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Here at Quote for Life Insurance, we give you the chance to put your policy into Trust free of charge. Finding out more about Trusts will help you understand the benefits and see if it is something you would be interested in.

What is a trust?

Putting your policy into trust allows make an investment for a specific person or people. These people can also be known as beneficiaries.  This would mean your policy is ‘written into trust’.


The main advantage of putting a policy into trust relates directly to inheritance tax. Usually, the pay out from your policy will form part of your estate which then becomes liable for inheritance tax. The UK threshold for inheritance tax is £325,000 and tax on any part of above this is payable at 40%. Writing your policy into trust mean your beneficiaries will be paid directly therefore the proceeds of your pay-out will not be taken into account when the inheritance tax is worked out. Depending on your circumstances, the total of your estate may be below the set threshold. Inheritance tax has to be paid within the first six months so a policy pay-out from trust could help to pay a tax bill.

You will not have to wait for probate for the policy to pay out and policies that have been written into trust can allow the beneficiaries to get the money quicker. Probate can be a long and stressful process and waiting for it to be over mean financial pressures are high whereas an insurance provider will just need a death certificate to pay out.

If you decide to put your policy in trust it allows you to choose exactly who you want the money to go to when it is paid out, this can be particularly worthwhile if you have children or a spouse whom you want to provide for. Trustees can be appointed to oversee money for children under 18 years of age.  The money paid out from this type of arrangement only goes to the people you choose rather than creditors, if you owe money upon the time of your death.

Here at Quote for Life Insurance, we can put your policy into Trust free of charge. Our team are ready to start the process with you so give us a call on 0800 6800 205…