Second to Die Life insurance

Second to Die Life Insurance is used to reduce the overall cost of a Life Policy and/or provide for funds to cover Estate tax when they are due, typically at the death of the second spouse. These policies are also commonly used in conjunction with a Charitable Remainder Trust to replace a gifted asset for your heirs.

Lets look at an example:

Dave and Mary Johnson set up a Charitable Reminder Trust with a property they sold for 1.5 Million Dollars. They saved $315,000 in taxes, gained a $270,000 charitable tax deduction and named two local charities and their alma maters as the charitable recipients of their Charitable Remainder Trust. However; the Johnson's have 3 children and they would like to replace 1 Million of the gifted asset as that represents approximately what they would have received had they inherited the proceeds from the after tax property sale and after estate taxes.

They decide to purchase a Second to Die Life Insurance policy with a 1 Million Dollar Death Benefit. Note that the death benefit from a life insurance policy is paid out 100% income tax free and if structured properly 100% estate tax free as well.

The policy premiums can be paid using a portion of the income generated from the Charitable Remainder trust.

For more details and a FREE Second to Die Life Insurance quote, visit one of our other web sites at:



Harding Financial Services, LLC
The information contained on this site is for educational purposes only, it is not intended to be professional tax or legal advise; consult a tax advisor about your specific situation.


Annuity Trust (CRAT)

"Wealth is not to feed our egos, but to feed the hungry and to help people help themselves."
- Andrew Carnegie