If my employer has been paying for my life insurance, and I qualify for the accelerated death benefit, is this taxable, and at what rate? Thanx.

“If my employer has been paying for my life insurance, and I qualify for the accelerated death benefit, is this taxable, and at what rate?”-----> .Accelerated death benefits are monies paid to the terminally ill for surrendering their policies to their life insurance companies. A policy can also be sold to a viatical settlement company. Viatical settlement companies purchase the policies either for themselves or for investors.The accelerated death benefit or viatical settlement proceeds received by the terminally ill are generally tax free so you do not report them on your tax return. However, if the policy is sold to a viatical settlement company or the accelerated death benefits are paid by an insurance company under a long term care rider, and the accelerated death benefits are used to pay for long term care, and the proceeds exceed the IRS per diem limit and the actual costs of long term care, the excess is taxable on your tax return.