Irrevocable Life Insurance Trusts (ILIT)
An Irrevocable Life Insurance Trust is a type of trust created to hold your life insurance policy. Placing your life insurance policy in a trust allows you to exempt the proceeds from estate taxes while making them readily available for your family’s beneficial use upon your death. An ILIT can also be used to protect life insurance proceeds from in-law spouses of your children as well as creditors.