April 24, 2018

Missed Fortune: Why Insurance Companies Are Safe

Douglas Andrew

Douglas Andrew

Missed Fortune’s Douglas Andrew knows the financial uncertainties many are experiencing today. Through the Missed Fortune workshops and books, Douglas Andrew explains the importance of liquidity, safety, and rate of return in investments. Today, the Missed Fortune founder talks to Interviewing Experts about the insurance industry and how it manages to survive through every economic downturn.

Interviewing Experts: In the Missed Fortune educational materials, you talk about insurance companies having a high rate of return. Can you explain what that means?

Douglas Andrew: On many of the general account portfolios that we review, there will be a yield that turns over very slowly. Last fall, I was visiting a particular insurance company in Minnesota. They were reporting on the two trillion dollars worth of assets they manage.

Interviewing Experts: Two trillion?

Douglas Andrew: Two trillion. Do you know that’s the amount the Federal government collects in income tax a year? And this institution, which has far fewer employees, manages two trillion dollars.

Interviewing Experts: Even in this economy?

Douglas Andrew: In this low interest environment, where many business and investors are struggling, this particular company has a portfolio rate of about 6.18 percent.

Interviewing Experts: But aren’t interest rates relative?

Douglas Andrew: Yes. For example, back in the 80s, I was earning on my conservative insurance contracts amounts in the 13 percent range.

Interviewing Experts: That was a different time, though.

Douglas Andrew: At that time inflation was 10 percent and CDs and banks were paying at ten.

Interviewing Experts: The insurance company you’re describing was paying 6.18 percent in this low-interest environment, though.

Douglas Andrew: They were paying 6.18 percent and they used about one percent of that for their overhead.

Interviewing Experts: So this particular insurance company provided a high rate of return…

Douglas Andrew: Even in this environment, Missed Fortune found that a consumer could have a net rate of a return of about 5.2 percent.

Interviewing Experts: And that’s tax-free?

Douglas Andrew: Yes, that would be tax-free. That money is in a liquid environment, safely and predictably earning a good rate of return, which, as anyone who is familiar with the Missed Fortune workshops and educational materials knows, is the crux of my message.

Interviewing Experts: Can you explain what you mean by “LASER?”

Douglas Andrew: LASER is liquidity, safety, and rate of return.

Interviewing Experts: You mention in your Missed Fortune workshops that the insurance business is less risky.

Douglas Andrew: Insurance companies are professionals at managing risk. Missed Fortune has found that because of this, insurance companies always maintain liquidity of principal.

Interviewing Experts: This has been great advice, Mr. Andrew. Thanks for speaking with us today.

Missed Fortune’s Douglas Andrew provides financial strategies to clients throughout the U.S. For more information on Douglas Andrew and Missed Fortune, visit www.missedfortune.com.


Douglas Andrew is a financial strategist and the creator of the Missed Fortune True Asset Optimization program. With over three decades of experience and an extensive knowledge of economics, estate and financial planning, and accounting, Douglas Andrew penned the successful book series Missed Fortune, Missed Fortune 101, Millionaire by Thirty, and Last Chance Millionaire. These books, along with his audio CDs and educational seminars are available online at www.missedfortune.com.

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