In many cases, life insurance is an important investment that everyone should consider making. If you have needs for your family that would need to be carried on after you suddenly pass away, life insurance can help to fill in the gap of support. You may have purchased universal life insurance to pay your estate taxes.

The new tax laws exempt estates of approximately $11 million for individuals and $22 million for couples. You may no longer need that life insurance policy that you previously purchased. You may conclude that you no longer need a life insurance policy that was purchased to pay federal estate taxes. There are several different ways to deal with this situation.

You may be able to convert certain policies into private placement life insurance, also known as PPLI. Many families in this position may find this appealing because they can get the same benefits of a traditional policy with better returns. It is also critical to consider restructuring existing life settlements or policies if the initial option is not the most appropriate one for you. Scheduling a consultation with an estate planning lawyer in Pasadena will help you walk through the strategies and tools that you previously used, that may need to be reconsidered in light of the new laws.

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