Between physical assets and financial successes, there are many things that married couples share. HHM Insurors knows that couples today can easily accumulate wealth in the millions, which means hefty estate taxes in the event of either spouse’s passing. A Second-to-Die policy, also known as Survivorship Insurance, is a type of joint insurance that covers the lives of two people, usually married couples, where the death benefit is not paid until the death of the second insured person.
Under federal tax law*, you are permitted to leave an unlimited amount of personal assets to the surviving spouse, allowing you to postpone estate taxes until the death of the second spouse. While this lets you keep personal assets, such as home or business, within the family, it also means that your beneficiaries may be faced with paying a large estate tax after your passing.
A Second-to-Die policy from HHM Insurors gives your beneficiaries the means to pay off your estate taxes without having to liquidate the personal assets you’ve worked hard to attain. And because the policy insures more than one person, you’ll also enjoy a lower premium, and the total cost of the insurance will be cheaper than the estate taxes your beneficiaries will be liable to pay.
Due to the specialized nature of Second-to-Die insurance, some limitations may apply. It’s important to discuss your options with an insurance specialist from HHM Insurors to determine the right amount coverage for you and your family.
*Federal income tax laws are complex and subject to change. Neither Nationwide nor its representatives give legal or tax advice. Please consult your attorney or tax advisor for answers to specific questions.