The law is different in Scotland, and the following 6 examples apply there.
for the benefit of A for life with remainder to B
A has an interest in possession.
for the benefit of A whom failing for B
During the joint survival of S and A no interest in
possession subsists in the policy with the result that ten yearly
charges may arise under IHTA84/S64. A charge will arise under
IHTA84/S65 if A survives S when the policy will vest in them or if
they predecease S when the policy will vest in B. No claim can
arise in connection with B’s death unless A has predeceased
them.
for the benefit of such of A, B and C as S appoints and in
default for D
During S’s lifetime no interest in possession will
subsist in the policy unless and until they vest it absolutely in A
or B or C (or any combination of them) by exercising their power
irrevocably. Short of that, ten yearly charges will arise from time
to time and no claims will arise on the deaths of A, B, C and D. As
and when the policy vests absolutely (i.e. on the death of S
without having appointed irrevocably to A or B or C, or in their
lifetime if they exercise their power irrevocably as above) a claim
will arise under S65. No claim arises on the death of A or B or C
in S’s lifetime unless they have appointed irrevocably and
absolutely to the beneficiary who has died. D’s death during
S’s lifetime gives rise to no claim.
for the benefit of A whom failing for S
No interest in possession subsists while both survive. Ten
yearly charges may arise. On the death of the first to die of A or
S a claim will arise under IHTA84/S65.
for the benefit of such of A, B and C as survive S and, if none,
for the benefit of the last to die
During S’s lifetime no interest in possession will
subsist so long as at least 2 of the beneficiaries survive and ten
yearly charges will arise. A claim will arise under IHTA84/S65
(i) on the death of the second beneficiary to die during S’s lifetime; or
(ii) on S’s death if more than one beneficiary survives them.
If all the beneficiaries predecease S, the policy will be an asset in the estate of the last of them to die.
for the benefit of such of A, B or C as survive S or attain 21
and, if none, then for the benefit of the last to die
IHTA84/S71 is in point.
