Life assurance companies willing to act as trustee

pauper79

Hi. I get life assurance through my employer, which is 4x income. My wife is the nominated beneficiary and it is written into trust, with the comapny (Aviva) acting as trustee. All very nice.


I'd like to take out some separate top up cover for the benefit of my elderly mother, who is partly financially dependent on me. I would like this to be written into trust to avoid IHT and other issues if I were to die. But Aviva won't act as trustee for non-corporate policies; I have to nominate someone. I don't want to nominate a friend or relative to act as trustee. Does anyone know which life assurance companies are willing to act as trustee?


Thanks in advance.

Weighty1

On personal plans, no insurer provider will act as trustee. They only offer these services on Group Life policies.

Why not be the trustee yourself?

That said, if you're mum is financially dependent on you then why does she need life insurance? Normally life cover is only for when people are financially dependent on the person who is insureds.

If it's mainly to cover funeral costs then you could take out a "life of another" policy. You take out a plan on your mothers life and in the event of her death the money pays directly to you. It therefore doesn't enter the estate and isn't liable for IHT.

EDIT: Having read Dunstonh's post it's clear that I didn't read the OP's post clearly enough. As is suggested, still do the "life of another" option but your mother is the policy owner and you are the life assured OR, have your mother as the trustee.

dunstonh

Hi. I get life assurance through my employer, which is 4x income. My wife is the nominated beneficiary and it is written into trust, with the comapny (Aviva) acting as trustee. All very nice.

On group schemes, the employer pay towards (partly or fully) for employee benefits and many will employ dedicated administrators. The insurance companies often offer services in this area. As do dedicated administrator companies.

Does anyone know which life assurance companies are willing to act as trustee?

None of them. Individual plans are very different to group schemes.

An alternative option to writing it in trust is to make her the policy owner and you the life assured. If you die, she gets the money outside of the estate. If she dies, the policy can stop.