BFI Consulting - Page 3

Key Advantages of Swiss Insurance Solutions Protection against seizure. Frivolous lawsuits have become a real hazard. Your assets can be legally protected through a Swiss annuity or other form of Swiss life insurance product. Based on article 79 § 1 of the Swiss Insurance Act, an insurance policy is protected from the policy owner’s creditors if the policy owner has designated his spouse and / or descendants as beneficiary/ies of the policy concerned. BFI Consulting can help you structure your investment to achieve solid protection. Strength of the Swiss insurance industry. Swiss insurers must comply with rigorous legal regulations and control mechanisms stressing safety over yield. Insurers are tightly monitored at all times for their solvency, continuity, liquidity and risk allocation of all their investments. Never, in nearly 150 years (a period covering the Great Depression and two World Wars) has a Swiss insurance company gone into liquidation. An enviable record! Protection against Bankruptcy. Should a bankruptcy of the insurance company occur, the guaranteed fund required by law for all Swiss insurers will protect the policyholder. This fund (maintained separately from the company assets and monitored by the Swiss Insurance Supervisory Board) would pay the policyholder the guaranteed value of his/her policy if the company should become insolvent. Tax advantages. There are no Swiss taxes on Swiss annuities. This is only one of many reasons why a Swiss annuity can be much more rewarding than a prestigious Swiss bank account or other monetary instruments, where all interest is subject to annual taxation.

Swiss Annuities - what they are and how they work Swiss annuity programs and other forms of Swiss life insurance have proven to be the most commonly purchased and ideally positioned vehicle for long-term asset protection and estate planning. The Basics. Swiss annuities are products offered by Swiss insurance companies. The options and variations are manifold and ensure enough flexibility to fit your individual investment requirements and objectives. The basic concept of Swiss annuities is quite simple: A deposit (referred to as single premium) is made, minimum US$ 20,000 per policy. The owner tailors the options to his/her specific needs. He/she may choose annuity payments to begin immediately or to be deferred (put off) for a number of years. This period of deferment, during which the value of your investment accrues, is called accumulation period or deferment period. Adding funds before annuitization, i.e. during the accumulation phase is possible. Once the accumulation period has ended, the payout period begins. Payments can be received as a one-time lump-sum payment or as annuity payments for life, joint life (i.e. covering 2 lives) or for a fixed number of years. They are made by check or bank transfer and are a combination of accrued interest, profit dividends and a portion of the capital invested. Upon the death of the person insured, the proceeds are paid to the designated beneficiary(ies). The policy’s conditions may be altered at any time during the accumulation period. Amongst many other options, the policy owner may extend the accumulation period, adjust the payout options, switch the currency denomination or surrender the policy.