An anonymous billionaire in Silicon Valley recently purchased the world’s most valuable life insurance policy worth $201million. The policy was sold by Santa Barbara based company S.G., an advising firm that specializes in complex financial situations.
According to cnbc SG’s president and founder, Dovi Frances has confirmed that the policy is split between 19 different companies. The amount was too high that no single company could afford a hit that big.
The deal took seven months to construct and surpasses the previous largest life insurance policy worth $100 million taken out by David Geffen in 1990. According to the AssociatedPress the Guinness Book of World Records announced Thursday that the $201 million policy holds the new world record after three months of reviewing.
The billionaire chose to remain anonymous for privacy reasons and not even his age has been disclosed. However Frances did disclose one reason the billionaire gave for taking out such a large policy. He bought it to help his heirs avoid paying a 45 percent inheritance tax when he dies.