I have been instructed by the parent of a minor child to draft a Vulnerable Persons Trust for him. The child’s father has died and there is a lump sum payable to the minor child from the Death In Service benefit. The child has learning difficulties and therefore is unlikely to be able to manage money in the future hence the parent of the minor childwanting to create a VPT for the monies to go into. She would like herself and one another to be Trustees.
Who would be my client here? The settlor would be the insurance company paying out the Death In Service benefit. Do I need to onboard the Trustees of the insurance company as clients or can the parent be my client on a document execution only basis? The insurance company are happy to pay the money to the VPT once created.
There is also a small pension lump sum payable to the minor child which the parent would also like paid into the same VPT. I assume that is possible but should that insurance company which is different from the Death In Service also be named as Settlor?
Any thoughts would be great.