The 200 year-old secret of mutual life insurance companies

by David Lewis

The U.S. national debt currently stands at $28 trillion and counting. 

While a lot of people are rightly freaking out about this, methinx the world will not end tomorrow and probably not in our lifetimes. 

What, me cray cray?


Not too long ago, I read about how the U.S. government has the power, right now, to release us all from this never-ending burden and life-sapping spiral of destruction. 

But, they don’t.

Here’s why I say that:

A report from a few years ago by the Institute for Energy Research estimated the U.S. government owns real estate, oil, gas, and mineral rights collectively worth ~$128 trillion… and that’s not including all the businesses the U.S. government has nationalized over the years, which generate ongoing income and, in some cases, have hundreds of billions of dollars in excess capital reserves which could immediately and forever be released to taxpayers. 

Assuming that’s true, that’s enough money to pay off the national debt and still have enough money left over to write a check to every single American for roughly $300,000. 

Plus… whatever refunds can be generated through the sale of government owned corporations.

It’s very likely every single American, regardless of age, would be well on their way to being a millionaire.

Infinite prosperity, zero poverty.

If that doesn’t razz your cherries, honestly, you must be either emotionally dead inside or  part of the political class.


I can’t help but think this issue of a $1.9 “stimulus” plan could all be over if the government immediately and forever relinquished all rights in taxpayer property and sold it to the highest bidder, paying off the national debt, refunding every American for a year of utter bullsh!t, and every politician and government bureaucrat immediately quit their job and go find real work, and on the way out, beg for forgiveness and apologize for decades theft and for wasting everyone’s time and precious resources.

Chew on that for a second, Mojumbo. 

When I say taxation is theft, and that the government has stolen a helluva lot of money from taxpayers, I ain’t just whistlin’ dixie. 

I think any smart, decent, and honest person recognizes our current government institutions for what they really are. 

I’ll go one further:

The only thing the country really needs is a strong military to protect us from foreign government criminality, local police to protect us from neighborhood criminals, and a court system to help settle contract disputes, and enforce whatever objective laws are left after getting rid of the plethora of politically-motivated non-objective laws on the books. 

Anyway, enough wishful thinking. 

If you want a second-best option to build real, lasting, financial security or yourself and your family, one option still left in America is… dividend paying whole life insurance. 

Specifically, a custom whole life policy, like the type I design for clients. 

Life insurers are crafty creatures of survival. 

They implicitly reject self-sacrificial attitudes, which is why they’ve survived for so long.

They thrive on a mutually-beneficial business arrangement, with everyone working for his or her own rational long-range benefit — the company works in its own best interest by making long-range decisions and investing money for decades at a time. 

By doing this, the company achieves its own mission and purpose, which is to serve its policyholders (which often includes upper management, who gleefully own many millions of dollars of the company’s own life insurance policies) and increase the long-term value of the company and the value of the policies of its policyholders. 

Its policyholders, in turn, contribute increasing premium dollars which increases the long-term cash surrender value of their whole life contracts. The premium dollars become the fuel that directly benefits the life insurance company, creating an endless virtuous circle of growing cash values, death benefits, and increasing stability with each generation. 

Each party independently works for its own benefit. And, by doing so, it creates a mutually-beneficial, almost symbiotic, relationship.

It’s a business model almost no one has tried to reproduce. 

Regardless of any odd comments made by management, lawsuits brought by disgruntled individuals and profit-draining lawyers, or lip service given to “higher causes, it never changes the fact that in order for a mutual life insurance company to work, there must be — by the fact of its very existence — a sort of self-serving, capitalistic, mutually-beneficial relationship between the life insurance company and the policyholder.

Each feeds the other by feeding itself.

A mutual life insurer cannot exist — and I don’t mean this as hyperbole; it literally cannot exist — without policyholders. The very idea of a mutual insurer means a company owned by, and full of members who are, policyholders and whose management is beholden to those policyholders for the benefit of everyone involved in the mutuality.

This is the not-so-secret secret of why these companies have never died and, as long as there are policyholders willing to pay premiums, probably will never die.

A lot of people just plain don’t understand it, can’t understand it, won’t understand it. 

So be it. 

It is what it is.

But, if you want to understand it, and plug into the system, then I invite you to first download the free Monegenix® Labs and access the free trainings, courses, and special reports and get your head around the idea of how life insurance planning and financial planning really works.

Ready to kick things up a notch?


Get uncensored information and advice about what life insurance can do for you and your family, without the hype and B.S. + free access to The Monegenix App when you sign up to read David's Daily Emails.

About David

David Lewis is a licensed life insurance agent, and has worked in the life insurance industry since 2004. During that time, he has worked with some of the oldest and most respected mutual life insurance companies in the U.S. To learn more about him and his business, go here.