Next in Line is a weekly newsletter for advisors, brought to you by Herbie, covering the practical yet consequential interaction between estate planning and family dynamics.
Once a month, we sub out family dynamics and sub in our estate planning field report. As we spend more and more time with advisors and their clients, certain patterns emerge. This post highlights confusion around a popular topic: life insurance.
When we consider the confusion surrounding life insurance from an estate planning perspective, there are three aspects we see arise:
Most people don’t understand the role of life insurance in general.
They certainly don’t understand the ownership question.
There is confusion over ongoing responsibilities, especially for insurance trusts.