With regard to guaranteed universal life and survivorship life
, we hear, "Your premium and death benefits are guaranteed as long as you pay the premium.
Lincoln Financial Group (LNC) recently declared about its expansion suite of Survivorship life
insurance solutions with Lincoln WealthPreserve, Survivorship Indexed Universal Life (SIUL), Lincoln s first SIUL offering.
Second-to-die life insurance, also called survivorship life
, is most closely associated with the payment of federal estate taxes.
In cases involving a survivorship life
insurance policy where one insured has died, that policy can be exchanged for a new one that applies only to the life of the surviving insured.
In response to consumers' needs for greater protection during uncertain markets, expect to see continued interest in products offering guarantees, including universal life, survivorship life
, variable universal life and variable annuities.
The retention limit for individual life insurance products will be increased to as much as $30 million and the limit for survivorship life
insurance products will be increased to as much as $35 million.
Whether clients purchase single-life or survivorship life
insurance policies, to the extent that an irrevocable mast is the policy owner and beneficiary, the proceeds will pass estate tax free to their trust beneficiaries.
(also called second to die): $250,000 minimum.
insurance can help survivors handle a sudden tax burden, replace income, gift assets to grandchildren and keep the family business in the family.
I further recommended they take sufficient funds from the converted Roth IRA in the years ahead to fund the purchase of a survivorship life
insurance policy with increasing death benefit values on both their lives to replace the income tax being paid now.
A community bank president tells about a valued customer who had just purchased a $20 million survivorship life
contract with a $400,000 annual premium.
insurance, especially when used with a life insurance trust, is one of the most beneficial vehicles in estate planning.