Readers Question: who lives in Lincoln Nebraska, “How does a life insurance trust work in Lincoln?”

Lincoln, Nebraska is the capital and the second most populous city of the state of Nebraska. Lincoln’s economy is fairly typical of a mid-sized American city; most economic activity is derived from service industries. The state government and the University of Nebraska-Lincoln are both large contributors to the local economy. Other prominent industries in Lincoln include banking, information technology, insurance, and rail and truck transport. Three regional fast-food restaurant chains began in Lincoln: Amigos/Kings Classic, Runza Restaurants and Valentino’s.

Answer to readers question: life insurance trust is used to remove the assets and death benefit of the life insurance policy out of the insured’s estate for estate tax purposes. If the insured were to remain the owner of the policy, the policy procedes would be estate taxable at the time of death. This is a non-issue if your assets are less the the allowable estate tax limits.