Beware of complicated asset protection solutions. I was contacted by a gentlemen today who was not a citizen or resident of the United States, but who spent a few months each year touring the country in a mobile home. He has not assets or businesses in the U.S. Nevertheless, some asset protection “adviser” sold this gentleman on using a Swiss Insurance Company to provide asset protection against U.S. lawsuits. Offshore insurance companies are effective and very sophisticated asset protection techniques, and they are important tools in some complicated cases. But for this case, the advise was extreme overkill.
The adviser appears to be more interested in “selling” expensive product than giving reasonable advice. Few attorneys who practice asset protection would advise an expensive and sophisticated asset protection vehicle client who has very limited exposure to liability or creditors in the United States. The lesson in this case is that the most complicated and sophisticated legal plan is not always the best plan. Asset protection should be geared to the client’s specific situation, and the fancy and complicated planning should be used only for those clients whose asset mix and legal exposure requires the top level of asset protection work.