Hi everyone, we have Ruth Gilbert with us in the latest episode of the podcast and we are talking about Trusts. Trusts are a key part of a protection insurance recommendation and there’s a lot to know. There are different types, what do you do with the gifting of a terminal illness payout, how do things change when the policies are being used for IHT and gift planning.

We talk about who can be trustees on a policy and the difficulties that can happen if the wrong person is picked. Traditionally Trusts have been positioned as being a way to ringfence claims from IHT, but Ruth shares that less than 5% of deaths in the UK result in an IHT liability. 

The key takeaways:

• 1 in 3 people are risking their insurance payout without a Trust, if they are not married.
• Beneficiary nominations that are currently available with Guardian and Royal London, are quick and simple online, there’s no reason not to do them.
• Trusts mean that an insurance claim is paid more quickly and to the intended people, without having to wait for probate.

Next time Matt Rann is back with me and we are going to be talking about high net worth clients and how protection insurance underwriting can change as we start to look at higher value policies.

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If you want to know more about how to arrange protection insurance, take a look at my 13 hour CPD Protection Insurance in Practice course here and 1 hour CPD Protection Competency Exam here.

To be completed

Transcript Disclaimer:

Episodes of the Practical Protection Podcast include a transcript of the episode’s audio. The text is the output of AI based transcribing from an audio recording. Although the transcription is largely accurate, in some cases it is incomplete or inaccurate due to inaudible passages or transcription errors and should not be treated as an authoritative record.

We often discuss health and medical conditions in relation to protection insurance and underwriting, always consult with a healthcare professional if you are concerned about any medical conditions and symptoms we have covered in any episode.