Why more and more savers are choosing Luxembourg life insurance to secure their capital

Life insurance taken out with a Luxembourg-based insurer is attracting growing interest, and this is no coincidence. Several advantages – primarily asset security – explain this success, especially in a context of economic and financial uncertainty.

🔐 The ‘security triangle’ + the ‘super-privilege’: enhanced protection that is unique in Europe

What fundamentally distinguishes Luxembourg life insurance from a British policy is its protection framework. The savings invested are not simply entrusted to the insurance company – they are physically deposited with an independent custodian bank approved by the Luxembourg regulator, the Commissariat aux Assurances (CAA). Policyholders' assets are separated from the insurer's balance sheet and structured in separate accounts.

In the event of financial difficulties on the part of the insurer (bankruptcy, insolvency), these assets remain excluded from the company's liabilities. Better still, thanks to super-privilege, policyholders are classified as first-ranking creditors. They therefore have priority for the repayment of assets, ahead of all other creditors, including the State.

In other words, while life insurance in France only guarantees up to €70,000 through a guarantee fund, Luxembourg life insurance offers savers protection without any regulatory ceiling — a guarantee of peace of mind for large estates.

📉 A response to economic mistrust

For many savers — particularly those concerned about the impact of sovereign debt crises, currency turmoil or economic fragility — Luxembourg's framework inspires confidence. Luxembourg is perceived as a stable financial centre with robust regulation and a solid international reputation.

In fact, Luxembourg life insurance is seen not only as an alternative, but as a safe haven for assets: ideal for those seeking to protect their capital over the long term, while minimising the risks associated with the instability of an insurer or a market.