Posts Tagged ‘life insurance trust’

Asset Protection and Tax-Free Wealth Building Via a Life Insurance Dynasty Trust

In these times of eroding property rights, punitive tax rates, and financial insecurity, a U.S. taxpayer can use an irrevocable life insurance trust to protect trust property against creditors, legally avoid U.S. taxes, and also enjoy trust assets.  Generally, a carefully-designed irrevocable life-insurance dynasty trust (or generation skipping transfer (GST) trust) provides tax-free growth of […]

Life Insurance Trust: Tips for Keeping Inheritance Property Out of Probate

A life insurance trust can be thought of as a safe deposit box for storing inheritance property. Life insurance policies are placed inside the trust and managed by a Trustee. Upon the policyholder\’s death, the Trustee distributes proceeds to designated beneficiaries. A life insurance trust protects policy proceeds from estate taxes and the probate process. […]

Offshore Private Placement Life Insurance Trust – Funding a Dynasty Trust By Multiple Grantors

Private placement life insurance (PPLI) typically requires a minimum premium commitment of $1 million or more.  By pooling their available assets, two or more grantors of (i.e., contributors to) an irrevocable life insurance trust (ILIT) can reach the minimum premium commitment of a PPLI policy.  The insured may be one of the grantors, but need […]