modification of split dollar life insurance policy in that the death benefit becomes payable upon the second death. This type of policy is ideal in those circumstances when estate taxes must be paid, which is usually the case upon the death of the second spouse. Since this is a second-to-die policy, the premiums are substantially lower than those for a single life insurance policy. The procedure is for two individuals (usually spouses) to form a life insurance trust and then to enter into a split dollar life insurance agreement with the trust. The individual(s) pay(s) that portion of the premium equal to the cash value of the policy and the trust pays the term cost of the premium. The individual is reimbursed for the premiums paid when the death benefit is paid or when the policy is surrendered for its cash surrender value. The remainder of the death proceeds is paid to the life insurance trust.