Publisher's Synopsis
Excerpt from Tax Treatment of Single Premium and Other Investment-Oriented Life Insurance: Scheduled for a Hearing Before the Subcommittee on Taxation and Debt Management of the Committee on Finance on March 25, 1988
The distinguishing feature of a variable life insurance policy that the cash value of the policy effectively is invested in shares a mutual fund. The cash value reflects the value of assets at t time the cash value is computed. In variable life insurance the death benefit typically will vary with the value of the under ing investment account. A variable life insurance contract can structured as a Single premium contract or any other form whole life insurance contract.
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