Under which circumstances could the proceeds of a life insurance policy be included in the decedent's taxable estate?

Question

Quizplus · Accepted Answer

There are many circumstances in which the proceeds of a life insurance policy could be included in a decedent's taxable estate. These may include having a transfer of ownership take place within three years of the insured's death (within certain guidelines). Likewise, proceeds could also be includable in the estate if the decedent held an incident of ownership in the life insurance policy, and/or if the proceeds of the life insurance policy are paid out to the decedent's executor.

Under Which Circumstances Could the Proceeds of a Life Insurance