I bet you didn’t know how much the life insurance industry really loves having the estate tax stick around? Yes indeed…according to a recent report on the fox business channel, life insurance companies spent $60 million in the last six months lobbying for the estate tax to stick around.
Why in the world would they do a crazy thing like that?
Well, you see selling large permanent life insurance policies to people who have estate tax issues is a tried and true business model for life insurance companies. In fact, the clip from Fox points out that life insurance companies generate a significant amount of revenue as a result of the estate tax sticking around. They say in the interview that the revenue generated by life insurers is 66% of what the federal government takes in for estate taxes.