Post by Sapphire Capital on Oct 24, 2008 20:48:42 GMT 4
Building Flexibility into the Irrevocable Life Insurance Trust
Gary A. Zwick
Walter & Haverfield LLP
Journal Taxation of Investments, Vol. 24, No. 211, 2007
Abstract:
One of the most effective estate planning tools is the irrevocable life insurance trust. The trust keeps the proceeds of life insurance out of the estate of the insured but in exchange, the insured must give up control over the life insurance policy. Most irrevocable insurance trusts need to last for many years both before the decedent dies and after. In that time, many things will change and the insurance trust should be drafted with as much flexibility as possible without causing inclusion of the trust in the estate of the insured. This article discussed some of the ways to make an irrevocable life insurance trust as flexible as possible so that the client will be comfortable committing to this effective planning idea.
papers.ssrn.com/sol3/papers.cfm?abstract_id=1272112
Gary A. Zwick
Walter & Haverfield LLP
Journal Taxation of Investments, Vol. 24, No. 211, 2007
Abstract:
One of the most effective estate planning tools is the irrevocable life insurance trust. The trust keeps the proceeds of life insurance out of the estate of the insured but in exchange, the insured must give up control over the life insurance policy. Most irrevocable insurance trusts need to last for many years both before the decedent dies and after. In that time, many things will change and the insurance trust should be drafted with as much flexibility as possible without causing inclusion of the trust in the estate of the insured. This article discussed some of the ways to make an irrevocable life insurance trust as flexible as possible so that the client will be comfortable committing to this effective planning idea.
papers.ssrn.com/sol3/papers.cfm?abstract_id=1272112