What is a beneficiary?
A beneficiary is someone who may receive money from your policy when it pays out. If your policy is in trust, the trust document names the beneficiaries, or a group of people such as your children, and the trustees pay them in line with its terms. If it is not in trust, the money usually goes to your estate.
Types of trust
In some trusts, beneficiaries are fixed. In discretionary trusts, trustees choose who benefits from a group you have named.
Letter of wishes
With discretionary trusts, you can leave a letter of wishes to guide trustees.
Keeping it up to date
Review beneficiaries after marriage, separation, births or deaths.
This article is general information about UK protection insurance, not personalised financial advice. Policy terms vary between insurers and products, so always check your own policy documents.
Last updated 27 October 2026