The conversation between human and AI assistant.
How is life insurance part of your estate?
How can I avoid that?
One way to avoid that is to transfer ownership of the policy to someone else, such as a spouse or adult child. That way, the policy isn't considered part of your estate when you pass away. Another option is to set up an irrevocable life insurance trust, which allows you to transfer ownership of the policy to the trust and name your beneficiaries. This can help ensure that your beneficiaries receive the proceeds tax-free and that the policy isn't included in your taxable estate.