Russ towers bsmg

Durable Power of Attorney and No-Lapse Universal Life Insurance Owned by ILITs

In February of 2015, Broker World Magazine published Russell Towers’ article “Durable Power of Attorney and No-Lapse Universal Life Insurance Owned by ILITs”. In this piece, Towers explains that a DPA’s specific wording will affect whether your clients’ wishes will be fulfilled when insurance is owned by an irrevocable trust. As many people age their mental capacity may diminish when managing their finances, which raises the question of whether continued gifting of premiums to ILITs can take place. Because some individuals may be unable to manage their premium payments, Towers explains some planning steps to make sure this scenario does not take place.
To read more download a PDF of the whole article here or read it online.