A Life insurance policy not only helps provide financial reassurance to beneficiaries, permanent life insurance has the potential to accumulate cash value.
Life insurance can be a useful financial tool for physicians, lawyers, and individuals with a high-net-worth.
Life insurance policies can be owned by a trust outside of the estate and the death benefit proceeds are not taxed by the federal government, which may appeal to individuals who are hoping to minimize estate taxes.
When a Permanent Life insurance policy is sufficiently funded, you can borrow against accumulated cash value during your lifetime.*
There are many types of Life insurance policies to meet different financial needs.
*Policy loans and withdraws reduce the policy’s cash value and death benefit and may result in a taxable event. Surrender charges may reduce the policy’s cash value in early years.
The death benefit is generally paid out income tax free.
There are instances where federal and state estate taxes can kick in on the proceeds of a life insurance payout, depending on circumstances.
The total cash value accumulates on a tax-deferred basis.
You can access the cash value of the policy on a tax-advantaged basis.
54% of Americans own a life insurance policy.*
Do you have enough?
*Source: iii.org / LIMRA 2020 Insurance Barometer Study
