Why You Need to Consider Life Insurance as Part of Your Estate Planning Policy

 

Do you have enough life insurance or a policy at all? Life insurance is an important part of the estate planning process. You may even want to make use of an irrevocable life insurance trust to give you more protection. In these situations, the right lawyer can make a big difference.

You probably are underinsured as many individuals are. Life insurance has many different benefits to play for you. These include:

  • Funding a business buyout plan.
  • Serving as a savings account if you choose to opt for whole life insurance.
  • Can be received by a beneficiary free of income tax.
  • Increases your estate, therefore, using a relatively small outlay of cash in the form of premiums to build wealth.
  • Gives ready cash for loved ones in the event of your death.
  • The policy can even be owned by someone else besides the insured and still not be subject to death taxes.

Given these numerous benefits, it makes sense that everyone in your family should have access to a life insurance policy. It is equally important to keep this life insurance policy updated with the names of appropriate beneficiaries. Bear in mind that as your life circumstances change, so too might the names of the beneficiaries listed on this policy. Having an annual opportunity to review all of this information frequently makes the most sense. Set up your review meeting with a New Jersey estate planning lawyer today.