Trusts

Introducing our new Online Trusts

No need for signatures – Trusts are in place from the outset, making it easier for you and your customers
More flexibility – an enhanced split Trust feature allows your customers to choose how much Terminal Illness or Critical Illness benefit they want to retain
Greater Freedom – customers can exercise product options without trustee’s permission such as declining of indexation option

FOR NEW APPLICATIONS ONLY

Trusts video

Why Trusts are a good thing for your customers

A Trust is a great way to help ensure your customers’ loved ones or their business is protected. By placing their life insurance in a Trust, they can benefit from
Better control

Making sure the money goes to the right people at the right time
Faster payments

With no probate, the money can be paid quicker
Avoid Inheritance Tax (Personal Protection)

Money paid out from your customers’ life insurance will not be part of their estate, helping to reduce any potential Inheritance Tax bill
Trusts can also ensure your customer’s partner receives the money they need to live on. For example, if your customer didn’t have a Trust and they weren’t married or hadn’t made a will, their surviving partner may not be legally entitled to the policy proceeds. So it’s a great way to protect the people who are important to them.

How do Trusts work?

There are three key roles in a Trust – the settlor, trustees and beneficiaries
Settlor

The settlor is the person/s setting up the Trust. They choose who benefits from the policy and who looks after the money (the trustees). The settlor is responsible for paying the premiums and is automatically one of the trustees. For Relevant Life Plan Trusts the settlor is referred to as the Principle Employer
Trustees

These are the people chosen to look after the Trust, make any future claims, and arrange for the money to be paid to the beneficiaries - in-line with the settlor’s instructions. It’s also their responsibility to take legal ownership of the Trust fund, and act in the best interests of all the beneficiaries.

For Relevant Life Plan Trusts, it will automatically be your employer. As for Share Protection, the trustees will include the other business owners.
Beneficiaries

For Personal and Relevant Life Plan Trusts, these are the people who are to receive the money from the Trust fund. This could be a spouse, registered civil partner or children for example.

As for Share Protection Trusts, the beneficiaries will be the other business owners.

Our range of Trusts

Everyone’s needs are different, that’s why we offer a range of Trusts your customers can choose from, depending on their circumstances. Take a look below at how they compare.

Type of Trust

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Type of Trust	Reason for cover	Available for Single/Joint plans?	Change beneficiary?	Online?	Who benefits?
Flexible	Personal	Yes	Yes	Single life policy only	Your customer names default beneficiaries who are first in-line to receive the benefit. The trustees can also use their discretion.
Discretionary	Personal	Yes	Yes	Single life policy only	The Trustees have discretion over who will receive the benefit, but specific guidance can be provided in a letter of wishes.
Survivors	Personal	Joint life policy only	Yes	Yes	The surviving life insured will automatically receive the benefit (if they survive the first to die by 30 days).
Relevant Life Plan	Relevant Life Plan	Single life policy only	Yes	Yes	Your customer names default beneficiaries who are first in-line to receive the benefit. The trustees can also use their discretion.
Business Protection	Share Protection Key Person	Single life policy only	Yes	Yes	The co-business owners.
Absolute	Personal	Yes	No	No	Your customer names the beneficiary at the outset and it cannot be changed.

Specialist teams to handle your customers claim

Our claims team are specially trained by the Samaritans, so you know that your customers’ trustees will speak to someone who understands that this may be a difficult time. They’ll also make every effort to pay a claim quickly.

Find our Claims contact numbers here
FAQs & Guide

Find frequently asked questions around Trusts or our new Online Trusts, you can also download our guide for additional information

Read FAQs Download Guide

For new Personal and Business applications. Trusts can be created in OLPC when submitting an application.

For existing Personal policies or if you want to use a paper-based Trust for a new policy.

For existing Business policies or if you want to use a paper-based Trust for a new policy.