Group life insurance: trusts

Setting up a trust is essential in order to purchase a group life policy. AIG Life provides the options of both a registered master trust and excepted life trusts for your clients.

Our trusts overview outlines the benefits of both options and how each trust is set up. If you’ve got any questions, get in touch with our team – we’re here to help.

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Excepted life trust


Whether your clients are new or existing excepted group life policyholders, the excepted life trust is available to them at no extra cost.

With this service, your clients can be sure their trust deed is properly worded and that professional trustees will be on hand if a death happens (provided by [x] (“PTL”). This helps to speed up beneficiary payments.

 

A blue stop watch with spinning hands

Quicker payments
to beneficiaries

A blue gear spinning clockwise

Less administration as no
need to act as trustees

A blue legal text being scanned by a magnifying glass followed by a tick

Reduced legal
and tax risk

 

How your clients can establish an excepted life trust

For a new policy:

  1. Download the excepted life trust deed.
  2. Open the PDF and complete the grey fields in the document (REGNUMBER is the Companies House registration number for the company).
  3. Indicate the date you wish to start the new trust in the grey date field ‘StartDateofPolicy’ (the trust can’t be backdated, so please use a date in the future).
  4. Save the PDF, print and sign it.
  5. Scan the signed document and email it to groupquotes@aiglife.co.uk with your completed application form, prior to the policy start date.

For an existing policy:

  1. Download the excepted life trust deed.
  2. Open the PDF and complete the grey fields in the document (REGNUMBER is the Companies House registration number for the company).
  3. Indicate the date you wish to start the new trust in the grey date field ‘StartDateofPolicy’ (the trust can’t be backdated, so please use a date in the future).
  4. Save the PDF, print and sign it.
  5. Scan the signed document and email it to groupclientservice@aiglife.co.uk with your policy number.

How to complete the excepted group life trust document

We’ve put together a guide to help you complete the document

READ MORE

Master trust

Maintaining a group life trust and acting as trustees in the event of an employee’s death can be daunting. That’s where professional trustees PTL come in.

For registered group life assurance schemes this is a single trust which is set up and administered by professional trustees, PTL. Either new or existing schemes can opt to join the trust at no extra cost. Employers do not need to maintain their own trust or act as trustees in the event of a death, this is done by PTL.

  • There’s no need to wait for HMRC registration
  • Employers don’t have to set up a trustee bank account
  • Employers don’t need to act as trustees
  • Schemes can go on-risk quicker, with no extra forms required
  • Trust deed and rules are kept up to date

Master trust literature and support materials

Master trust deed

A copy of the AIG Life registered master trust deed.

DOWNLOAD Updated 31 Mar 19
Master trust FAQs

This document provides a list of questions and answers about the master trust.

DOWNLOAD Updated 31 Mar 19

Blogs

Registered vs excepted trusts – what’s the difference?

Read our guide on the differences between registered and excepted trusts.