Articles on Estate Planning
Rating Agency Moves Reflect Tough Times
by: JIM CONNOLLY
Published 2/19/2009
http://www.lifeandhealthinsurancenews.com
Ratings downgrades and negative ratings agency reports are piling up.
During the first half of February, ratings agencies announced reviews and actions concerning many major insurers.
Here is a sampling of some of them:
Organizing Your Affairs
Preparing and discussing the distribution of your estate is not easy. However, one of the best things you can do for your family is to have proper estate planning documents in place to help ensure the process will be handled according to your wishes. Establishing and maintaining a list that identifies key information for your survivors or the executor of your estate can significantly simplify and expedite an otherwise likely cumbersome and bewildering process. The following checklist will help you organize needed information in an easily accessible location ( i.e. 3 ring binder with dividers) for your survivors.
Process Overview for Implementing a Life Insurance Irrevocable Trust
Going forward to implementing a life insurance irrevocable trust (ILIT) the following steps take place:
- Our application that both you and your wife will sign will be for underwriting purposes only to determine the rate for you both based on current and past health.
- The ultimate applicant will be the Irrevocable Trust that you need to create with your attorney based on the sample language that I gave you.
- You should have two trustees: a) a corporate trustee (like, your CPA or your attorney) and one of your children that you pick.
- The will sign the subsequent application as owner of the policy titled the “Irrevocable Life Insurance Trust of Client and his wife”
- The beneficiary of the trust will also be the trust with the trustee’s administrating the trust.
- Payment of the premium, annually, comes from gifting the premium to the ultimate beneficiaries of the trust, like children and grandchildren and for 2009
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