We are here to listen to you and, together with you, to find out whether taking out a life insurance policy answers your needs.
Life insurance policies are very popular: they offer assets protection and inheritance transfer. The policyholder can benefit from an insurance package which includes the ability to arrange and structure his assets.
Why take out a life insurance product in Luxembourg?
First of all, Luxembourg offers renowned expertise as a financial centre, located close to Belgium. The Luxembourg life insurance policy offers three types of investment funds for Belgian residents: external or “multi-vehicle" funds, dedicated funds, and internal collective funds.
Second, it offers assets protection. Indeed, the "safety triangle" mechanism introduced by the Grand Duchy of Luxembourg enables clients to recover their investments if the insurance company becomes bankrupt.
Third, Luxembourg is a strategically located financial centre that offers an international perspective. Indeed, our expertise enables us to offer legal and tax support across borders.
Finally, our life insurance policies protect your assets from your creditors, because the insurance company becomes the owner of the assets as soon as the premium is paid.
Did you know that in Belgium you can make a gift without going through a notary?
In Belgium, a gift of movable property does not have to be formally documented by notarial deed. This means, for example, that you can make a bank transfer to whomever you wish without having to pay notary’s fees and gift taxes. This also applies to the gift of a life insurance policy, in which case we speak of an "assignment of the rights under the policy" by the policyholder to an assignee.
Gifts enable donors to reduce the value of their estate, and thus reduce the rate of inheritance tax at the time of death.
So why would you choose to pay gift taxes if they can be avoided? Because the general rule for gifts is as follows: either (i), you decide not to register the gift and thus pay the inheritance tax reduced by the amount of the gift tax, but you would run the risk that you may not survive for three years from the date of the gift. In principle, gifts are exempt from any inheritance tax after three years. However, if death occurs within this period, the gift will be subject to inheritance tax in the hands of the assignee; or (ii), you decide to register the gift and no inheritance tax will apply, the actual time of death being irrelevant.
Besides, if you have made a gift without registering it and later change your mind, you can of course register it afterwards.
However, if you do not wish to take any risks as regards the three-year survival period and you do not consider it necessary to take advice from a notary, you can also register a gift yourself at the closest registry office.
Isn’t now a good time to invest?
Coronavirus is causing a new global economic crisis: the financial markets have fallen dramatically. Naturally, every investor wonders whether he should sell his investments and cut his losses now, or wait until some future rise in prices, or simply increase his existing investments.
Stock markets are volatile, but they have demonstrated over the past few years that long-term investments can perform well. People say that the best time to invest is when prices are at their lowest and the future looks promising. That said, no one has ever been able to determine when and, more importantly, how long it will take for your investments to recover. Investing is not always easy.
Life insurance enables you to rely on a selected manager and on his experience, which is important in a time of crisis. He will respect your investment profile and prospects, as well as your appetite for risk. All these aspects can be determined by contacting your advisor and/or our broker, even remotely.
Today's technology enables us to assist you in your pondering process, to provide you with advice, and even to take out - together - the life insurance product which suits you. Don't delay any longer, contact us!