Will I Receive A 1099 For Life Insurance Proceeds?
4249 POINTSview profileGary LanePresident, Lane Independent Agency, Southern CaliforniaUnder current rules, life insurance proceeds are not taxable. Therefore, life insurance companies do not issue 1099's. There is no need to do so. They are not reportable income to the IRS. This is one substantial advantage of life insurance, over other places to put your money. Thank you. GARY LANE.Answered on May 5, 2014flag this answer
11498 POINTSview profileJason GoldenzweigCo-Founder, TermInsuranceBrokers.com, Goldenzweig Financial Group, Las Vegas, NevadaLife insurance proceeds are income-tax free and are therefore the insurance company does not send you a 1099 for the monies. This is one of the big attractions for people to buy life insurance policies. When the monies are paid to the beneficiary of the policy, they can use the funds in the manner they see best.Answered on May 7, 2014flag this answer.JPG)
63333 POINTSview profilePeggy MaceMost of the U.S.If you are receiving your life insurance proceeds on a payment plan, you will be paid interest on the amount of the death benefit that has not yet been paid to you. The interest (not the payments, just the interest) will be charged income tax and generate a 1099. The life insurance proceeds themselves will not cause you to receive a 1099.Answered on May 8, 2014flag this answer
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