Does Life Insurance Go Into An Estate? 
If there is not a surviving spouse , the face amount of the life insurance will be counted in the value of the estate . If it is over the exempted amount , estate taxes will be owed on the amount that exceeds the estate tax exemption . However , life insurance does not go into the estate for purposes of probate , and is not charged income taxes . It goes straight to the beneficiary . If a properly set up ILIT -LRB- Irrevocable Life Insurance Trust -RRB- is used , the value of the life insurance is not considered in the value of the estate . 