What is Private Placement Life Insurance (PPLI)?

What is Private Placement Life Insurance (PPLI)?

What is Private Placement Life Insurance (PPLI)?

PPLI is an established and internationally recognised tool for wealth preservation

 

It is adaptable to the most complex of situations, and its robustness and flexibility make it highly complementary to other wealth management solutions. It can be tailored to suit the unique needs of individuals, their families and institutions, with the potential to enhance financial planning.

We are committed to setting and maintaining the highest standards of risk and compliance in the industry. Our PPLI solutions are fully compliant with the legal requirements of multiple global jurisdictions.

Our solutions are expertly designed and we ensure sign-off by tax lawyers across all our markets, including various countries across the Asian region.

PPLI can be used to complement traditional life products

 

Protecting families or businesses against loss events such as debt repayment, taxation or key person risk is essential, as is the ability to free up capital otherwise set aside for these events.

Universal Life, Whole-of-Life, Term, and Savings or Annuity products, generally offer either a high death benefit, cash value accumulation, or both; providing clients the flexibility to protect key parts of their financial legacy. These traditional life products complement a PPLI solution, allowing for a holistic and comprehensive approach to estate planning.

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OUR PROPOSITION

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Case Studies

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PPLI allows clients to take advantage of many features

Tailor a truly bespoke succession planning strategy to the needs of each family whilst catering to often complex family circumstances and individual lifestyles.

Meet liquidity needs to repay debt, satisfy estate and succession taxes, protect against key person risk and preserve the integrity of the family business across generations.

Align with and optimise existing planning and holding vehicles, including trusts, companies and foundations, as life insurance is flexible and highly complementary to other wealth management solutions.

Invest in a broad and diversified range of asset classes, from traditional stocks and bonds to non-traditional assets, which include private equity, hedge funds and real estate.

Ensure that wealth passes to future generations and/or philanthropic or other causes exactly as planned whilst maintaining control during clients’ lifetimes and beyond.

Continue to adapt and rebalance investment portfolios in line with clients’ evolving needs and in response to prevailing market conditions.

Decide and freely change who will benefit from family wealth (including those who may not be legal heirs), without needing to contend with probate and estate administration.

Access to Double Taxation Agreements (reduced withholding tax on dividend payments).

Benefit from a solution that adapts to international lifestyles and remains effective across borders by staying fully compliant with the legal requirements of multiple global jurisdictions.

The contract and its set-up

 

Each situation is unique requiring individually tailored wealth planning strategies.

We, at Lombard International, have the ability to guide you in making the right choices in partnership with your asset manager, as well as your current and future advisors. PPLI solutions allow you to choose and adapt made-to-measure portfolio management strategies, enabling policyholders in most countries to broaden their available investment options to assets usually reserved for professional investors.

Different roles exist at insurance contract level:




 

Policyholder

The Policyholder is the entity subscribing to the contract.




 

Life Assured

The Life Assured is the entity whose death will trigger the payment of the benefits to the Beneficiary/Beneficiaries (whole of life policies).




 

Beneficiary

The Beneficiary is the entity benefitting from the pay-out of the policy’s assets’ value and the potential death cover linked to the contract. Beneficiaries can be adapted at any time by the Policyholder.