Life insurance taxation: three scenarios for the post-election period


L’assurance vie could be reformed after the election (© Fotolia)

Life insurance is an essential tool for those who want to organize their estate in their own way and pass on capital at a lower cost. Its legal and fiscal regime could, however, last after the 2022 presidency.

Life insurance allows you to transfer capital to the people of your choice while escaping the applicable civil and tax rules regarding inheritance.

However, several experts are campaigning for a flat-out remission of these rules, and it is not to exclude the future President of the Republic following all or part of their recommendations. Zoom in on possible scenarios.

Maintaining the status quo

On the death of an insured person, the capital constituted in his life insurance is transferred to the beneficiary (ies) he / she has designed out of succession. This means that it is not taken into account in assessing the assets to be shared between its heirs and the share of its assets that must go to its conservative heirs (children or surviving spouse). This capital is also not subject to inheritance tax, but to a levy of 20% or 31.25%, after a deduction of 152,500 euros per beneficiary.

These specifics may allow you to pass on to your heirs a higher share of the inheritance than required by law or to gratify a third party who is not part of your heirs in more generous proportions than with a will. All in a very advantageous tax framework.

Probability of this scenario:

weak. This regime is unlikely to last in 2022 as it is both a stabbing blow to the

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