Life Insurance is not Asset Protected in California
Unlike some states that offer complete exemption on life insurance values, Life Insurance only has a maximum creditor exemption of $13,675, as recently updated March 2016 under California exemption law. Note this protection applies to both cash values during lifetime and death benefit proceeds for survivors.
What would you do if you were sued or had to file bankruptcy today? Would you lose your policy or benefits?
How would that affect your retirement, business or estate plan? And what would that do to your family?
SOLUTION: California law specifically states “death benefits from a private retirement plan are exempt“
The Private Retirement Trustsm offers a simple and cost-effective solution that provides exemption of both life insurance policy cash values and death benefits for a multitude of planning needs, without disturbing or forfeiting any of the powerful tax advantages or accumulation benefits.