How do the premiums paid for the cost of my Life Insurance coverage protect my investment earnings from income tax?

Because GVUL is permanent Life Insurance, the premiums paid for Life Insurance protection are added to any additional premium for investment to form the investment cost basis (money not subject to income tax at withdrawal). Earnings are not subject to income taxes until the cumulative amount withdrawn exceeds the cost basis. That means the Life Insurance premiums perform double duty – providing life insurance protection and increasing the non-taxable investment cost basis.

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