Who has the most expensive life insurance policy?

Asked by: Hailie Shanahan I  |  Last update: July 30, 2025
Score: 4.1/5 (61 votes)

The most valuable life insurance policy is US$ 250 million (£197,825,000; €229,825,000) and was achieved by HSBC Life (International) Limited (China) in Hong Kong SAR, China, as verified on 22 February 2024. The policy was taken out by an individual customer for wealth preservation and legacy planning.

What is the most expensive life insurance policy?

We've set a new Guinness World Record for the most valuable life insurance policy ever sold, worth US$250 million. Issued and fully underwritten by HSBC Life, our insurance business in Hong Kong, it was taken out by an individual customer earlier this year.

How much does a 5 million dollar life insurance policy cost?

How much does a $5 million life insurance policy cost? A healthy 40-year-old male who doesn't smoke might pay $316 per month for a $5 million term life insurance policy that lasts for 20 years. That same person would pay $7,149 — or about 22 times more — per month for a $5 million whole life insurance policy.

Do you have to pay taxes on a million dollar life insurance policy?

If the beneficiary isn't named in your policy, your life insurance benefits will go into a taxable estate. The first $11.7 million is not taxed at a federal level – this is the threshold. Anything above this amount is subject to being taxed.

What type of life insurance is best?

A whole life policy is generally considered the most secure form of insurance. Whole life policies have more rigid premium payment requirements than universal life policies. As long as scheduled premium payments are paid, the cash value is guaranteed to increase each year.

What Is The Most Expensive Life Insurance? - InsuranceGuide360.com

44 related questions found

What life insurance company pays the most claims?

Best Insurance Companies for Paying Claims
  • American Family Insurance.
  • Amica.
  • The Hartford.
  • Farmers Insurance.
  • Erie Insurance.
  • Nationwide Insurance.

Who is the richest insurance company?

  • #1: United Health Group (UNH)
  • #2: Berkshire Hathaway Inc. ( BRK.B)
  • #3: CVS Health Corp Group (CVS)
  • #4: The Cigna Group (CI)
  • #5: Elevance Health Inc. ( ELV)
  • #6: Centene (CNC)
  • #7: Ping An Insurance (PNGAY)
  • #8: Allianz (ALIZY)

Do millionaires buy life insurance?

A high-net-worth individual may not see a reason to purchase a life insurance policy, but it can actually be used as a tool of investment, to protect an inheritance, and to provide an additional financial cushion for their loved ones.

Do you pay taxes on life insurance?

Generally, life insurance proceeds you receive as a beneficiary due to the death of the insured person, aren't includable in gross income and you don't have to report them. However, any interest you receive is taxable and you should report it as interest received.

What insurance company do millionaires use?

Chubb Insurance Masterpiece

Chubb is a premium insurer that specializes in serving successful families and individuals. With over a hundred years of experience in 50+ countries around the world, Chubb is a household name among high net worth individuals.

Which life insurance has the highest death benefit?

Term life insurance typically offers the highest death benefit per dollar spent on premiums, making it a cost-effective coverage option.

Can a average person get a million dollar life insurance policy?

The result might be very close to a million dollars, as this amount of insurance is what many average middle-class households need to be fully protected in case of a tragedy. You don't have to earn $100,000 a year to choose this amount of life insurance.

Which life insurance company denies the most claims?

Top 8 Worst Insurance Companies
  1. Allstate. We know you have seen the ads. ...
  2. Unum. Unum is a leading disability insurance provider in the United States has a reputation for denied and delayed insurance claims – even when claims include their own employees. ...
  3. State Farm. ...
  4. AIG. ...
  5. Anthem. ...
  6. Farmers Insurance Group. ...
  7. UnitedHealth. ...
  8. USAA.

Who is the #1 insurance company in the USA?

State Farm is the largest auto insurance company in the U.S. based on written premium, or the total amount it bills customers. Progressive is the second-largest car insurance company, followed by Geico and Allstate.

What is the downside of life insurance?

Cons of life insurance

One disadvantage of life insurance is that the older you are, the more you'll pay for a policy. This is because you're more likely to pass away during the policy period than a younger policyholder and will, in turn, cost the life insurance company more money.

What happens if you outlive your term life insurance?

No, with a standard term life insurance policy, you won't be receive anything back if you outlive your life insurance. So, what happens at the end of your term life insurance? Your life insurance will simply expire and you can either take out a new policy or look into other types of financial protection.

Is term or whole life better?

It depends on your needs and wants. If you only need life insurance for a relatively short period of time (such as while you have minor children to raise), term life may be better because the premiums are more affordable. If you need permanent coverage that lasts your entire life, whole life is likely preferred.

What disqualifies life insurance payout?

Life insurance proceeds can be denied. Some denials are legitimate, like in case of policy lapses, material misrepresentations, or exclusions in the form of illegal activities or war. In other cases, bad-faith insurers use elaborate methods to reject claims so they do not have to pay the proceeds.

How much can you inherit without paying federal taxes?

While state laws differ for inheritance taxes, an inheritance must exceed a certain threshold to be considered taxable. For federal estate taxes as of 2024, if the total estate is under $13.61 million for an individual or $27.22 million for a married couple, there's no need to worry about estate taxes.

Can the IRS take money from a life insurance policy?

Yes, if you as the benfeciary owe the IRS money they can go after the life insurance benefits as after they are paid out, they become your asset.