An Irrevocable Life Insurance Trust (ILIT) can be an effective tool for preserving life insurance proceeds for beneficiaries while minimizing estate tax implications and maintaining control over how funds are distributed. For Pasadena residents, creating an ILIT involves careful alignment of life insurance ownership, trust terms, and funding strategies so that proceeds are held outside the estate. Our firm helps clients understand the mechanics of an ILIT and how it fits within an overall estate plan that may include a revocable living trust, pour-over will, and other documents tailored to California law and local needs.
Selecting the right trust language and coordinating ownership transfers are essential steps when forming an ILIT in California. The trust must be properly drafted and the insurance policy must be assigned or purchased by the trust to avoid inclusion in the grantor’s taxable estate. Additionally, clear instructions about gifts to the trust, trustee powers, and beneficiary designations are necessary to achieve intended tax and distribution outcomes. Pasadena families often combine an ILIT with other planning tools such as a financial power of attorney and advance health care directive to create a cohesive plan that protects loved ones and assets.
An ILIT offers several potential benefits, including keeping life insurance proceeds out of the taxable estate, providing liquidity to pay estate expenses, and ensuring that funds are distributed according to the grantor’s wishes. For property owners and business owners in Pasadena, an ILIT can be a key component of legacy planning and wealth transfer. Trustees can be given authority to manage proceeds for beneficiaries, protecting assets from creditors and from unintended uses. Properly structured, an ILIT can reduce family disputes and provide clear guidance for trustees and heirs during emotionally difficult times.
The Law Offices of Robert P. Bergman provides estate planning services to individuals and families throughout Pasadena and Los Angeles County. Our practice focuses on practical, client-centered planning that addresses tax issues, beneficiary protection, and ease of administration. We assist in drafting and implementing ILITs alongside complementary documents such as revocable living trusts, wills, and powers of attorney. Every plan is customized to meet personal and family goals while complying with California rules, and we prioritize clear communication so clients understand each step of the process and how decisions affect their estate.
An ILIT is a trust that owns a life insurance policy on the grantor’s life, removing the policy’s death benefit from the taxable estate if properly structured. Establishing an ILIT requires transferring an existing policy or arranging for the trust to purchase a new policy, naming the trust as owner and beneficiary. The trust document outlines how proceeds will be managed and distributed at the insured’s death. For Pasadena residents, it is important to coordinate these actions with an overall estate plan and to consider timing rules such as the three-year inclusion period that can affect estate treatment.
Key considerations when forming an ILIT include selecting a trustee who will follow the grantor’s instructions, naming beneficiaries and contingent beneficiaries, and setting distribution conditions that reflect family priorities. Funding the trust with the necessary premiums and addressing gift tax implications are part of the planning process. Additionally, coordinating beneficiary designations on other accounts, updating wills and trusts, and preparing accompanying documents like a certification of trust or pour-over will ensures a cohesive approach. Thoughtful planning helps protect proceeds and supports beneficiaries’ long-term financial security.
An Irrevocable Life Insurance Trust is a separate legal entity that owns a life insurance policy and controls the distribution of proceeds after the insured’s death. Because the trust owns the policy rather than the individual, the death benefit can be excluded from the insured’s probate estate when transfers and timing rules are observed. The trust document specifies how proceeds will be used, whether to provide income, pay debts and taxes, or be held for future distributions. Trustees have fiduciary duties to manage funds prudently and according to the trust’s terms to achieve the grantor’s intent for beneficiaries.
Creating an ILIT typically involves drafting clear trust language, transferring or purchasing a policy under the trust, funding the trust to cover premiums, and coordinating beneficiary designations and related estate documents. The trustee will need guidance on how to accept gifts, make timely premium payments, and handle proceeds upon the insured’s death. It is also important to prepare related documents such as a certification of trust, pour-over will, and, if necessary, trust modification or Heggstad filings to address property moved into the trust. Consistent recordkeeping and communication with trustees reduces the risk of unintended tax or probate consequences.
Understanding common terms helps clients make informed decisions when planning an ILIT. Terms commonly encountered include grantor, trustee, beneficiary, irrevocable transfer, gift tax, and estate inclusion rules. Knowing how these concepts interact clarifies why an ILIT is used and what administrative steps are required. This section offers plain-language definitions so Pasadena residents can discuss options with their advisors, coordinate other estate planning documents like wills and powers of attorney, and ensure their plans reflect their personal objectives and family circumstances in a state-specific context.
The grantor is the person who establishes the trust and transfers assets or arranges policies to be owned by the trust. In the ILIT context, the grantor typically initiates the trust, designates the trustee, and sets the terms for how insurance proceeds should be managed and distributed. Once the trust is executed and the policy is transferred, the grantor usually relinquishes direct control over the policy, which helps achieve the estate planning goals of keeping proceeds outside the taxable estate. Clear documentation of the grantor’s intentions is important for legal certainty.
The trustee is the individual or entity charged with administering the trust in accordance with its terms and in the interests of the beneficiaries. Trustees accept ownership of the policy, arrange for premium payments, manage trust assets, and follow distribution instructions when benefits are payable. Choosing a trustee who understands fiduciary duties and California trust administration rules helps ensure that proceeds are managed responsibly. Trustees also maintain records and work with advisors to meet tax filing and reporting obligations for the trust.
An irrevocable transfer is the act of moving ownership of an asset, such as a life insurance policy, into a trust such that the original owner no longer retains control over the asset. For ILITs, an irrevocable transfer typically places the insurance policy in the trust so that the policy proceeds will not be considered part of the grantor’s probate estate, subject to timing and gift rules. Because the transfer is irreversible, careful planning and consideration of long-term goals are essential before making the transfer.
The inclusion period is a specific time frame referenced in estate law that can affect whether transferred assets are included in the grantor’s estate for tax purposes. In the context of life insurance, transfers made shortly before death may be included in the estate under applicable rules. Proper timing, documentation, and funding strategies are necessary to achieve the intended estate tax results. Advisors commonly address this period when recommending transfers to an ILIT and when coordinating the trust with other parts of an estate plan to minimize tax exposure.
When evaluating whether an ILIT is appropriate, it is helpful to compare it with alternatives such as keeping a policy in the individual’s name, using revocable trusts to manage assets, or relying on beneficiary designations alone. An ILIT offers unique protections for life insurance proceeds but requires relinquishing ownership and taking steps to fund premium payments. Another option may be to use a revocable trust to coordinate assets while keeping flexibility during the grantor’s lifetime. Each approach has trade-offs related to control, tax treatment, and administrative responsibilities, and the best choice depends on personal and financial goals.
For families with modest insurance policies or straightforward beneficiary plans, retaining a policy in the individual’s own name while ensuring beneficiary designations are current can sometimes be sufficient. This approach reduces administrative complexity and preserves flexibility, especially when estate values are unlikely to trigger significant tax concerns. Nevertheless, it is still important to coordinate beneficiary designations with other estate planning documents and to confirm that the selected beneficiaries will receive proceeds in the manner intended without creating unnecessary probate or creditor exposure.
In situations where the grantor values the ability to change the policy’s ownership or beneficiaries quickly, keeping control of the policy may be preferable. A limited approach may be chosen when estate tax exposure is minimal and the primary goal is to maintain flexibility to adjust coverage, beneficiaries, or policy terms. It is important to weigh administrative convenience against potential long-term estate planning objectives because ownership retained by the grantor can result in inclusion of proceeds in the estate under applicable rules at the time of death.
When life insurance proceeds are substantial relative to the overall estate, a comprehensive ILIT strategy can help shield those proceeds from estate inclusion and provide structured support for beneficiaries. A detailed plan addresses trustee selection, premium funding methods, and distribution provisions that reflect long-term family needs. It also coordinates gifting strategies and related documents to maintain the intended tax treatment. For families with meaningful assets, a thorough plan reduces risk of unintended tax consequences and ensures that life insurance benefits fulfill the grantor’s objectives.
A comprehensive approach is particularly valuable when life insurance proceeds are intended to support business succession plans or to provide for a family member with special needs. In those contexts, the trust terms can be tailored to provide liquidity, impose distribution conditions, and work alongside other trusts such as a special needs trust or retirement plan trust. Thoughtful design minimizes conflict between various documents and helps ensure the proceeds are used in ways that support long-term financial security and the grantor’s broader estate planning objectives.
A comprehensive ILIT strategy can provide clarity about how proceeds will be used, reduce the likelihood of estate inclusion, and create a clear plan for trustees and beneficiaries to follow. By coordinating an ILIT with revocable living trusts, wills, and other planning documents, Pasadena residents can achieve smoother administration and reduce the need for court involvement. Thoughtful drafting of trust provisions also allows for flexibility in distributions while protecting proceeds from creditor claims in many circumstances, which supports family stability after the grantor’s passing.
Comprehensive planning often includes funding mechanisms for premium payments, guidelines for trustee decision making, and contingency plans for changing circumstances. This level of detail helps ensure that the trust operates as intended and that beneficiaries receive support in a manner consistent with the grantor’s wishes. Additionally, integrating ILIT planning with broader estate objectives—such as charitable giving or business succession—can create efficiencies and enhance the overall effectiveness of a client’s legacy strategy while addressing California law specifics and local administrative practices.
One significant benefit of a comprehensive ILIT plan is that it can preserve the full value of the life insurance proceeds for beneficiaries without delay from probate administration. When structured correctly, the trust receives policy proceeds and can distribute funds according to the trust terms without court oversight. This speed and privacy can be particularly valuable to families who need immediate liquidity to pay debts, taxes, or ongoing expenses. Clear instructions within the trust help trustees act promptly and reduce uncertainty for recipients during a difficult time.
A comprehensive approach allows the grantor to tailor how proceeds are used, such as providing for education, healthcare, or staged distributions over time. Trust terms can include protections that preserve benefits for vulnerable beneficiaries and guard against misuse or predatory claims. By setting thoughtful distribution rules and trustee powers, the plan can balance immediate needs with long-term stability for heirs. This customization helps ensure that the grantor’s intentions are followed and that beneficiaries receive support in ways that reflect family priorities and financial realities.
Begin ILIT planning well before expected funding needs or retirement to avoid timing pitfalls that can affect estate inclusion. Transferring an existing policy or arranging a new purchase by the trust should be coordinated with premium funding methods and beneficiary updates. Early planning gives time to document gifts, prepare tax filings if necessary, and verify that transfer rules are observed. For Pasadena residents, starting early also allows for review of other estate documents so that the ILIT integrates smoothly with revocable trusts, wills, and financial powers of attorney.
To maximize the ILIT’s effectiveness, align its terms with your revocable living trust, pour-over will, powers of attorney, and beneficiary designations on other accounts. Ensuring consistency among documents reduces the chance of conflicting instructions or unintended probate. Consider how distributions from the ILIT will interact with assets held elsewhere and whether additional trusts, such as a special needs trust or retirement plan trust, are needed. A coordinated plan supports family goals, simplifies administration, and helps preserve benefits for intended recipients.
Many Pasadena residents consider an ILIT when they want to protect life insurance proceeds from inclusion in their taxable estate, to provide orderly distributions to heirs, or to ensure funds are available to cover estate taxes and expenses. An ILIT can be part of a broader legacy plan that balances immediate liquidity needs with long-term wealth preservation. For individuals who own significant life insurance or whose estates may face tax attention, an ILIT offers a structured solution that supports family objectives while addressing legal and tax considerations under California law.
Other common reasons to consider an ILIT include providing for beneficiaries who may need oversight of funds, protecting proceeds from creditors, and ensuring that assets are used as intended for education, health, or other specific purposes. An ILIT can work alongside business succession arrangements and charitable planning to achieve complex objectives. Because an ILIT is irrevocable, careful planning and clear documentation are important, and the decision should be considered within the context of overall financial and family priorities to make sure it aligns with long-term goals.
Situations that often prompt consideration of an ILIT include having a large life insurance policy relative to estate size, needing liquidity to pay estate taxes, wanting to protect proceeds for minor or vulnerable beneficiaries, or seeking to separate insurance proceeds from estate assets. Business owners and those with blended families may also find an ILIT helpful to ensure fair and directed distributions. Evaluating family dynamics, asset composition, and long-term objectives helps determine whether an ILIT is an appropriate component of a broader estate plan.
When life insurance benefits represent a significant portion of a client’s overall estate, establishing an ILIT can help reduce estate tax exposure and provide immediate liquidity to cover liabilities and administration costs. An ILIT keeps proceeds distinct from probate assets and allows the trustee to distribute funds efficiently according to trust terms. Families facing complex tax considerations or needing to preserve wealth across generations often include ILIT planning as part of a broader strategy to protect beneficiaries and manage transitions in ownership or control.
Families with beneficiaries who are minors, have health challenges, or may have difficulty managing large sums often use an ILIT to provide structured support. The trust document can set distribution schedules, require trustee oversight for major disbursements, and include safeguards to protect funds from misuse. This structure gives grantors assurance that proceeds will be used for beneficiaries’ needs, such as education, healthcare, or daily living costs, while protecting assets from potential creditor claims or unplanned spending.
An ILIT can also play a role in business succession planning by providing liquidity to facilitate ownership transitions or to compensate heirs who are not active in the business. Additionally, when charitable giving is part of a legacy plan, an ILIT may be structured to direct portions of life insurance proceeds to charitable causes. Integrating an ILIT with business and philanthropic goals helps ensure funds are available when needed and that distributions support the grantor’s values and long-term intentions.
The Law Offices of Robert P. Bergman provides ILIT planning and related estate services to clients in Pasadena and surrounding areas. We assist with drafting trust documents, coordinating policy transfers, advising on funding strategies, and preparing complementary estate materials such as pour-over wills and health care directives. Our approach emphasizes clear explanations of options, careful attention to legal requirements, and assistance with trustee selection and administration so that clients can feel confident their plans address both immediate needs and long-term family objectives under California law.
Clients choose our firm for comprehensive estate planning that addresses life insurance matters alongside trusts, wills, and powers of attorney. We focus on practical solutions that match family priorities and legal requirements in California, helping clients craft ILITs that align with broader wealth management and succession goals. Our services include drafting trust language, coordinating transfers, advising on premium funding, and preparing the documentation necessary to implement the plan in a way that supports beneficiaries and preserves intended benefits.
We work with clients to evaluate the interplay between insurance, estate taxes, and distribution objectives, and we provide guidance on trustee duties and recordkeeping to ensure smooth administration. Our planning considers contingencies and coordinates the ILIT with existing estate documents, retirement accounts, and business interests. For Pasadena residents, this tailored approach reduces the chance of unintended consequences and helps create a stable framework for distributing proceeds when they are needed most.
Beyond drafting documents, we assist with implementation steps, such as preparing assignments or trust ownership transfers, documenting gifts for premium payments, and advising trustees on administration at the time benefits are payable. Clear communication with clients and trustees about expectations supports effective management of trust assets. By addressing both legal and practical aspects of ILIT planning, we help families build lasting plans that reflect their wishes and protect beneficiaries’ financial well-being.
Our process begins with a thorough review of your current estate plan, insurance policies, and family objectives to determine whether an ILIT meets your goals. We evaluate ownership and beneficiary designations, discuss funding strategies for premiums, and identify trustee candidates. After agreeing on objectives, we draft the trust document, coordinate any necessary transfers or policy purchases, and prepare supporting documents like pour-over wills and power of attorney forms. We also provide guidance on recordkeeping and trustee duties to help ensure the plan operates as intended.
The initial meeting focuses on gathering information about your assets, existing policies, family situation, and planning objectives. We discuss whether an ILIT is appropriate given estate size, tax considerations, and beneficiary needs. During this stage we identify potential trustees, examine timing and funding issues, and plan how the ILIT will integrate with other documents like revocable trusts or pour-over wills. Clear communication at the outset allows us to develop a tailored strategy that addresses both legal and practical concerns for Pasadena clients.
Collecting current insurance policies, trust and will documents, beneficiary designations, and financial statements provides the foundation for effective ILIT planning. This information allows for a comprehensive view of potential estate inclusion issues and funding requirements for premiums. We review ownership and beneficiary language to determine what transfers or changes may be needed and identify any immediate steps to protect proceeds. Accurate documentation sets the stage for drafting trust terms that reflect your wishes and legal objectives.
We spend time understanding your goals for the life insurance proceeds, including intended uses such as paying estate expenses, supporting family members, or funding business succession. We also evaluate beneficiary circumstances, such as age, financial maturity, and special needs, to design trust provisions that provide appropriate protections and flexibility. Thoughtful discussions at this stage help shape distribution schedules, trustee powers, and other key trust terms that will guide administration after the insured’s death.
After planning is complete, we draft the ILIT document, prepare any assignment or policy transfer forms, and coordinate with insurance carriers and financial advisors as needed. We ensure the trust language conforms to California law and addresses funding, trustee authority, and distribution mechanics. Implementation steps may include transferring ownership of an existing policy to the trust or arranging for the trust to purchase a new policy. We also prepare supporting estate documents and provide instructions for gifts to the trust to cover premium payments.
Execution of the trust and completion of any policy transfer paperwork are critical to establish the trust’s ownership of the policy. We guide clients through signing, notarization, and submitting documents to insurance carriers when necessary. If gifts are used to fund premiums, appropriate documentation and tax advice are provided to comply with gift tax rules. Completing these steps carefully helps ensure that proceeds will be treated according to the plan and reduces the risk of recharacterization for estate purposes.
Coordination with financial planners, insurance agents, and tax advisors ensures that policy ownership, premium funding, and tax considerations are addressed holistically. Advisors can assist with selecting appropriate coverages, determining funding strategies, and aligning beneficiary designations across accounts. This collaborative approach helps to avoid unintended gaps or overlaps in planning and provides a comprehensive implementation that supports trustee administration and beneficiary needs in the long term.
Once the ILIT is in place, preparing the trustee to administer the trust and maintaining good records are essential. We provide guidance about trustee responsibilities, premium payment processes, and how to handle trust assets. Trustees should keep clear documentation of gifts and payments and understand filing obligations for tax purposes when applicable. Regular reviews of the overall estate plan help ensure the ILIT continues to meet evolving family needs and legal considerations in California.
We assist trustees in understanding their duties, including how to manage premium payments, accept gifts, invest trust assets prudently, and make distributions according to the trust terms. Good recordkeeping practices include tracking gifts, documenting communications with insurance carriers, and preserving transaction records. Clear procedures reduce administrative burdens and set expectations for beneficiaries, which can prevent disputes and improve the trust’s long-term effectiveness for the family.
Regular reviews of the ILIT and related estate documents ensure the plan remains aligned with changes in family circumstances, tax law, and financial状况. Periodic check-ins allow for updates to beneficiary designations, coordination with new assets, and adjustments to funding strategies. While the trust itself is irrevocable, other parts of the estate plan may be updated to reflect new goals, and coordinated reviews help maintain a cohesive plan that continues to serve the family effectively over time.
An Irrevocable Life Insurance Trust is a trust that owns a life insurance policy and directs how the death benefit is to be managed and distributed. Unlike revocable trusts, an ILIT requires the grantor to give up ownership rights over the policy so that the proceeds may be excluded from the grantor’s taxable estate under certain conditions. The trust document spells out the trustee’s powers, distribution rules, and any conditions for beneficiaries, allowing the grantor to structure legacy plans around family needs and tax planning goals. Establishing an ILIT involves transferring an existing policy or arranging for the trust to purchase a new policy and coordinating funding for premium payments. Proper timing and documentation are essential because transfers close to the time of death may be included in the estate under applicable rules. Working through these steps with legal counsel and coordinating with insurance and tax advisors helps ensure the ILIT functions as intended and aligns with other estate planning documents in California.
Putting a life insurance policy into an ILIT can, in many cases, keep the death benefit out of your taxable estate, but it is not automatic in every situation. Transfers made shortly before death may be subject to estate inclusion rules, and incorrect handling of ownership or premium payments can create unintended tax consequences. Properly documenting transfers, meeting timing requirements, and funding premiums through gifts to the trust can help achieve the intended estate tax results. Because outcomes depend on timing, policy ownership, and the specifics of the trust document, it is important to plan well in advance and follow recommended procedures. Coordinating with advisors ensures gifts are documented, transfer forms are completed correctly, and any related tax filings are handled, reducing the risk of estate inclusion for Pasadena residents.
Once a policy is owned by an ILIT, the trust must have funds to pay premiums. Typically, the grantor makes annual gifts to the trust sufficient to cover premiums, and those gifts are used by the trustee to pay the insurer. Gift tax considerations and terms for how gifts are accepted and used should be addressed in the planning process to avoid unintended tax consequences. The trustee is responsible for managing premium payments and maintaining records of gifts and disbursements. Clear communication between the grantor, trustee, and any advisors ensures that premium funding is handled consistently, that the trust remains in good standing with the insurer, and that the policy continues to provide the intended protection for beneficiaries.
A trustee should be someone who can manage trust assets responsibly, keep accurate records, and follow the trust’s distribution instructions. This might be a trusted family member, a close friend, or a corporate fiduciary depending on the family’s needs and complexity of the trust. The trustee’s responsibilities include accepting ownership of the policy, making premium payments, and overseeing the distribution of proceeds to beneficiaries according to the trust terms. Selecting a trustee also involves naming successor trustees and clarifying the scope of their authority in the trust document. Providing guidance on investment policies, distribution standards, and communication expectations reduces the likelihood of disputes and helps ensure the trust operates smoothly when benefits are payable.
Yes, an ILIT can be a useful tool in business succession planning by providing liquidity to facilitate ownership transitions, buyouts, or to compensate heirs who do not participate in the business. The trust’s proceeds can be directed to support a buy-sell arrangement or to provide financial resources for family members during ownership change. Proper drafting ensures that proceeds are available when needed and distributed according to the business succession objectives. Coordinating an ILIT with business agreements, shareholder arrangements, and buy-sell provisions helps align timing and funding needs. Working with advisors who understand both business and estate planning considerations ensures that the ILIT supports a smooth transition and addresses tax and administrative matters consistent with the owner’s objectives.
Changing beneficiaries after an ILIT is created depends on the trust terms and whether the grantor retained any power to change beneficiaries. Because an ILIT is irrevocable, the ability to alter beneficiaries may be limited, and any changes must comply with the trust language and applicable law. If flexibility is needed, some clients consider contingent provisions or naming a trustee with discretion to adapt distributions under specified conditions. It is important to coordinate beneficiary changes across all accounts and documents so that designations do not conflict. Before making changes, consult legal counsel to understand the trust’s restrictions and to evaluate alternative mechanisms for achieving new distribution goals, such as creating additional trusts or adjusting other estate planning documents.
Funding an ILIT often involves transferring premium funds to the trust as gifts from the grantor, which can raise gift tax considerations depending on the amount and the use of annual exclusion provisions. Properly documenting these gifts and understanding how they interact with gift tax exclusions and filing requirements is an important part of the implementation process. In many cases, careful planning allows premiums to be funded without incurring gift tax liability by using annual exclusions or other strategies. Consulting with tax advisors helps ensure that gifts to the trust are structured and documented correctly. Clear recordkeeping of gifts, timely use of exclusions when appropriate, and preparing any required tax forms reduces the potential for surprises and supports the intended tax treatment of the ILIT.
An ILIT can complement a revocable living trust or pour-over will by providing a dedicated vehicle for life insurance proceeds while the revocable trust manages other assets during the grantor’s lifetime. The ILIT’s terms should be coordinated with the revocable trust to avoid conflicting instructions and to ensure that distributions and beneficiary needs are handled consistently. A pour-over will can be used to collect assets not already placed in trust, creating a cohesive plan across documents. Coordinated drafting and regular reviews help maintain consistency among all estate documents. Ensuring beneficiary designations and trust provisions align reduces administrative friction and supports efficient administration at the time of death, providing clarity and continuity for trustees and family members.
When creating an ILIT, it is advisable to have complementary documents in place such as a revocable living trust or pour-over will, a last will and testament for any assets outside trust arrangements, financial power of attorney, and an advance health care directive. Additional documents like a certification of trust and assignments for policy transfers may also be needed. Having a comprehensive set of documents ensures that the ILIT functions within a complete estate plan and that other assets are handled consistently. Depending on family circumstances, other specialized trusts—such as a special needs trust, retirement plan trust, or pet trust—may also be appropriate. Coordinating these documents ensures that beneficiaries receive intended benefits and that administrative procedures are clear for trustees and fiduciaries.
To get started with an ILIT in Pasadena, schedule a consultation to review existing insurance policies, estate documents, and your objectives for life insurance proceeds. During the initial meeting we will assess whether an ILIT fits your needs, identify trustee candidates, and outline implementation steps including transfers, premium funding, and supporting documents. Early planning helps avoid timing issues that can affect estate treatment and allows for careful coordination with financial and tax advisors. After initial planning, we draft the trust document, coordinate any necessary policy transfers, and assist with implementation steps such as documenting gifts for premium payments and preparing pour-over wills or other supporting instruments. Ongoing reviews keep the plan current with changes in family circumstances and law to ensure the ILIT continues to serve its intended purpose.
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