Settlor's spouse/civil partner as beneficiary

Sean_Fernyhough

Is there a danger in a life assurance company's template discretionary trust including in the list of potential beneficiaries the settlor's spouse/civil partner as opposed to the settler's widow(er)/surviving civil partner?

I note that some older trust wordings use the latter form.

Sean_Fernyhough

@Sean_Fernyhough said:
Is there a danger in a life assurance company's template discretionary trust including in the list of potential beneficiaries the settlor's spouse/civil partner as opposed to the settler's widow(er)/surviving civil partner?

I note that some older trust wordings use the latter form.

I should have said the former form of words.

les_cameron

Assuming you are using it for IHT effectiveness then the answer is no unless you use it as a mechanism to directly or indirectly benefit the settlor.

Some standard templates allow you to exclude spouse so they do not become a beneficiary until they are a widow.