When things are placed in a trust, the trust “owns” the property or investment.  It is for this reason that any property held in a trust needs to be named on the insurance policy. Insurance coverage on a property is only payable to the insurable Interest, or owner, of the property. The trustee is also listed on the policy as a contact person and as someone who can change the policy, pay the premium, or communicate with the insurer.

In the case of property transferred into a trust, you must remember that the title of ownership has changed. Failure to update your insurance policy to include the trust, can cause a claim to be delayed or denied.

Additional policies that may need to be updated are specialty policies for collectables, antique cars, boats, or other things that may have been specifically included in the trust.

Finally, to protect the assets in the trust in the case of lawsuits and liability claims, the trust should also be listed on your personal umbrella as an additional insured.

As an added benefit of your 1st Nor Cal membership, we at Lou Aggetta Insurance will help you review the things that are important to you and provide you with options for reducing risk in your life. If you decide to buy an Auto policy you will receive a $25 Gift Card. If you purchase both Auto and Home you will receive a $50 Gift Card.⁴ We are an independent insurance agent and can provide you with home, auto, life, health, business, and many other types of insurance coverage.