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 For the purpose of transferring
wealth to a younger generation using an exempt life insurance
policy, "child" is defined liberally, giving this technique
of transferring wealth even greater appeal:
"Child": a child of a natural
parent, an adopted child, a child of your spouse, a grandchild,
a great grandchild, or anyone under the age of 19 who was totally
dependent on you for support and who was in your custody and
control at the time.
The tax free rollover described in the
Intergenerational Wealth Transfer article applies to life insurance
policies only; it does not also apply to annuities.
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