Life insurance policy

I have a life insurance policy taken out in Hong Kong many years ago while my husband and child are beneficiaries to the policy. My husband and child are UK tax residents. I would be most grateful for any advice you may give on the following questions: 1. If I pass away, my husband and child (being beneficiaries of my life insurance policy) would receive the lump sum payout from the life insurance company based in Hong Kong. Are my husband and child required to report this lump sum payout and pay UK income tax or other tax on this payout received? 2. If I purchase life insurance policy in the UK instead of Hong Kong, would there be any difference on the UK tax implication or calculation for my husband and child (being beneficiaries of my life insurance policy) who receive the lump sum payout after my death?

Hi,

You can find guidance at:

HS321 Gains on foreign life insurance policies (2022)

and

HS320 Gains on UK life insurance policies (2022)

Thank you.