Trustee Of Life Insurance Policy
TL;DR
Putting life insurance in trust can help the payout go directly to your chosen beneficiaries and may avoid delays in probate. It can also help with inheritance tax planning in some cases. Whether you should use a trust depends on your family setup and objectives.
Putting life insurance in trust can help the payout go directly to your chosen beneficiaries and may avoid delays in probate. It can also help with inheritance tax planning in some cases. Whether you should use a trust depends on your family setup and objectives.
Key Points
- Life insurance pays a tax-free lump sum to your beneficiaries
- Term life insurance covers you for a set period (e.g. 25 years)
- Whole of life insurance covers you for your entire life
- Decreasing term is commonly used for mortgage protection
Who Is This For?
Life insurance is particularly important if you have a mortgage, dependants, or anyone who relies on your income. If your death would cause financial hardship for others, life insurance provides essential protection.
Next Steps
Our FCA-regulated advisers can help you find the right life insurance policy for your circumstances. We compare the whole market to find cover that fits your budget and protects your family.
Frequently Asked Questions
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Content reviewed: January 2026