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dangina [55]
3 years ago
13

When a policyowner cash surrenders a Universal Life insurance policy in it's early years, this may be considered a red flag for

Business
1 answer:
alexira [117]3 years ago
3 0
When a policy owner<span> cash surrenders a Universal Life insurance policy in </span>its<span> early years, this may be considered a red flag for the government. The pre – death distribution of an insurance policy is taxable. Therefore, when an owner surrenders his life insurance in its early years, he is trying to avoid the possible taxes.</span>
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