Post-issue policy management

For life insurance policies in your clients’ estate plan or trust, get support after the sale.
Lincoln can:

• Automatically generate in-force illustrations every year for our more recent products. These illustrations are generated shortly after the policy anniversary and can be found in the book of business tool on the Lincoln planner website.
• Track future policy changes that were in the original illustration – such as a death benefit option or premium changes – and send important reminders to you and your clients.
• Answer questions regarding investment options. Our dedicated team of licensed and credentialed specialists stay current on trends to help financial professionals make informed decisions about the investment options they offer their clients.

IUL product resources

For support when it comes to our indexed universal life (IUL) products, refer to:

VUL product resource

For support when it comes to our variable universal life (VUL) products, refer to:

The importance of client communication

With ever-changing estate laws, regular communication is important to confirm your clients’ estate planning desires. See how you can help clients address estate tax changes while ensuring they reach their financial goals.

The continuous evolution of trusts

As a reminder, like other financial plans, estate plans should evolve over time and be reviewed often. The general recommendation is at least every three to five years or when there is a life event for the owner or their beneficiaries. When a trust is part of the estate plan, there are some key items that clients and their financial professionals want to know.

• Does the trust have Crummey withdrawal powers? For a gift to a trust to qualify for annual exclusions ($17,000 in 2023) to eliminate potential gift tax, the gift must be a “present interest.” Annual exclusions are measured on a per beneficiary basis.
• Is the trust a “grantor” trust for income tax purposes with these advantages? There is no need for a Taxpayer Identification Number (TIN) because a grantor’s Social Security number (SSN) is used. If trust has income producing property, it is taxed to the grantor at much lower rates than if the trust has to pay income tax. All transactions between grantor and trust are tax-free – such as a sale to trust of appreciated property, loan interest paid by trustee back to grantor if trust funded by a loan, etc.
• Can the trustee purchase life insurance? Look for explicit provision allowing the trustee to purchase life insurance under a section of trust called “Trustee’s Powers.”
• Is there a mechanism for a distribution of income or principal back to grantor without triggering estate tax? IRC 2036 says that if you transfer property to trust and retain a right to income, it is included in your estate.

Partner with your Lincoln Life Advanced Sales team for practical customized solutions, strategies, coaching and advice to address your clients’ needs.

Ready to help clients protect their legacy with trust-owned life insurance? Email us at TOLI@LFG.com or call us at 800-832-5372.

Any tax information contained in this communication, while presented in good faith, is general in nature and is not intended to be a rendering of legal, accounting or tax advice and should not be used without the advice and guidance of a professional Tax Advisor. Furthermore, the information contained herein may not be applicable or suitable to an individual’s specific circumstances or needs and may require consideration of other matters.

Important information

This material is intended for informational and educational purposes only. It is not intended to be investment, legal, or tax advice. Work with your financial, legal and tax professionals for guidance.

Lincoln Financial Group® affiliates, their distributors, and their respective employees, representatives and/or insurance agents do not provide tax, accounting or legal advice. Please consult an independent professional as to any tax, accounting or legal statements made herein.

Affiliates include broker-dealer/distributor Lincoln Financial Distributors, Inc., Radnor, PA, and insurance company affiliates The Lincoln National Life Insurance Company, Fort Wayne, IN, and Lincoln Life & Annuity Company of New York, Syracuse, NY.

For financial professional use only. Not for use with the public.

LCN-6060122-103023
5/24 Z08
Order code: LIF-TOLID-IDE001

Post-issue policy management

For life insurance policies in your clients’ estate plan or trust, get support after the sale. Lincoln can:

• Automatically generate in-force illustrations every year for our more recent products. These illustrations are generated shortly after the policy anniversary and can be found in the book of business tool on the Lincoln planner website.
• Track future policy changes that were in the original illustration – such as a death benefit option or premium changes – and send important reminders to you and your clients.
• Answer questions regarding investment options. Our dedicated team of licensed and credentialed specialists stay current on trends to help financial professionals make informed decisions about the investment options they offer their clients.

IUL product resources

For support when it comes to our indexed universal life (IUL) products, refer to:

VUL product resource

For support when it comes to our variable universal life (VUL) products, refer to:

With ever-changing estate laws, regular communication is important to confirm your clients’ estate planning desires. See how you can help clients address estate tax changes while ensuring they reach their financial goals.

The importance of client communication

The continuous evolution of trusts

As a reminder, like other financial plans, estate plans should evolve over time and be reviewed often. The general recommendation is at least every three to five years or when there is a life event for the owner or their beneficiaries.

Partner with your Lincoln Life Advanced Sales team for practical customized solutions, strategies, coaching and advice to address your clients’ needs.

Ready to help clients protect their legacy with trust-owned life insurance? Email us at TOLI@LFG.com or call us at 800-832-5372.

Any tax information contained in this communication, while presented in good faith, is general in nature and is not intended to be a rendering of legal, accounting or tax advice and should not be used without the advice and guidance of a professional Tax Advisor. Furthermore, the information contained herein may not be applicable or suitable to an individual’s specific circumstances or needs and may require consideration of other matters.

Important information

This material is intended for informational and educational purposes only. It is not intended to be investment, legal, or tax advice. Work with your financial, legal and tax professionals for guidance.

Lincoln Financial Group® affiliates, their distributors, and their respective employees, representatives and/or insurance agents do not provide tax, accounting or legal advice. Please consult an independent professional as to any tax, accounting or legal statements made herein.

Affiliates include broker-dealer/distributor Lincoln Financial Distributors, Inc., Radnor, PA, and insurance company affiliates The Lincoln National Life Insurance Company, Fort Wayne, IN, and Lincoln Life & Annuity Company of New York, Syracuse, NY.

For financial professional use only. Not for use with the public.

©2024 Lincoln National Corporation

LCN-6060122-103023
5/24 Z08
Order code: LIF-TOLID-IDE001

Post-issue policy management

For life insurance policies in your clients’ estate plan or trust, get support after the sale. Lincoln can:

• Automatically generate in-force illustrations every year for our more recent products. These illustrations are generated shortly after the policy anniversary and can be found in the book of business tool on the Lincoln planner website.
• Track future policy changes that were in the original illustration – such as a death benefit option or premium changes – and send important reminders to you and your clients.
• Answer questions regarding investment options. Our dedicated team of licensed and credentialed specialists stay current on trends to help financial professionals make informed decisions about the investment options they offer their clients.

IUL product resources

For support when it comes to our indexed universal life (IUL) products, refer to:

VUL product resource

For support when it comes to our variable universal life (VUL) products, refer to:

The importance of client communication

With ever-changing estate laws, regular communication is important to confirm your clients’ estate planning desires. See how you can help clients address estate tax changes while ensuring they reach their financial goals.

As a reminder, like other financial plans, estate plans should evolve over time and be reviewed often. The general recommendation is at least every three to five years or when there is a life event for the owner or their beneficiaries. When a trust is part of the estate plan, there are some key items that clients and their financial professionals want to know.

• Does the trust have Crummey withdrawal powers? For a gift to a trust to qualify for annual exclusions ($17,000 in 2023) to eliminate potential gift tax, the gift must be a “present interest.” Annual exclusions are measured on a per beneficiary basis.
• Is the trust a “grantor” trust for income tax purposes with these advantages? There is no need for a Taxpayer Identification Number (TIN) because a grantor’s Social Security number (SSN) is used. If trust has income producing property, it is taxed to the grantor at much lower rates than if the trust has to pay income tax. All transactions between grantor and trust are tax-free – such as a sale to trust of appreciated property, loan interest paid by trustee back to grantor if trust funded by a loan, etc.
• Can the trustee purchase life insurance? Look for explicit provision allowing the trustee to purchase life insurance under a section of trust called “Trustee’s Powers.”
• Is there a mechanism for a distribution of income or principal back to grantor without triggering estate tax? IRC 2036 says that if you transfer property to trust and retain a right to income, it is included in your estate.

Partner with your Lincoln Life Advanced Sales team for practical customized solutions, strategies, coaching and advice to address your clients’ needs.

Ready to help clients protect their legacy with trust-owned life insurance?
Email us at TOLI@LFG.com or call us at 800-832-5372.

Any tax information contained in this communication, while presented in good faith, is general in nature and is not intended to be a rendering of legal, accounting or tax advice and should not be used without the advice and guidance of a professional Tax Advisor. Furthermore, the information contained herein may not be applicable or suitable to an individual’s specific circumstances or needs and may require consideration of other matters.

Important information

This material is intended for informational and educational purposes only. It is not intended to be investment, legal, or tax advice. Work with your financial, legal and tax professionals for guidance.

Lincoln Financial Group® affiliates, their distributors, and their respective employees, representatives and/or insurance agents do not provide tax, accounting or legal advice. Please consult an independent professional as to any tax, accounting or legal statements made herein.

Affiliates include broker-dealer/distributor Lincoln Financial Distributors, Inc., Radnor, PA, and insurance company affiliates The Lincoln National Life Insurance Company, Fort Wayne, IN, and Lincoln Life & Annuity Company of New York, Syracuse, NY.

LCN-6060122-103023
5/24 Z08
Order code: LIF-TOLID-IDE001