Placing your policy into Trust

In nearly all cases Save and Insure will advise that your policy is placed into Trust, which is a free service offered by the company. Having a policy placed into Trust has 2 significant benefits:

1. If a policy is not placed into Trust then the proceeds from the policy CANNOT be released until Probate has been granted by the tax authorities, which can take up to a year or more. If, on the other hand a policy is placed into Trust then upon your death the proceeds from the policy can be transferred from the insurance company to the Trustee (s) and then onto your chosen beneficiaries within a week or two of your death, in other words no need to wait for Probate.

2. The other main benefit of a policy in Trust is that it means that any proceeds from the Trust are not eligible for Inheritance Tax, no matter the size of the insurance policy i.e. your beneficiaries will not have to pay any tax on the money gifted to them from the life insurance policy.