Posted by 
In the sales market,7702 insurance, 7702 insurance plan, 7702 retirement plan, 7702 tax planning, A variety of new terms have emerged in an endless stream recently.in the text,American Life Insurance GuideWill help readers understand that the so-called"7702 Insurance"What the hell is it,"7702 Insurance" is good for us?
At the end of the article, we will also answer why the word "7702 insurance" will appear frequently in 2021.
How did the term "7702 insurance" come from?
Whether it is "7702 Insurance", "7702 Retirement Plan", or "7702 Tax Planning", it is inseparable from a 7702.
And the number "7702" ultimately comes from the tax code§ 7702 Terms.
- US Code, Title 26, Subtitle F, Chapter 79, § 7702 -Definition of life insurance contract:
The specific content of clause 7702
What is clause 7702 for?
Simply put, clause 7702 is a legal interpretation of the question of "what is a life insurance contract".
Those that meet the 7702 standard can be regarded as "life insurance products."
Section 7702 of the IRS defines the life insurance contracts that the federal government can recognize and how to levy taxes. Clause 7702 limits the amount of death compensation and the total amount of policy benefits, and defines the standards that can be regarded as "life insurance" products under the framework of federal tax purposes.It applies to life insurance contracts issued after 1985.
therefore,Whether it is "7702 insurance", "7702 retirement plan", "7702 tax planning", or more unheard names, they all refer to life insurance.
Why are the words "7702 insurance" frequently appearing recently?
For reorganizationNew Crown OutbreakFor the impact on the U.S. economy, the Biden administration has implemented a "special package" of economic stimulus policies for various industries.This big gift package also involves support for the life insurance industry,Which involves the modification of the original 7702 clause.
Due to the support of the 7702 policy, most life insurance companies will naturally choose to stop selling old products, release updated versions of life insurance products, and begin to convey this message to the market.
Therefore, the term "7702 insurance" has frequently appeared in the market recently.
How does 7702 affect me?
The revised Clause 7702 has adopted a new standard for life insurance policies issued after December 2020, 12.
As ordinary policyholders or investors, we do not need to know the specific amendment calculation details, but we must know that,In the new life insurance product account under the newly revised Regulation 7702, policyholders or investors are allowed to deposit more premium funds than before.
In the rampant evaluation opinions of industry experts, it was pointed out thatSome new life insurance products not only allow policyholders to deposit more funds, but also greatly increase the growth potential of the cash value of the policy account in both directions by reducing costs and expenses such as commissions.
For readers who are considering applying for or investing in a cash value life insurance policy under the new regulation 2021 in 7702, you can contactLife insurance company, Or professionalLife Insurance Brokerage Advisor, Understand the release progress and status of new products of different life insurance companies, and configure them to suit their needs.
Article summary
Through the analysis of this article, we can learn that whether it is 7702 insurance, 7702 retirement, or other names, it refers to life insurance products.
You need to keep in mind that whether it is consumption, investment or insurance,The first principle is always to know exactly what we are buying.
American Life Insurance Guide©️providedLife Insurance Institute.Insurance Guide.Policy evaluation for policyholdersAnd so on many columns for readers’ reference, put forwardLBYB – Learn Before You BuyPrinciples of American Life Insurance.
Before applying for an insurance policy, the American Life Insurance Guide©️ encourages consumers and investors to learn and understand the basic operating principles and functions of such financial products in advance, so as to obtain solutions that can truly protect their families and wealth. (End of full text)
(>>>Related reading:Evaluation｜The premium price doubles, which one is better for new and old insurance products? (202111)）
"7702" related reading:
01.Save $30 after watching!Please think twice before purchasing non-American life insurance products (read before applying for insurance)
02.Is American life insurance really tax-free?
