Procedure of term life insurance in case of death

Over cross is also direct, if one wants it that way.

Then it can happen that inheritance tax has to be paid on the amount. Depending on what else is being inherited.

For exactly that reason, we took out cross policies. If you also have half a house to inherit, the tax becomes quite relevant rather quickly, doesn’t it?

€500,000 are available. So the house must be worth at least one million euros. I assume that the outstanding debt will be deducted from the million.

That is why some people can also skip the crossover story.

Alright, the remaining debt will be paid off eventually. But if that happens in 15 or 18 years, the remaining debt won’t be that large anymore. The house with the property is now worth 650,000. Half of that is just over 300,000. The 250,000 payout from the insurance will be added to that, right? Cash funds will certainly have been saved up again by then. It’ll get pretty tight without assuming an increase in the value of the house and property in the meantime.

Think about whether you really want to take out insurance with a health check at the lender. If this check fails, the loan is also lost. Prefer insurance with a third-party company. I think I have read about that.