, earning a rate of return in two places at the same time.

Specially-designed life insurance is a tool of the wealthy to build cash and cash flow and to be in a position of keeping and controlling more of their resources.

I believe the best position for anyone to be in is to have access to the information and tools so they can make well-informed decisions in their wealth creation journey.

Recommended resources:

  • Becoming Your Own Banker – Nelson Nash
  • Live Your Life Insurance – Kim D. H. Butler
  • Busting the Life Insurance Lies – Kim D. H. Butler and Jack Burns, with James Ranson
  • Understanding Specially Designed Life Insurance Contracts (SDLIC): Thinking Differently about the Flexibility, Access, and Control of Your Money – John Moriarty
  • Killing Sacred Cows – Garrett Gunderson
  • Financial Independence in the 21stst Century – Dwayne Burnell, Suzanne Burnell
  • Discovering Hidden Treasures: Hidden truths about creating, retaining, and transferring wealth! – Dan Thompson
  • Confessions of a CPA – Bryan S. Bloom, CPA



Without Giving up Quick Access to Cash. Find out how in this free 20-minute guide!

Posted in


Rachel empowers her clients to maximize and control their money so that they can accomplish their dreams and live out their highest purpose. She believes that if you understand the short and long-term impacts of the financial choices you make, you’re better suited to make choices that put you in control of your resources. She helps you discover money flowing out of your control, strategize ways to have more money flowing into your control so that the end result is that you have more money to retain and utilize during your lifetime, and more to pass on to future generations.


Without Giving up Access to Cash