A life policy is an item of property. As a general rule it can
be mortgaged, assigned or placed in trust.
If a life policy is in a trust you must consider all the
relevant documents in order to decide what the beneficial interests
are, and in particular whether there is an interest in possession (
IHTM16061). Life policies can present
particular problems because, usually, they do not produce income.
As with other types of property the claims that arise depend
upon the construction of the relevant documents.
IHTM20151-IHTM20170 indicate the
general principles.
