As a son or daughter of a parent who just announced they are interested in selling a life insurance policy just what are you giving up?
First things first, who was paying the premium and why are you thinking of selling a life insurance policy? Second, who owns the policy to be sold? Finally, why the change of heart?
If the children were paying all or a portion of the premiums are they going to share in the sale proceeds. If so, at what percentage? There should be a discussion as to why the policy owner or insured is thinking of selling a life insurance policy now and what the financial impact will be long term to the estate.
Policy ownership will determine who receives the sale proceeds and who is responsible to pay the tax. These are all important questions that need to be explored when thinking about selling an existing life insurance policy.
If you have a policy that you are no longer want, no longer need or one that you can no longer afford click our LIVEpdq link so that we can get started helping you today.