Estate Planning

Amending Life Insurance Trusts in Florida

By David M. Goldman

Can I amend my life insurance trust?

A Florida Life Insurance Trust is an irrevocable trust and can generally not be amended. Although Florida's new trust code does allow for easier amendments of trusts when the primary purpose of the trust will not be accomplished by the current form. An example of this might be when the trust's beneficiary dies. This type of judicial modification is not certain and would depend on the circumstances and the court's willingness to agree.

One other way to modify a life insurance trust (ILIT) is to let the policy expire and create a new life insurance trust. Sometimes this is not practical because of a change in the health or age of the individual.

Most estate planning lawyers will plan for such contingencies in the original documents to avoid the necessity to modify, or create new trusts in the future.

Each set of circumstances is unique you should contact an Estate Planning Lawyer to review your needs and circumstances in dealing with changes with a Life Insurance Trust.

Full post as published by Florida Estate Planning Lawyer Blog on January 29, 2008 (boomark / email).