Question: When preparing an estate plan I don't understand if I need to add in the gross estate/probate estate of a cash value life insurance policy

When preparing an estate plan I don't understand if I need to add in the gross estate/probate estate of a cash value life insurance policy the $1MM or the $400k
example: john is Ana's spouse, he has a cash value life insurance policy, John is the owner and insured, and Jill is the beneficiary ; $1MM face value; $400k cash value. What is included in the gross estate and probate estate if John dies?

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