Be ready for what comes up. Here are the top insights, strategies and things to keep in mind as you think about risk management and wealth protection opportunities.
Four Ways to Use Life Insurance in Wealth Management Plans
For high-net-worth families and individuals, life insurance can provide benefits that go well beyond replacing income to support beneficiaries when you pass away. Indeed, when included as part of a comprehensive estate plan, life insurance can provide liquidity to pay estate taxes, allow beneficiaries to retain ownership in important assets like family businesses and real estate, equalize inheritances among survivors, maximize your wealth and secure your legacy.
Why Buy Insurance?
When you drop a quarter into a slot machine, you know that your chances of winning are pretty slim. But risking a quarter (or perhaps much more than a quarter) may be worth it to you if the potential payoff is great enough. Insurance is a lot like that.
Getting Your Financial House In Order
Following are some of the major categories and tasks our advisors and I are recommending for clients to get their financial houses in order.
Exploring Irrevocable Life Insurance Trusts (ILITs)
Life insurance can be a useful, tax-efficient tool for ensuring the transfer of wealth and assets across generations – but finding the right structure to support your estate planning goals is crucial. As you begin your estate planning process, an irrevocable life insurance trust (ILIT) can provide a host of tax and non-tax advantages, as well as greater control over a life insurance policy that a last will and testament may not provide.