Foreign Nationals

Estate Planning        Wealth Accumulation    Premium Financing

Cost, privacy, legality, dollar denominated assets, and tax efficiency are amongst a few of the reasons as to why non-resident aliens purchase U.S. life insurance policies. The United States remains a political and economic safe haven for individuals whom do not reside in the U.S., as there is a sense of comfort in owning a U.S. policy due to greater financial security for their family members.

  • U.S. life insurance policies have the largest top-rated carriers in the world, are backed by international holding companies and there is recognition that U.S. based products offer lower costs inherent in those offered elsewhere.
  • U.S. mortality tables are lower due to high advances in medical technology and access to top medical care and thus produces substantial longevity results in reduced premiums and higher internal rates on cash value and death benefit. It goes without saying that privacy and confidentiality are extremely vital to all wealthy individuals that do not reside in the U.S, whether for security reasons or local tax concerns.

For gift tax purposes. an individual is a resident if he is domiciled in the United States at the time of the gift. For estate tax purposes, a person is a resident decedent if he is domiciled in the United States at the time of death. Resident aliens are subject to the same gift and estate tax laws applicable to U.S. citizens with a few distinctions. Non-resident aliens can make gifts of foreign or U.S. life insurance policies without being subject to U.S. gift tax whether on their own lives or on the lives of other individuals.