The death benefit proceeds are often fully or partially exempt from state inheritance taxes unless payable to the insured's estate. (thinkadvisor.com)
As long as your estate is under the federal exemption limit, or your own state inheritance tax level, no tax from your life insurance proceeds will be taxable. (insuranceandestates.com)
The death benefit proceeds from term life insurance are not subject to federal income tax, and they are often exempt from state inheritance taxes! (lifewealthwin.com)