AALU
“Split-dollar arrangements (SDAs) can provide insurance planing flexibility in both business and private settings. Business SDAs generally are between a company and an insured employee or owner (or commonly his or her ILIT if the insured wishes to keep the proceeds out of his or her estate). A company may incorporate a SDA into the overall compensation structure of a key executive or employee to provide the benefit of personal insurance coverage, to fund retirement benefits for the insured (such as a supplemental executive retirement plan), or to assist in purchasing life insurance that will be used to fund the buy-out of business owners upon death or retirement.”
Read the full AALU report HERE.
Read more about Split-Dollar plans HERE.
Read more about ILIT trustees HERE.
Read more about Supplemental Executive Retirement Plans HERE.