Mitigate family risks

Estate Planning

Life Insurance can also be a very flexible solution for the payment of inheritance tax on a family property

In its most basic form, estate planning is about a parent wanting to leave money to a child, or a spouse wanting to make sure that their surviving partner is provided for. However, in recent times the subject has become increasingly more complex with significant changes in terms of law, taxation and regulation.

Life insurance is a perfect solution for estate planning issues as it can serve the purpose of either creating wealth for your heirs or to preserve the value of your existing estate. It is also a very flexible solution when the ultimate objective is to prepare for the payment of any estate duties such as inheritance tax on a family property.

With the baby boomer generation expected to create an inheritance windfall over the next two decades it is not just wealthy individuals who are now seeking legitimate solutions for their estate planning needs.

It is relatively easy to avoid direct estate duties on the proceeds of a life insurance policy by either nominating beneficiaries on the policy at outset or placing the policy into a suitable trust.

Mitigate family risk

How Life Insurance can help 

Payment of Estate Duties

The proceeds from a life policy can be used to pay off the estate duties allowing your total estate value to be maintained.

Retention of Liquidity

The proceeds from a life policy can be used to settle mortgages, loans or personal debts to ensure that non-liquid assets, such as a house or a business do not have to be sold but can be left to beneficiaries.

Income Replacement

The proceeds from a life policy can be used to establish a fund to provide income for an individual you may wish to support, such as your spouse, children or grandchildren.

Wealth Management

The proceeds from a life policy can be used to replace liquid assets used for other purposes, such as philanthropy or where asset values have declined from their original value.

For further information please speak to your
professional intermediary or alternatively email us