Does Life Insurance Count In Estate? 
First of all , I need to stress that you should talk to an estate planning attorney about this topic . We life insurance guys know our way around the block here , but frankly , you should talk to an expert . Same as anything else where you need the best advice possible . Make sure it is an attorney who does specialize in estate planning . Real estate attorneys have their own area of expertise , as do commercial attorneys . Talk to somebody who knows the ins and outs of estate taxation . But , I can talk in generalities . If you own your life insurance , it would be included in your estate . If your spouse owns it , it would be included in his or her estate . Does any of this matter ? It does if you want to avoid or minimize estate taxation when your estate is settled . This means keeping both the state and federal tax people out of the picture to the greatest extent possible . How can you do this ? Well , since the ownership of assets is the key trigger in determining into whose estate money falls , then you can be creative with the ownership designation of your policy . It could be a trust . It could be another relative , such as an adult child . It could be your business . How do you make this decision ? This is where you talk with your estate planning legal expert and explore the ramifications of each choice . Taxation is not your only concern . There are issues related to control of assets as well . With the right guidance , you can put together a plan that gets the job done . 