Forbes has published an article, “Swiss Life Companies Enter Into Deferred Prosecution Arrangement For Abusive Private Placement Life Insurance Policies,” which discusses private placement life insurance (PPLI) policies, more specifically their supposed benefits and drawbacks as well as the legal ramifications of the use of these policies. The article begins as follows:
A private placement life insurance(PPLI) policy is a form of life insurance that is individually negotiated with a life insurance company, as opposed to an investor buying an off-the-shelf product such as are commonly sold. Such PPLI policies are usually very large life insurance policies, with total premiums paid usually in the $5 million range and up, and are frequently used in the estate planning for very wealthy individuals. Because they are negotiated individually with the life insurance company, PPLI policies can sometimes be more efficiently used than similar off-the-shelf products in estate planning scenarios.
Click here to see the full article: “Swiss Life Companies Enter Into Deferred Prosecution Arrangement For Abusive Private Placement Life Insurance Policies”
Posted by Anthony Tran, Associate Editor, Wealth Strategies Journal