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Test Your Trust Knowledge! How much do you know about the Insurance Trust product? Answer the following questions to see how much you know about the benefits of using a Trust vehicle in lieu of a letter of credit!

1 )	Why use the Insurance Trust instead of a letter of credit (LOC)?
	The trust is significantly less expensive than an LOC
	The trust increases your credit availability
	Simplifies collateral obligations by combining several LOC’s to one trust
	All of the above

2 )	Is it true by switching to a trust from a LOC, I will improve my company's balance sheet?
	Yes
	No

3 )	You will not incur a withholding tax penalty by putting your captive’s cash into a trust into the US, as opposed to putting it into an LOC collateral account at an off-shore bank.
	True
	False

4 )	Do I have to deposit liquid cash to fund my insurance trust?
	Yes
	No

5 )	Can income earned by the insurance trust be realized by the depositor?
	Yes
	No

6 )	Will any insurance provider accept the insurance trust instead of a letter of credit?
	Yes
	No

7 )	Is there a minimum size for opening an insurance trust?
	Yes
	No

8 )	Wouldn’t it be easier to just get a simple LOC from the bank instead of going through all that account opening stuff an insurance trust requires?
	Yes
	No

9 )	The use of the Captive Trust will eliminate the need for a confirming collateral mechanism (e.g. Confirming Letter of Credit)
	True
	False

10 )	Is the Insurance Trust only applicable to captive obligations?
	Yes
	No

11 )	When the trust is no longer needed, is it difficult to dissolve?
	Yes
	No

12 )	Do I have to wait until my LOC renewal period to transfer my collateral into a trust?
	Yes
	No