469.433. Life insurance proceeds allocated to principal--dividends allocated to income. - Missouri Statutes

Life insurance proceeds allocated to principal--dividends allocatedto income.

469.433. 1. Except as otherwise provided in subsection 2 of thissection, a trustee shall allocate to principal the proceeds of a lifeinsurance policy or other contract in which the trust or its trustee isnamed as beneficiary, including a contract that insures the trust or itstrustee against loss for damage to, destruction of, or loss of title to atrust asset. The trustee shall allocate dividends on an insurance policyto income if the premiums on the policy are paid from income, and toprincipal if the premiums are paid from principal.

2. A trustee shall allocate to income proceeds of a contract thatinsures the trustee against loss of occupancy or other use by an incomebeneficiary, loss of income, or, subject to section 469.427, loss ofprofits from a business.

3. This section does not apply to a contract to which section 469.437applies.

(L. 2001 H.B. 241)