AdvisorsBusiness, estate and multi-generational wealth preservation, management and transfer counseling requires a team approach and collaboration among legal, tax, accounting, investment and life insurance advisors. Life insurance plays a key liquidity and/or investment planning role but, as demonstrated by the lapsing policy and insurance trust insolvency crisis, credible life insurance ‘counseling’ remains problematic to a team approach. Why? Life insurance is a buy-fund-manage financial asset. Life insurance has two distribution channels – one is transaction-driven (life insurance is sold, not purchased) and the other is process-driven (plan your work and work your plan). The transaction channel provides the ‘buy’ and initial ‘fund’ functions whereas the process channel provides the buy-fund-manage functions. Hence, the traditional transaction channel is not designed for multi-year counseling and collaboration, whereas the process channel is designed for counseling and management over a 10 to 50 year time horizon and, hence, ideally suited to a team collaboration approach. The process channel requires due diligence to match the client’s planning need with the vendor’s counseling and management specialization (one size does not fit all). For example, risk management is a key differentiating factor – is the performance monitoring and risk management based upon dispute defensible actuarial evaluation or carrier illustrations that disclaim predictive value? Further, since vendor counseling expertise is critical to team collaboration, does the vendor have litigation and FINRA arbitration support experience? Counseling and collaboration warrant a ‘best practices’ team approach. The process-driven scope of services and management platform provided by TAC and The TOLI Center were designed and implemented 30 years ago and adapted in the early 1990s to meet the fiduciary practices expectations of corporate trustees delegating their policy risk management responsibilities to affluent individuals, families and family groups. This counseling and management platform is used by businesses, affluent families, skilled and unskilled trustees, and attorneys seeking credible life insurance problem-solving on behalf of their clients.