What is the Internal Revenue Service's (IRS's) Form W-9? And, more importantly, why do you need to fill one one when you are filing a death claim to access the proceeds of a life-insurance policy? Isn't a life-insurance death benefit a tax-free payment to the designated beneficiary? The answer is: Yes; in most cases of insured individuals, the death proceeds are tax free for the beneficiaries. The IRS simply likes to keep track of the movement of money. And, in the wake of terrorist events like those of September 11, 2001, the IRS has applied more scrutiny to life insurance. This is partly because cash-value life insurance has been used in various money-laundering schemes, and has the potential to be used to fund terrorist -- and other illegal -- activities. This video gives a basic overview of the Form W-9 -- what it is primarily used for, and why it is requested to process life-insurance death claims. Disclaimer: I am not a financial or legal adviser. I am not an attorney or tax preparer. This video is for general informational or entertainment purposes only and is not intended to provide financial, insurance, investment, legal, retirement, or tax advice. If you require personalized recommendations, consult a licensed professional in your area. For further reading, please visit: InsurancePrescription.com