Can Life Insurance Go To A Trust?
12689 POINTSview profileTed RatliffOwner, SFS Associates,Yes. A trust can be very advantageous depending on the reason for the trust and the type of trust. For example, you can use a Funeral Trust as a way to pre-fund your funeral and protect your life insurance from Medicaid spend down. An experienced agent can look at your individual situation and help determine if a trust would benefit you.Answered on May 21, 2013flag this answer
11783 POINTSContact Meview profileLarry GilmorePROAgent Owner, Gilmore Insurance Services, Marysville, Washington StateCan life insurance go into a trust? Yes, in fact there are life insurance trusts for people to use. The basic idea behind putting life insurance in a trust is to change ownership of the life policy and take it out of the owner's name and estate and put it in a separate ownership situation away from the original owner.Answered on May 21, 2013+01+1 this answer
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0 POINTSContact Meview profileDavid RacichPROFountain Hills, ArizonaIf you mean an irrevocable life insurance trust (ILIT) and the an existing life insurance policy, then the answer is yes, but the three year rule applies, which basically states that if death occurs within three years of the policy being placed inside the trust, it will be added back into the estate to cover what the service believes is contemplation of death. You can use an ILIT to own the life insurance policy if the ILIT is created and dated before the policy issuance date, thus the ILIT is the policy owner.Answered on May 22, 2013+01+1 this answer 0flag this answerview more answers by David Racich
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