Are life insurance premiums tax deductible?
Answered by 3 licensed agents
However, if you own a business, and you take out a life insurance policy on a Key Employee, and use your business checking to pay monthly premiums on the life insurance policy, then this would be ok to deduct the monthly premiums as a tax deduction as this would be considered a business expense.
Answered by Marc Carr on June 17, 2026
Broker Licensed in OH
There are some exceptions for businesses, such as certain employer-provided group life insurance arrangements or when life insurance is used as part of a qualified employee benefit plan. Tax treatment can vary based on ownership, beneficiaries, and business structure.
If you're a business owner, it's a good idea to consult a tax professional to determine whether any deductions may apply to your specific situation.
This information is for educational purposes only and should not be considered tax advice.
Shahwali Hotaki, Licensed Insurance Professional
Answered by Shahwali Hotaki on June 17, 2026
Broker Licensed in CA, CO, FL & 6 other states
Answered by Quan Ngo on June 18, 2026
Agent Licensed in UT
Tags: Financial Planning
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