Wealth Planning Hub

What it covers: Physical damage to the aircraft (hull coverage) plus liability if the plane causes injury or property damage to others. Also covers passenger liability. Why we need it: Our aircraft is worth hundreds of thousands of dollars and flying creates significant liability risk. This is legally required and protects both the plane and us personally. Who pays: Remy Gen Ptr (the partnership that owns the aircraft). The premium is a business expense. Tax: Fully deductible as a business operating expense of the partnership. Premiums vary based on pilot hours, aircraft type, and claims history. Reviewed annually.

What it covers: A bundled policy combining general liability + commercial property insurance. Covers lawsuits from clients, office damage (fire, theft, water), and equipment loss — all in one package. Why we need it: Every operating business needs basic liability and property coverage. A BOP bundles them at a lower cost than buying separately. Who pays: The operating entity listed on the policy. Each clinic or business may carry its own BOP. Tax: Fully deductible as an ordinary business expense. BOPs are cost-effective for small-to-mid businesses. As revenue grows, you may need to upgrade to separate commercial policies.

What it covers: Replaces a portion of Remy's income if he becomes unable to work due to illness or injury. Typically pays 60-70% of income, tax-free if premiums were paid with after-tax dollars. Why we need it: As a physician, Remy's ability to work IS our primary income engine. A serious injury could stop all clinical revenue overnight. This is arguably our most important policy. Who pays: Can be paid personally (benefits are tax-free) or through the business (benefits become taxable). Check which method is in use. Tax: If employer-paid, premiums are deductible but benefits are taxable. If personally paid, premiums are not deductible but benefits are tax-free. Critical: Make sure this is "own occupation" coverage — meaning it pays if Remy can't practice medicine specifically, not just any job.

What it covers: Medical expenses for the family — doctor visits, hospital stays, prescriptions, lab work, and preventive care. Includes the whole family (Remy, you, Issa, and Ismael). Why we need it: Essential protection. A single hospital stay can cost $50K+. This keeps our out-of-pocket costs manageable. Who pays: Typically through one of the business entities. When employer-paid, it's a tax-free benefit to the family. Tax: Employer-paid premiums are deductible to the business and not taxable income to the employee. One of the best tax advantages available. Review the plan annually during open enrollment. Consider HSA-compatible high-deductible plans to maximize tax savings.

What it covers: Legal defense and damages if a patient sues alleging medical negligence. Covers Remy's clinical work as a physician and medical director. Why we need it: Absolutely essential for any practicing physician. A single malpractice lawsuit can result in multi-million dollar judgments. This is non-negotiable. Who pays: The clinical entity where Remy practices (iHealth Clinics or the contracting entity). Standard business expense. Tax: Fully deductible as an ordinary and necessary business expense. Verify coverage type: "Claims-made" policies only cover claims filed while the policy is active. If switching carriers, you'll need a "tail" policy to cover prior acts.

What it covers: Pays a lump-sum death benefit to the beneficiary if Remy passes away during the policy term. Pure protection — no cash value or investment component. Why we need it: With young children and multiple businesses, this ensures you and the kids are financially secure regardless of what happens. The payout would cover mortgages, education, and living expenses for years. Who pays: Typically paid personally to keep the death benefit tax-free. Tax: Premiums are NOT tax-deductible when personally owned, BUT the death benefit is received completely income-tax-free. This is the trade-off — and it's worth it. Term policies are affordable because they're pure insurance with no savings component. Consider the term length — it should last until the kids are independent.

What it covers: Extra liability protection that kicks in AFTER your other policies (auto, home, BOP) reach their limits. Covers catastrophic lawsuits, personal injury claims, and defamation. Why we need it: With a high net worth, we're a target for large lawsuits. If someone sues for $3M and your auto policy only covers $500K, the umbrella covers the remaining $2.5M. This is essential wealth protection. Who pays: Typically paid personally since it covers personal and business liability gaps. Tax: Personal umbrella premiums are generally NOT deductible. However, the cost is very low relative to the coverage — often $300-500/year per million of coverage. Rule of thumb: Umbrella coverage should roughly equal your net worth. As net worth grows, increase the umbrella accordingly.

What it covers: Permanent life insurance that lasts your entire life (not just a term). Includes a death benefit PLUS a cash value component that grows over time tax-deferred. Why we need it: Serves dual purpose — guaranteed death benefit for estate planning, plus the cash value acts as a conservative savings vehicle. Can borrow against the cash value tax-free. Who pays: Can be personal or through an irrevocable life insurance trust (ILIT) for estate tax planning. Tax: Premiums are not deductible. Cash value grows tax-deferred. Death benefit is income-tax-free. Loans against cash value are tax-free. Whole life premiums are significantly higher than term. The trade-off is permanent coverage and the cash value accumulation. Best used as part of an estate plan.

What it covers: Pays for medical bills and lost wages if an employee gets injured or sick on the job. Also protects the business from employee lawsuits related to workplace injuries. Why we need it: Legally required in Texas for most employers (and practically essential even where not mandated). Without it, the business is liable for all workplace injury costs out of pocket. Who pays: Each employing entity pays for its own workers' comp. Premiums are based on payroll size and industry risk class. Tax: Fully deductible as an ordinary business expense. Coverage amount is set by state law ("Statutory"). Premiums adjust annually based on your actual payroll and claims experience (experience modifier).

What it covers: Pays a lump-sum death benefit to the beneficiary if Remy passes away during the policy term. Pure protection — no cash value or investment component. Why we need it: With young children and multiple businesses, this ensures you and the kids are financially secure regardless of what happens. The payout would cover mortgages, education, and living expenses for years. Who pays: Typically paid personally to keep the death benefit tax-free. Tax: Premiums are NOT tax-deductible when personally owned, BUT the death benefit is received completely income-tax-free. This is the trade-off — and it's worth it. Term policies are affordable because they're pure insurance with no savings component. Consider the term length — it should last until the kids are independent.