Why Life Insurance Still Matters — Especially Now

At DPH Financial Services, we believe that proper wealth management goes beyond investments—it’s about preserving legacy, managing risk, and protecting the future. That’s why we’re thrilled to share that our very own Dave Harris was recently featured in the San Diego Business Journal in a timely piece titled “In Crowded Field of Investment Products, Life Insurance Still Has Advantages”.

In the article, Dave discusses how life insurance remains one of the most versatile and underappreciated financial tools, particularly for high-net-worth individuals and families. With the impending “estate planning sunset” at the end of 2025, these tools are not just necessary—they’re essential.

Why It Matters Now

Many of the tax benefits from the 2017 Tax Cuts and Jobs Act are set to expire after December 31, 2025. This includes a significant reduction in the lifetime estate and gift tax exemption, which could drop from nearly $14 million to around $7 million. As highlighted in a recent estate planning insights report, this means that wealthy individuals may lose the ability to transfer large amounts of wealth tax-free if they do not act soon.

The Strategic Role of Life Insurance

Dave emphasizes that life insurance, particularly when held in trusts, offers more than just a death benefit. It can provide:

• Liquidity to pay estate taxes

• Wealth replacement for charitable giving

• Asset protection within trust structures

• Strategic flexibility in volatile markets

With the possibility of even more stringent tax laws on the horizon, as discussed in recent legislative proposals, these advantages become even more crucial.

Don’t Wait Until the Eleventh Hour

Dave’s advice? Begin planning now. Assembling the right team—financial advisors, legal professionals, and tax experts—takes time. Crafting an effective estate strategy isn’t something you can rush.

At DPH Financial Services, we specialize in helping clients navigate complex financial landscapes with trust, transparency, and professionalism. Whether you’re looking to preserve a family legacy, protect a business, or plan for future generations, we’re here to help.