That is, some insurance merchandise or practices are helpful primarily due to authorized advantages, such as decreasing taxes, as opposed to offering protection against risks of adverse occasions. Sometimes this tax deferral is the only reason people use these merchandise. Another instance is the authorized infrastructure which permits life insurance coverage to be held in an irrevocable belief which is used to pay an estate tax while the proceeds themselves are immune from the property tax. The financial stability and power of an insurance company must be a major consideration when shopping for an insurance coverage contract. An insurance coverage premium paid currently supplies coverage for losses that may come up many years in the future. For that cause, the viability of the insurance carrier is very important.