Life insurance policy proceeds can be paid to a trustee upon the death of the insured.All of the following statements about having the proceeds paid to a trustee are true EXCEPT

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Trustees are generally permitted to receive a fee for their services, so statement C is false. The other statements are true. Using a trustee can provide flexibility in distributing the proceeds, particularly important when the beneficiary is a minor or incapacitated adult. The trustee does not guarantee investment results, as this is outside the scope of their role.

Life Insurance Policy Proceeds Can Be Paid to a Trustee