• Which Places Are Safe
    • Fixed Annuities >
      • Fixed Annuities Overview
      • Fixed Annuity Benefits
      • How Fixed Rate Annuities Work
      • How Fixed Index Annuities Work
      • Differences Between Fixed and Variable Annuities
    • Social Security >
      • Social Security Overview
      • How Does Social Security Work
      • What Are My Social Security Benefits
      • What If My Spouse Is Deceased
      • Strategies For Maximizing Social Security Benefits
      • How To Estimate Your Social Security Benefits
    • Life Insurance >
      • Life Insurance Overview
      • Questions To Ask Yourself About Life Insurance
      • Basic Considerations For Your Life Insurance Needs
      • Common Uses For Life Insurance
      • Term Life Insurance
      • Permanent Life Insurance
    • Savings Bonds >
      • Savings Bonds Overview
      • How Savings Bonds Work
      • Savings Bonds Yields
      • Tax Advantages of Savings Bonds
      • Older Bonds / Baby Bonds
    • Banks and Credit Unions >
      • Banks and Credit Unions Overview
      • Certificates Of Deposits
      • Money Market Accounts
      • Savings Accounts
    • Critical Illness Insurance
    • Risk Money Places
  • How Safe Are They
    • FDIC - Federal Deposit Insurance Commission >
      • FDIC Overview
      • What Does The FDIC Cover?
      • How Does The FDIC Work?
      • Who Is The CDARS?
    • NCUA - National Credit Union Association
    • How Strong Is My Bank Or Insurance Company?
    • What Happens If The Bank Fails
    • What Happens If The Insurance Company Fails
    • Guaranty Associations (External Link)
  • Concepts
    • Wealth Transfer
    • Personal Pension Plan
    • Basic Money Math >
      • HOW FAST MONEY DOUBLES - RULE OF 72
      • Annual Percentage Yield Vs. Annual Interest Rate
      • Compound Vs. Simple Interest
      • Rate of Return
    • Financial Concepts >
      • Split Funding
      • Tax Deferral
      • Saving Too Conservative
      • Yield Ladders
      • Liquidity
    • Identity Theft Protection
  • Consumer Guides
  • Videos
  • Safe Money News
    • Current Issue
    • Digital Magazine
    • Subscribe
    • Contributors >
      • Raymond J. Ohlson
      • Steve Dinnen
      • TMA Small Business Accounting
      • Norm Wilkens
      • David Barker J.D.
      • Leo LaGrotte
      • Kim O'Brien
  • Resources
    • Ask A Question
    • FAQ
    • Financial Dictionary
    • Financial Basics Quiz
    • Calculators
    • Useful Tools and Links
  • Which Places Are Safe
    • Fixed Annuities >
      • Fixed Annuities Overview
      • Fixed Annuity Benefits
      • How Fixed Rate Annuities Work
      • How Fixed Index Annuities Work
      • Differences Between Fixed and Variable Annuities
    • Social Security >
      • Social Security Overview
      • How Does Social Security Work
      • What Are My Social Security Benefits
      • What If My Spouse Is Deceased
      • Strategies For Maximizing Social Security Benefits
      • How To Estimate Your Social Security Benefits
    • Life Insurance >
      • Life Insurance Overview
      • Questions To Ask Yourself About Life Insurance
      • Basic Considerations For Your Life Insurance Needs
      • Common Uses For Life Insurance
      • Term Life Insurance
      • Permanent Life Insurance
    • Savings Bonds >
      • Savings Bonds Overview
      • How Savings Bonds Work
      • Savings Bonds Yields
      • Tax Advantages of Savings Bonds
      • Older Bonds / Baby Bonds
    • Banks and Credit Unions >
      • Banks and Credit Unions Overview
      • Certificates Of Deposits
      • Money Market Accounts
      • Savings Accounts
    • Critical Illness Insurance
    • Risk Money Places
  • How Safe Are They
    • FDIC - Federal Deposit Insurance Commission >
      • FDIC Overview
      • What Does The FDIC Cover?
      • How Does The FDIC Work?
      • Who Is The CDARS?
    • NCUA - National Credit Union Association
    • How Strong Is My Bank Or Insurance Company?
    • What Happens If The Bank Fails
    • What Happens If The Insurance Company Fails
    • Guaranty Associations (External Link)
  • Concepts
    • Wealth Transfer
    • Personal Pension Plan
    • Basic Money Math >
      • HOW FAST MONEY DOUBLES - RULE OF 72
      • Annual Percentage Yield Vs. Annual Interest Rate
      • Compound Vs. Simple Interest
      • Rate of Return
    • Financial Concepts >
      • Split Funding
      • Tax Deferral
      • Saving Too Conservative
      • Yield Ladders
      • Liquidity
    • Identity Theft Protection
  • Consumer Guides
  • Videos
  • Safe Money News
    • Current Issue
    • Digital Magazine
    • Subscribe
    • Contributors >
      • Raymond J. Ohlson
      • Steve Dinnen
      • TMA Small Business Accounting
      • Norm Wilkens
      • David Barker J.D.
      • Leo LaGrotte
      • Kim O'Brien
  • Resources
    • Ask A Question
    • FAQ
    • Financial Dictionary
    • Financial Basics Quiz
    • Calculators
    • Useful Tools and Links

common uses for 
life insurance Policies

You’ve probably given some thought to how your heirs will be able to use the proceeds from your life insurance, but you might not have considered these specific uses:
  • Business Planning
  • Gifting to Charities
  • Building Wealth for Those You Leave Behind

Other ideas you should consider when making your decision about what type and amount of life insurance you should buy involve legal ramifications. You should involve both your insurance professional and your family attorney.  

For example:
  • Who will be the owner of the policy?
  • Will the policy become part of my estate, and, if so, can I eliminate that risk?  Is that an important question?
  • What about my child owning a policy?  Can I place restrictions on my minor child’s ability to access the funds until he or she reaches a  certain age?
  • Should I set up a “trust” to own my policy?
  • How should I designate beneficiaries?  For instance, did you know that, in most cases,  “beneficiary designations” trump (override) anything you put in your will?  And what is a “contingent” beneficiary?
  • Is it possible to borrow money from my Permanent Life Insurance policy and receive withdrawals without being penalized?
  • Can I exchange policies for another without having tax consequences via the 1035 exchange?
The answer to most of these questions is a qualified “yes!”  
Again, you should consult with your insurance professional, your family attorney, and perhaps a professional tax advisor as well.
Watch and Learn About Joint First To Die Life Insurance
Picture
  • Questions to Ask Yourself About Your Life Insurance Needs
  • Basic Life Insurance Considerations
  • Term Life Insurance
  • Permanent Life Insurance
Picture
Picture
Fixed Annuities

Picture
Savings Bonds

Picture
Social Security Planning

Picture
Critical Illness Insurance

Picture
Banks & Credit Unions 

About Safe Money Places
Safe Money Places® and this website are operated by SMP International LLC. 
If you have an questions or concerns, please contact us at 1-877-844-0900 OR contact us by filling out our form. 

Safe Money Places® does not warrant anything on this website, although we hope everything is accurate. We do not provide tax, legal, accounting, or investment advice. You need to do your own homework and consult your own experts on your personal situation. This website is protected by applicable copyright laws. You may make or print one copy of any material for personal use, further copying or distributing is prohibited without prior written permission.
​
Safe Money Places® is a registered trademark of SMP International LLC. Copyright 2005 - 2017
  • Which Places Are Safe
    • Fixed Annuities >
      • Fixed Annuities Overview
      • Fixed Annuity Benefits
      • How Fixed Rate Annuities Work
      • How Fixed Index Annuities Work
      • Differences Between Fixed and Variable Annuities
    • Social Security >
      • Social Security Overview
      • How Does Social Security Work
      • What Are My Social Security Benefits
      • What If My Spouse Is Deceased
      • Strategies For Maximizing Social Security Benefits
      • How To Estimate Your Social Security Benefits
    • Life Insurance >
      • Life Insurance Overview
      • Questions To Ask Yourself About Life Insurance
      • Basic Considerations For Your Life Insurance Needs
      • Common Uses For Life Insurance
      • Term Life Insurance
      • Permanent Life Insurance
    • Savings Bonds >
      • Savings Bonds Overview
      • How Savings Bonds Work
      • Savings Bonds Yields
      • Tax Advantages of Savings Bonds
      • Older Bonds / Baby Bonds
    • Banks and Credit Unions >
      • Banks and Credit Unions Overview
      • Certificates Of Deposits
      • Money Market Accounts
      • Savings Accounts
    • Critical Illness Insurance
    • Risk Money Places
  • How Safe Are They
    • FDIC - Federal Deposit Insurance Commission >
      • FDIC Overview
      • What Does The FDIC Cover?
      • How Does The FDIC Work?
      • Who Is The CDARS?
    • NCUA - National Credit Union Association
    • How Strong Is My Bank Or Insurance Company?
    • What Happens If The Bank Fails
    • What Happens If The Insurance Company Fails
    • Guaranty Associations (External Link)
  • Concepts
    • Wealth Transfer
    • Personal Pension Plan
    • Basic Money Math >
      • HOW FAST MONEY DOUBLES - RULE OF 72
      • Annual Percentage Yield Vs. Annual Interest Rate
      • Compound Vs. Simple Interest
      • Rate of Return
    • Financial Concepts >
      • Split Funding
      • Tax Deferral
      • Saving Too Conservative
      • Yield Ladders
      • Liquidity
    • Identity Theft Protection
  • Consumer Guides
  • Videos
  • Safe Money News
    • Current Issue
    • Digital Magazine
    • Subscribe
    • Contributors >
      • Raymond J. Ohlson
      • Steve Dinnen
      • TMA Small Business Accounting
      • Norm Wilkens
      • David Barker J.D.
      • Leo LaGrotte
      • Kim O'Brien
  • Resources
    • Ask A Question
    • FAQ
    • Financial Dictionary
    • Financial Basics Quiz
    • Calculators
    • Useful Tools and Links