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Trustee Duties When Overseeing Irrevocable Life Insurance Trusts

TASA ID: 22346

It is well settled that all trustees must act prudently in fulfilling their duties. However, not all trustees possess the same skills to administer a trust properly for the benefit of those beneficiaries. This is especially true regarding trustees of life insurance trusts.

Professional trustees have policies and procedures that govern the administration and management of the trusts they oversee. Complete and accurate recordkeeping is one of the fundamental duties trustees must undertake. Additional responsibilities include maintaining an administration file detailing any discretionary decisions and the basis for those decisions.

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