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Expert Q&A

Is it possible for me to gift an existing life insurance policy into an Irrevocable Life Insurance Trust?


Related Topics: Life and Disability Insurance, Estate, Wills and Trusts
Related Tags: Estate Planning, Life Insurance, Trust, Gift
Skip Jacobs
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By Skip Jacobs - Abiding Wealth Advisors
Answered 11 months ago

Yes it is. However, in order to be able to remove the life insurance death benefit from the taxable estate, it must be in the trust for at least 3yrs prior to a person’s death.
If a policy is placed into the trust at the outset, there is no waiting period.

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