Life Insurance Tax Changes

Hello all,time is running out before significant life insurance tax changes effective January 1, 2017. Clients who already have life insurance policies will want to ensure they keep their current status; changes that could impact grandfathering need to be done before January 1, 2017 or that protection could be lost. Here are a few items for both existing and new clients to consider:

-If you are thinking of getting life insurance, the cost of insurance will be cheaper now than in January 2017

-If you plan to convert from term to permanent insurance in the future, consider doing it now so you can have access to the pre 2017 rules.

-If you are interested in increasing insurance coverage, or have multiple lives insurance under a permanent policy, implement changes before 2017.

-If you are considering increasing coverage by adding a term benefit, ensure you do this in 2016 – this will keep the entire policy in grandfathered status.

-Business owners should increase coverage to account for increased business values and key person protection.

It is a perfect time to schedule an appointment to review your current policies and complete a needs analysis.

If you would like your own copy of our insurance review check list please call or email.