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Taxation & Estate Planning

: Death and Taxes Blog

Larry King and Life Insurance Settlements

By Joel A. Schoenmeyer

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Suspenders-loving serial groom Larry King was in the news recently, in a Wall Street Journal article on life insurance settlements. The article can be found here.

Note that the type of life insurance settlement mentioned in the article is not the same as a viatical settlement, which was a concept that became popular about a decade ago. Viatical settlements were used in cases of terminally ill individuals (such as individuals with AIDS), to free up money for treatment, etc.

By contrast, life insurance settlements are used by individuals who are not terminally ill, individuals who have existing policies on which they no longer want to pay the premiums.

By the way, The Smoking Gun has a copy of Mr. King's complaint here. Slate's Timothy Noah offers commentary in an article entitled "Larry King, Sucker." Can you guess Mr. Noah's position?

Full post as published by Death and Taxes Blog on November 29, 2007 (boomark / email).

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