Who Should Be Trustee Of Irrevocable Life Insurance Trust? 
Many family members and professional associates are eligible . Interestingly , I find that the majority of my clients designate a brother or sister as the trustee . That makes sense . After all , people tend to trust a close family member on life-and-death issues . When the insured is no longer around , a trustworthy soul is needed to handle the money . And also to take care of surviving family members . Siblings fit the bill . But it must be emphasized that trustees have a huge responsibility with regards to the policy inside the trust . They really need to make sure that it is audited on a regular basis to confirm it is performing as expected . You know how people sometimes lose track of their life insurance ? How sometimes it doesnt perform according to projections , and additional premium payments are needed ? Or it runs out of cash sooner than expected ? Or the death benefit gets reduced ? Well , if you are the trustee of your brother or sisters life insurance trust , you dont want any of this to happen . You very well could be liable . The insured set up the trust with a strategy designed to provide a certain amount of cash to certain people at certain times . Your job is to make sure the train arrives on schedule . If , for whatever reason , that policy under-performs , the buck could very well stop with you . You do not want that hot potato , both for financial as well as family reasons . You dont want to let the people down whom your sibling trusted you to help . So , if you are the trustee , make sure that policy is audited on a yearly basis , and make any changes that are necessary . 