I am rich,so I don’t need any life insurance, etc.
One may be able to accumulate assets in one’s lifetime and become a member of the elite group of rich people. Unfortunately, all accumulated wealth are subjected to taxes if not properly set up. The more assets one has accrued over the years, the more taxes one has to pay after death before they are passed on to one’s heir or heirs. A maximum amount of 55% of the estate is charged with taxes nine months after death. One’s initial purpose for acquiring Life Insurance was to provide for loved ones if something tragic happens. However, in a situation where someone rich dies, the benefits obtained from life insurance will provide liquidity to pay taxes and estate costs in order to maintain the full value of that person’s hard earned assets. Liquidating valuable assets to pay these expenses are minimized by proper Estate Planning.