Ellipse has launched a tool to aid advisers and scheme founders to establish their own trust and complete the HMRC registration process.
The group risk provider has made the free Group Life Master Trust facility available as part of the application process for its group life schemes.
It said that a discretionary trust is an essential element of a Registered group life scheme to ensure benefits are paid free of tax.
However it noted that the paperwork required to establish one, plus HMRC's registration process, can be daunting for companies, particularly SMEs who do not have the luxury of specialist legal departments.
Once the trust has been created, members then complete the usual ‘expression of wish' form to set out how they would like the trustees - who in the case of the Master Trust are Pitmans Trustees Ltd - to distribute any claims payments in the event of their death.
John Ritchie, CEO of Ellipse, explained the system had been designed following adviser feedback.
"They give us really useful feedback about changes they'd like to see," he said.
"Several advisers have suggested a facility that lifts the burden of registering a scheme and establishing a trust from their clients. This is exactly what the Master Trust offers, and at no additional cost."
