A semiconductor device is made by disposing a plurality of semiconductor die on a carrier and creating a gap between each of the semiconductor die. A first insulating material is deposited in the gap. A portion of the first insulating material is removed. A conductive layer is formed over the semiconductor die. A conductive lining is conformally formed on the remaining portion of the first insulating material to form conductive via within the gap. The conductive vias can be tapered or vertical. The conductive via is electrically connected to a contact pad on the semiconductor die. A second insulating material is deposited in the gap over the conductive lining. A portion of the conductive via may extend outside the first and second insulating materials. The semiconductor die are singulated through the gap. The semiconductor die can be stacked and interconnected through the conductive vias.