High-End Life Insurance: How Have Contracts Evolved Since the Pacte Law?
The French Pacte Law, implemented in 2019, has significantly reshaped the landscape of high-end life insurance. In 2020 and beyond, life insurance becomes more flexible, more transparent, and still highly attractive for wealthy investors. Unit-linked contracts remain very profitable, with entry amounts ranging from €100,000 to several million euros, ideal for affluent clients seeking diversification, tax optimisation and portfolio security.
Pacte Law: Key Impacts on Life Insurance Contracts
One major change is the ability to transfer life insurance savings into the new Retirement Savings Plan (PER), benefiting from enhanced tax advantages.
This transfer provides an increased tax allowance:
-
€9,200 for individuals
-
€18,400 for couples
Valid for contracts older than eight years and individuals within five years of retirement, this incentive applies until January 1st, 2023.
The Pacte Law also allows intra-company transfers from one contract to another without losing tax history and without additional fees.
Greater Transparency for Policyholders
Insurers must now publish annually:
-
average guaranteed returns
-
participation rates
-
detailed fees and commissions
This transparency particularly benefits high-end contracts heavily invested in unit-linked assets.
Why High-End Life Insurance Is More Attractive Than Ever
Premium life insurance contracts provide:
-
personalised legal, fiscal and financial advice
-
significantly broader investment choices
-
advanced mechanisms for capital protection and performance optimisation
Management fees typically begin around 1%, while unit-linked annual fees average 0.90–0.95
