BUYING LIFE INSURANCE TO COVER ELDERLY PARENTS
Business Insurance Premiums are Tax Deductible
Business insurance premiums are tax deductible as business expenses. . Life insurance covering your officers and employees if you are not directly or .
http://businessinsure.about.com/od/insurancepoliciesandlaw/a/dedinspre.htm
Corporate-owned life insurance - Wikipedia, the free encyclopedia
. 1980s by businesses seeking to in effect pay for insurance . those in which the employer would purchase life insurance .
http://en.wikipedia.org/wiki/Corporate-owned_life_insurance
Business Tax Deduction - Life Insurance
Life Insurance is a fairly common and accepted part of the risk management of any good personal or business financial plan. It is not, however, a valid business .
http://www.businesstaxrecovery.com/business-tax-deduction-life-insurance
Publication 535 (2011), Business Expenses
For tax years beginning after 2010, you cannot deduct any self-employed health . Credit insurance that covers losses from business bad debts. . Life insurance covering your officers and employees if you are not directly or indirectly a .
http://www.irs.gov/publications/p535/ch06.html
Corporate-Owned Life Insurance (COLI): Insurance and Tax Issues
Prepared for Members and Committees of Congress. Corporate-Owned Life Insurance (COLI): Insurance and Tax Issues. Baird Webel. Specialist in Financial .
http://www.nahu.org/legislative/resources/crs%20COLI%20May%2010.pdf
Term Life Insurance (for healthy seniors)
Key features:
- Medical examination required, to prove that the insured is in good health
Estate Taxes, Life Insurance, and Small Business - National Bureau ...
This paper examines whether and how people use life insurance to deal with the estate tax. We find that, other things being the same, business owners .
http://www.nber.org/papers/w7360- Insured covered up to the age of 90 or 95 (depends on insurance company guidelines)
- Premiums increase towards the end of the Term
- Many seniors outlive the fixed term so look for a policy that can be converted to whole life insurance
- Consider purchasing Burial Insurance also, should the senior outlive the Term
Burial Insurance (for healthy seniors)
Key features:
- No medical examination required
- Insured person is covered for life
- Premiums are locked-in and do not change
- Moreover, cash value increases over time
- If the insured is healthy, then you receive full benefit the day after you pay your first premium
- Coverage cannot be canceled as long as you pay your premiums on time
- Proceeds can be used for burial costs and other end-of-life expenses
Graded Benefits Burial Insurance (for seniors with health problems)
Key features:
- No medical examination required
- Insured person is covered for life
- Premiums are locked-in and do not change
- Policy increases in cash value over time
- You typically only get partial coverage for the first two years, and the full insured amount only in the third year of the policy
- Insurance company cannot cancel coverage as long as you pay premiums on time
- Proceeds can be used for burial costs and other end-of-life expenses
Transfer Your Life Insurance and Decrease Your Estate Tax | Nolo ...
For those estates that do owe taxes, whether or not life insurance proceeds are . (She will use the proceeds to buy Melissa's half of the business after Melissa .
http://www.nolo.com/legal-encyclopedia/transfer-life-insurance-decrease-estate-tax-29585.html
