A trustee acts for the benefit of a beneficiary. You (as the policyowner) can appoint a trustee as beneficiary of your life insurance policy, under provincial legislation.

Where To Use A Trustee

You may use a trustee for

• a minor child
  • e.g., pay for food, shelter, education
• a disabled child
  • e.g., pay for care while maintaining eligibility for government benefits
• a spendthrift beneficiary
  • • e.g., pay specified amounts monthly

What A Trustee Does

The trustee does what you instruct. Detailed instructions on how to use the insurance proceeds provide the most guidance.

In the absence of instructions, provincial legislation governs the trustee's powers and could harm the beneficiary. For example, the trustee could be restricted in making investment decisions.