Hello Hank, I see you have a Universal Life Insurance policy also. Do you know if it is taxed when I “expire”? Barney from North Carolina
Hey Barney, I actually DO know the answer to that. I checked with my accountant to be 100% sure and he agreed with me that your beneficiary will NOT (99.999% of the time*) have to pay taxes on it. This is the one time I don’t mind having my Universal Life Insurance through Hartford Mutual. I slashed the “investment” piece of the policy and am only paying for the insurance side of it now. Don’t mix investing with insuring. They mix similar to oil and water.
* – The time this doesn’t apply to you is very rare, but CAN happen if you die at the same time your beneficiary and 2nd beneficiary also die. So it is very rare, but possible.