Georgetown Trust Blog

Choosing the Right International Life Insurance Company

Posted by Georgetown Trust on Dec 11, 2014 1:24:00 PM

offshore-life-insurance-investmentsThere are a number of reasons why you should consider working with an international life insurance company. From the competitive premiums to the flexibility of plans, this approach can enhance your personal wealth and add a whole new dimension to your financial planning.

To get the most from this choice, it is important to assess the background of the insurance provider and make sure that it is in your best interests to do business with that company.

Tax Compliance

Before you spend any time delving into the plan offerings, you must make sure that the international life insurance company under consideration is tax compliant. This simply means that the structure of the plans are in compliance with the tax laws of your home country.

For example, if you are a citizen of the United States and considering an insurance plan that is based in South America, you must make sure that the plan is considered IRS compliant. Doing so will ensure the plan provides reasonable benefits and includes a concise means of reporting any taxable income to the right tax agency.

Range of Plan Options

Offshore life insurance comes in a variety of forms. You can choose to go with a whole life plan that is much like similar plans found at home. There is also the option of going with a variable life plan that allows some leeway in the amount of the premiums.

Don’t overlook the idea of a universal plan that provides the chance to direct where your money is invested to a greater degree. You can even go with a universal variable plan that allows for optimum investment options and also control over the premiums.

As part of the evaluation, you want to make sure that the life insurance company offers the type of life coverage that is best for your situation. Look closely at your reasons for securing the coverage and how you would want the disbursements to be managed. This will help you decide if the company does have a plan that will accomplish those goals and is worthy of looking at a little closer.

Track Record of the Provider

Before you make any decisions about a given international life insurance provider, spend some time getting to know the company a little better. Find out how long they have been in business. Longevity is one sign that the company is able to acquire and hold onto client over the long term. When and as possible, network with existing clients and ask for feedback on their experiences.

What you hope to find is that the company is known for dealing ethically with its customers and provides a reasonable amount of client support and service. If you find anything that causes some amount of discomfort, consider that a reason to shift your attention to a different provider.

Along with assessing the historical performance of the provider, spend some time considering the company’s future prospects. Can you see the provider continuing to provide services over the long term? Does the provider show signs of being able to adapt to changing laws and regulations and still maintain a competitive edge?

If you are assured that the insurance company is stable and will be around long enough to provide the benefits desired, then the provider is worthy of your consideration.

Choosing the best international life insurance company requires taking a comprehensive look at what you want to accomplish with the coverage. At the same time, you want to select a company that will provide all the support and benefits needed to accomplish your goals.

Just as with domestic options, take the time and explore each offshore option carefully. Doing so will maximize the benefits while keeping potential problems with offshore investment activity to a minimum.

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Topics: International Insurance