Life Policies: trusts of life policies: introduction
A life policy is an item of property. As a general rule it can be mortgaged, assigned or placed in trust.
If a life policy is in a trust you must consider all the relevant documents to decide
- what the beneficial interests are,
- whether there is an interest in possession (IHTM16061), and
- if there is an interest in possession, the nature of that interest,
Life policies can present particular problems because they do not usually produce income.