Who has Life Insurance in the US?

[freedonX]

talk about a random question!

 

...so here goes...

 

I've mentioned in some posts that I live in Mexico and I'm an Insurance Agent (life, medical, disability, savings, house, etc). [Also I'm a former IT guy with 20 year experiencie]. So anyhow...

Specifically I live in Monterrey which is a 2 hour drive to the US border, so that means Monterrey is very americanized. Without going into detail, several prospects tell me that Life Insurance in the US is very cheap so they don't buy a Mexican life insurance. I can't debate anything about it as the the Mexican laws regarding insurance are very specific compared to US insurance laws. For starters from a Tax law point of view. Also another thing, just for your knowledge, in Mexico no Life Insurance company can go bankrupt and leave the client's policy go up in the air. Compared to some US insurance companies.

So wanted to ask all you US folks when there is a death claim, if you have to pay a percentage to the IRS? In the end I want to know if the beneficiaries will receive 100% of it. That is at least how it's done in Mexico. They are not considered an income so therefore considered tax free.

Random topic...GO!