Before we get started, I want you to know that our marketing team and Life Markets team are constantly monitoring the life insurance landscape. We’re always looking for opportunities that allow you to separate yourself from the competition and build a strong, sustainable living by helping people with their life insurance planning. The foreign national market is a growing and increasingly important area, and today we’ll discuss the numbers, how to find prospects, and how to approach this market.

Let’s start with what we mean by a foreign national. A foreign national is a person who is not a citizen of the United States. They may be a citizen of another country, but they live here legally. They work here, raise their families here, and their children attend school alongside your children or grandchildren. They’re on local sports teams, they own businesses, and they live the American lifestyle, even though they haven’t obtained U.S. citizenship.

You already interact with foreign nationals every day. Think about the businesses you frequent, such as restaurants, nail salons, convenience stores, or other small businesses. Many of these businesses are owned and operated by foreign nationals. While you support them as a customer, there’s also an opportunity for them to work with you when it comes to financial and life insurance planning.

Many foreign nationals are building wealth in the United States. They own homes, businesses, bank accounts, and other assets here. Even though they are not U.S. citizens, this is where their financial lives are centered. This market is significant and continues to grow. There are currently more than 51 million foreign nationals living in the United States, and that number keeps increasing.

Foreign nationals have unique planning needs because many life insurance companies are reluctant to insure non-U.S. citizens. Their access to products and services can be limited, which makes this a niche but very lucrative market for agents who understand it.

Here is the key issue you are helping protect against. When a foreign national who is not a U.S. citizen passes away, the assets they have accumulated in the United States are subject to estate taxes of up to 40 percent. That number is shocking. Unlike U.S. citizens, whose estate taxes generally apply only above certain multimillion-dollar thresholds, foreign nationals can be taxed at this rate regardless of whether their estate is worth five hundred thousand dollars, one million dollars, or twenty million dollars.

This creates a tremendous opportunity for you to help. Many foreign nationals own homes, rental properties, businesses, and other assets. Before those assets can pass to their heirs, up to 40 percent may go to the federal government. That often forces families to liquidate property or businesses simply to pay the tax bill.

Let me share a real-life example. I have a friend I went to high school with whose parents are originally from India. His father moved to the United States first and began building a foundation for the family by flipping homes and investing in real estate. After he became established, he brought his wife to the U.S., and they raised their family here. Their children were all born in the United States and are U.S. citizens, and they now have grandchildren.

Over time, through real estate investments and business ownership, their estimated net worth reached around ten million dollars. If something had happened while they were still foreign nationals, up to four million dollars of that estate could have gone to taxes. To meet that obligation, properties would have had to be sold, disrupting the family’s financial stability and long-term plans.

This is where life insurance becomes the solution. Life insurance provides immediate cash to cover estate taxes so the family doesn’t have to liquidate assets. It allows the estate to transfer smoothly to the next generation while preserving businesses, properties, and lifestyle. Without insurance, families are often forced to sell assets quickly just to satisfy tax obligations.

When you talk to foreign nationals, it’s important to help them understand this reality. It may be difficult to hear, but it’s information they need. Once they understand the potential impact on their family, the value of life insurance becomes very clear.

Several insurance companies are foreign-national friendly, including Transamerica, Nationwide, and Lincoln. Of these, Transamerica is one of the easiest to work with and has actively pursued the foreign national market. They offer strong products and have made significant improvements to their lineup over the past several years.

One example is Transamerica’s Financial Choice Indexed Universal Life II product. This indexed universal life policy provides solid guarantees, strong cash value accumulation, lifetime protection, and optional living benefits for critical, chronic, or terminal illness. For clients who may not be ready for an indexed UL plan, Transamerica also offers competitive term products that are fully convertible, including options with living benefits.

Consider a scenario involving a forty-five-year-old preferred non-tobacco client. A four-million-dollar death benefit can be structured to cover the anticipated estate tax exposure. The policy builds cash value, offers access to multiple market indices, and does not require a securities license to sell. If the client later becomes a U.S. citizen, the cash value remains theirs. They can use it for retirement income, keep the death benefit as a legacy asset, or adjust the plan based on their evolving needs.

Compared to term insurance, which may leave clients with nothing at the end of the term unless converted, indexed universal life offers both protection and asset accumulation. Cash values grow tax deferred, death benefits are paid tax free, and the proceeds typically avoid probate. Living benefits add another layer of flexibility in the event of serious illness.

When discussing this with foreign nationals, a simple question can open the door: Do you know that if you pass away while living in the United States as a non-citizen, your estate may be taxed at up to 40 percent? That realization often leads to meaningful conversations about protection and legacy planning.

I’ve personally helped foreign national clients, including a couple from Lebanon living and working in Pennsylvania. The application process with Transamerica was straightforward. It included questions about visa type, country of origin, financial information, travel history, and U.S. ties. As long as clients are here legally and primarily reside and work in the United States, the process is manageable. Travel to certain high-risk regions can complicate underwriting, but for many clients, approval is very attainable.

The benefits to the client are significant. Life insurance provides a tax-free death benefit, potential cash value growth, peace of mind, and the ability to leave a lasting legacy. Many foreign nationals came to the United States to create a better future for their families, and life insurance helps ensure that future remains intact for generations to come.

Getting started is simple. Choose a foreign-national-friendly carrier, get contracted, and start having conversations with business owners and individuals you already know. Ask questions, share information, and present solutions. Transamerica offers helpful marketing materials and handouts to support these discussions, and the underwriting process is straightforward.

Foreign nationals are part of tight-knit communities, and when you help one family, referrals often follow. This market is not untapped, but it is underserved. These are typically larger cases with meaningful premiums, and more importantly, they allow you to make a real difference in people’s lives.

Some of you listening today may come from immigrant communities yourselves. If you share a cultural or national background with your clients, you already have a built-in advantage and a foundation of trust.

If you have additional questions or need access to the handouts, please reach out to me or the Life Markets team. We are here to help. You can contact me directly at 717-216-8041.

Thank you for joining today’s presentation. I hope this information helps you stand out from the competition and opens new opportunities for your practice. Until next time, have a great day, and we’ll talk again soon.