Survivorship Whole Life Insurance

Take a Closer Look
Achieving your personal and financial goals didn't happen overnight. It took hard work and dedication. Protecting those years of hard work is a right you have earned and deserve. Proper estate planning can help accomplish this goal.

A properly structured estate plan builds security for you and your family today and assures that your estate will be transferred according to your wishes after you are gone. Unfortunately, many individuals are unaware that over half the value of their estate could be lost to federal estate taxes at death. In other words, without proper planning, the IRS could be the single largest beneficiary of your estate.

What is Your Estate Worth?
Do you need to worry about estate taxes? It depends upon your estate's value. The table below lists some of the assets used to determine your estate tax exposure. If married, remember to include the assets that you and your spouse jointly own.

Keep in mind that the estate tax bill is due within nine months after your death. This time constraint could force your heirs to sell valuable assets, often at a discount, to raise the cash needed to pay estate taxes. So in a short period of time, a large percentage of your estate could disappear.

How Big is Your Estate?

• Home
• Cash/Money Market Accounts
• Stock/Bond Portfolios
• Pension/IRA Accounts
• Business Interests
• Other Real Estate
• Life Insurance Proceeds
• Automobiles/Artwork/Other Collectibles
• Gross Estate

How Do You Pay Estate Taxes?
Now that you know the importance of properly structuring an estate plan, let's take a look at four funding methods.

• Cash: With this method, your heirs may be forced to sell stocks, bonds, and other investments to pay the estate tax bill. However, selling in a down market could result in substantial economic loss. Estate assets will be depleted and future investment opportunities foregone.
• Credit: In some instances, your beneficiaries will need to obtain a bank loan to pay estate taxes. Unfortunately, this is only a short-term remedy. Eventually, your heirs must repay the loan plus interest.
• Sale of Illiquid Assets: In some instances, your heirs will need to sell any business interest, personal residence, or other real estate possessions to raise the funds to pay the estate tax bill. The sale of a business could leave your heirs without a potential source of livelihood.
• Life Insurance: Purchasing life insurance can be a cost-effective funding vehicle for an estate plan. Your heirs may use the life insurance proceeds to pay the estate tax bill, without depleting the estate's assets. Life insurance proceeds can also be received free from federal income tax and estate tax if the estate plan is properly structured.

Survivorship Whole Life: A Solution To Your Estate Needs
Survivorship Whole Life insurance from New York Life uses today's dollars to make sure your estate has the liquidity needed to pay estate taxes tomorrow. Survivorship Whole Life insures two individuals in one insurance plan and pays the death benefit after the death of the second insured. As a result, the cost is more affordable than purchasing two separate life insurance policies.

A Valuable Addition To Your Portfolio
Survivorship Whole Life offers much more than a funding vehicle for an estate plan. It can help meet your business continuation, wealth replacement, charitable giving, estate creation and dependent care needs — whichever is more important to you. In this respect, Survivorship Whole Life is not just for older, affluent couples with estate tax problems. Survivorship Whole Life can also be a valuable addition to younger couples' or business owners' portfolios.

Will your child or grandchild be protected if you and your spouse should die unexpectedly? Would you like to leave an asset or a business to one child, but wonder how to provide equally to other children? Will your business survive without you or your partner? Survivorship Whole Life can solve these and other financial concerns.

Why Choose New York Life?
At New York Life, we realize that no two individuals are alike. For this reason, our Survivorship Whole Life offers the flexibility to choose a method of payment that best fits your situation.

In our Level Premium plan, the base premium remains fixed throughout the insureds' lifetimes. If rising costs and increased premiums down the road are a concern, this option provides you with the security that comes from knowing your base premium will never increase.

The Modified Premium plan has a fixed premium for the first fifteen years of your policy. In year sixteen, the base premium doubles and remains fixed throughout the life of your policy. This plan effectively minimizes current premiums and allows you to prepare properly for future premium payments — an attractive feature particularly for younger policyowners.

We also offer a number of affordable riders that allow you to further tailor the Survivorship Whole Life policy to meet your specific needs and objectives. For extra protection, term insurance may be available to increase your coverage at a competitive cost. Or, if you or your spouse or business partner will need cash when one of you dies, riders that pay a death benefit after the first death may be available.

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