IN Peters Township June/July 2018 | Page 39

INDUSTRY INSIGHT B LONG-TERM CARE SPONSORED CONTENT DON’T OVERLOOK LIFE INSURANCE IN YOUR ESTATE PLAN efore getting started, it’s important for you to know – I do NOT sell life insurance. But life insurance plays an important role in a comprehensive estate plan and is too often overlooked. To make sure you’re giving it due consideration, here are some of the most important uses for life insurance in estate planning, and some of the more common types of coverage to meet those needs. Uses of Life Insurance in Estate Planning: Estate Creation. For many younger clients, their most significant asset is their future earnings because they haven’t had time to save and invest for their future. For these clients, life insurance can be used to replace the loss of the deceased’s income that a spouse or child relies on. The proceeds from the policy create an estate where there was otherwise none, to be used for the benefit of the deceased’s family. Estate Liquidity. Clients often don’t consider the structure of their estate. If your estate is comprised primarily of your home and retirement accounts, your heirs won’t have immediate access to funds to pay your final expenses, inheritance taxes, and living expenses in the case of clients with families. There will also be additional tax implications if your heirs have to take wi