Life insurance is an important part of financial planning to provide financial benefits for your loved ones. Most of the insurance policy owners nominated someone to receive the insurance proceeds in the event of their death. Do you think that you have done enough in providing security to your loved ones by nominating them in your insurance policies?

You may want to consider:-

  • If your spouse is the sole nominee to your insurance policy, what happens to the insurance proceeds upon your spouse’s passing?
  • If your minor children are nominees, who should claim the insurance proceeds for them in the event both you and your spouse are unable to?
  • Are your beneficiaries mature enough to handle large sums of money?
  • Is there someone competent enough to assist your beneficiaries?

 
You can prevent these problems when you create an Insurance Trust with Rockwills Trustee Berhad.

INSURANCE TRUST

An Insurance trust is an effective estate planning tool to protect your insurance proceeds. The insurance policies are assigned to Rockwills Trustee Berhad as the Trustee and the Trustee will hold it, manage and distribute the proceeds to the beneficiaries for their financial needs according to the instructions in the trust deed. The insurance trust can be revoked and amended by the settlor.

The Trustee will utilise your insurance proceeds immediately to provide your beneficiaries’ maintenance, education and medical expenses if you are no longer around as the insurance proceeds are not part of your estate.  If you suffer total and permanent disability or critical illness, the Trustee will pay any amount deeded necessary for your maintenance and medical expenses.

You can also instruct the Trustee to pay and settle your outstanding debts and liabilities while your Executor administering your estate.

Structure of Insurance Trust