Definitions Flashcards
1
Q
MEC
A
Meets requirement of Life Insurance Contract
Entered into on/after 6/21/88
Fails to meet 7 pay test
Meets guideline premium and corridor test or cash value accumulation test
Single pay policies are all MECs
2
Q
JTWROS Estate Characteristics
A
Not subject to probate
Can be disclaimed
Survivorship
Include 1/2 DOD FMV in Gross Estate
3
Q
Estate characteristics Tenancy by Entirety
A
Not subject to probate
Cannot be disclaimed
Only held by spouses
Divided like JTWROS
protected from claims of each spouse’s separate creditors
4
Q
Estate characteristics of tenancy in common
A
Subject to probate
Can be disclaimed
Assets owned UNequally (proportionate)
