Casey & Lundregan, P.C.

Attorneys At Law

Call for a free consultation

Local 978-224-8893

Toll free 800-785-3588

Life insurance and estate planning: A good combination

As an older investor – such as someone who has already retired – you may be seeking new ways to invest your money. While there are many options available to you, life insurance is one that often gets overlooked.

A new life insurance policy has many benefits, including the fact that you can leave it to your heirs in a tax-free manner.

Most people realize the benefits of buying life insurance when they're younger, including the fact that you obtain coverage at the lowest possible price point. However, there are exceptions that need to be considered, such as buying a policy later in life.

With a life insurance policy, you can turn your money into something that is never taxed in the future. Instead, when you pass on, the death benefit will go to your heir (or heirs) tax-free.

Even if premiums are high later in your life, you must still realize that a life insurance policy offers many benefits over other investments. In short, this is an estate-planning strategy to consider if the amount paid in premiums will be less than the face value over a period of approximately 20 years.

As long as you have enough money to pay the premium, without it impacting other areas of your finances, it's an estate-planning strategy that deserves your attention.

Since there is a lot that goes into implementing this strategy, you shouldn't jump in until you first understand how the process works. Once you are clear on every detail, you can decide if now is the time to purchase a policy.

Source: U.S. News & World Report, "Use Life Insurance for a Tax-Free Estate Plan," Jeff Brown, accessed Dec. 22, 2017

No Comments

Leave a comment
Comment Information

Experienced Local Attorneys

Casey & Lundregan, P.C.
71 Washington Street
Salem, MA 01970

Phone: 978-224-8893
Toll Free: 800-785-3588
Fax: 978-745-3607
Salem Law Office Map

Review Us
Mass Academy Credit Cards