IRS Section 7702 establishes requirements for a life insurance contract to receive life insurance treatment under federal tax law. Understanding these rules can help policyowners and advisors evaluate policy design, premium funding, cash value growth, and distribution strategies. This carousel highlights why policy structure matters, how funding levels can affect tax treatment, and why professional guidance is important before making changes. Because individual circumstances vary, consult qualified insurance and tax professionals for advice tailored to your policy and goals.