Ep.99 - Private Placement Life Insurance

For families with significant wealth, stewardship is about more than simply growing assets. It also means thinking intentionally about taxes, legacy, generosity, and how wealth can be structured to serve a greater purpose.

In this episode of Rich Young & Powerful, Andrew McNair explores Private Placement Life Insurance (PPLI)—an advanced financial strategy designed primarily for high-net-worth investors seeking more tax-efficient ways to grow, access, and eventually transfer wealth.

Andrew explains how PPLI works, why some affluent families use it to hold alternative investments, and how its life-insurance structure can potentially provide tax-deferred growth, tax-advantaged access to cash value, and estate-planning opportunities.

In this episode:

• What Private Placement Life Insurance actually is

• Why PPLI may appeal to investors facing significant income and capital-gains taxes

• How investments such as private equity, hedge funds, REITs, venture capital, and other alternatives may fit within a PPLI structure

• The potential role of PPLI in estate and legacy planning

• Why fees, insurance costs, diversification requirements, and investor-control rules matter

• Who may be an appropriate candidate for PPLI

• The importance of avoiding Modified Endowment Contract (MEC) problems

• Why PPLI should be coordinated with your broader financial, tax, estate, and philanthropic strategy