Royal London has launched a discretionary trust form which it said is easier to administer and claim on.
To make things simpler for advisers the new form has replaced four existing discretionary trusts, combining them into one.
This means the same form, whether online or paper, can be used for both joint and single life cases, with or without critical illness, with the online journey not requiring signatures from customers, trustees or witnesses.
New features to improve customer outcomes and prevent foreseeable harm have also been added with the most significant being the addition of co-habitees as beneficiaries.
According to Royal London, trustee administration at claim has also been reduced by including payment direct to beneficiaries as a more prominent option, avoiding the need for trustees to register the trust if the claim is not for death, as well as speeding up payment to the bereaved.
The insurer has also extended its online, signature-free, trust into the whole of life application journey.
Extending the signature-free trust process enables a plan to be placed in trust as part of the online application process meaning advisers are able to complete it in one go, making the service more efficient.
Royal London has said selecting the right trust for clients can now be completed online for WOL, business, relevant life plans and personal menu plans, removing the need for an electronic or wet signature from clients, trustees, or witnesses.
Jennifer Gilchrist, protection specialist at Royal London, said: “ Trust and beneficiary nomination developments are high on our agenda for digital enablement of advisers for new and existing customers. Having both solutions will help deliver the best outcomes for clients and their loved ones, especially when it comes to claims.
“This is particularly relevant to co-habitees, the fastest growing family unit in the UK, who can be excluded from death benefits without the right planning in place. Including this group provides one of the broadest selection of beneficiaries in the market.”
alina.khan@ft.com
