Trust Examiner School eBook

Irrevocable Life Insurance Trust (ILIT)

Irrevocable Life Insurance Trust (ILIT) also known as “Crummey Trust” Account Name Bank Name: Account Number: Examiner: Administrative Officer: Exam Start Date: Total Assets (MV): Reviewed as of date: Date of last administrative review: Legal Document On File Tickler Set For (system issues) – all may not be applicable Receipt of Premium Notice Sending Notice to Grantor for Premium Collection of Premium Sending Beneficiary Letter Receipt of Beneficiary Response Other (describe) Notices (letters) Notices Sent to Beneficiary As Required (only required if premium paid in cash, stock, bonds) Appropriate Distribution Language in Letter (e.g., letter has right IRS gifting amount, etc) Responses Received From Beneficiary Insurance Policy Annual Rating on Insurance Company Current Rating Meets Department Policy Periodic Assessment of Policy Suitability for Client Needs – if bank is making this assessment State Law Provides Protection for Not Performing

Date of last investment review:

Yes

No

NA

Appropriate Action Taken For Policy of Questionable Quality Appropriate Action Take if Policy Not Appropriate For Client

Other Assets In Account

Acceptable Quality Subject to Review If leveraging ILIT to pay premium, call your SME or Regional Trust Examiner Comments: (ensure comments are made for all negative responses)

1

FDIC 6350/51 (10-12)