This is question 13 in CAFI mock 2. My question is, had the trust been revocable, would anyone other than Bryn be able to claim on the trust?
Q. If Paolo had predeceased Bryn, the life insurance proceeds would most likely have been paid to:
- the University of Izlandia.
C is correct. The trust was irrevocable so neither Bryn (while alive) nor his wife would have a claim on any of its assets including the life insurance policy or its proceeds. Had Paolo predeceased Bryn, the proceeds of the life insurance policy would have been paid to the remainderman on Bryn’s death, i.e., to the University of Izlandia