“Willing Buyers” Change the Face of Life Insurance Valuations“Willing Buyers” Change the Face of Life Insurance Valuations

The new tax law increasing estate tax exemptions is one in a series of recent changes that are impacting seniors who’ve previously deployed life insurance strategies for estate and tax planning. Other factors, which were unforeseen for life insurance policies issued several years ago, are also creating unanticipated consequences for seniors. For example, most wealthy seniors are living longer than they expected and may no longer need their life insurance or are in danger of outliving their coverage. Also, the sustained low interest rate environment we’re experiencing has had a devastating effect on the inside cash buildup of many policies. As a result, many insurance carriers are increasing the cost of insurance as much as 200 percent. O...