Specialized insurance companies and financial institutions typically structure and provide life insurance policies that fall under the category of privately placed arrangements. These policies are not generally available to the public and are specifically designed for high-net-worth individuals and families. The entities involved often have expertise in wealth management, estate planning, and sophisticated financial instruments.
These arrangements offer potential benefits such as tax-advantaged wealth accumulation and transfer, flexibility in investment options within the policy, and creditor protection in certain jurisdictions. Historically, such policies have been utilized as a component of comprehensive estate and financial planning strategies for affluent individuals seeking to optimize their wealth preservation and legacy.