Who owns a life insurance trust?

Answer The trust itself owns a life insurance trust. Upon the death of the insured, benefits are paid into the trust while a trustee administers and oversees disbursement to the named beneficiaries. The p... Read More »

Top Q&A For: Who owns a life insurance trust

What is a life insurance trust?

Anyone can set up a life insurance trust when owning a life insurance policy. This allows the insured to transfer ownership of the policy upon his death. This is often done to avoid estate tax.Sour... Read More »

Can a Trust Be a Life Insurance Beneficiary?

Most U.S. jurisdictions allow life insurance trusts, in which a trust is designated as the beneficiary of the life insurance proceeds. However, the settlor (the individual assigning the life insura... Read More »

How to Create an Irrevocable Life Insurance Trust?

An Irrevocable Life Insurance Trust, or ILIT, is a commonly used estate planning tool. When an individual passes away, all the assets in his taxable estate (including life insurance proceeds) are ... Read More »

The Disadvantages of a Revocable Life Insurance Trust?

If you have a revocable trust, it means that you still control the assets, can make changes and even remove some of the assets from the trust for your personal use. In the case of life insurance, y... Read More »