Estate Administration Trust

What is a Estate Administration Trust?

When you pass away, there are costs that must be settled before your family receives a single ringgit — legal fees, outstanding debts, taxes, funeral expenses.

An Estate Administration Trust sets aside a dedicated fund for exactly these costs, so your family doesn’t have to find the money themselves.

Costs are covered from day one

A dedicated fund is ready the moment it’s needed. No scrambling, no borrowing, no selling assets under pressure.

Your family receives what you intended

Estate costs are paid first and separately — so your beneficiaries get their full share, not a reduced one.

Orderly, stress-free administration

With costs covered, the estate administration process runs smoothly. Less burden on your family during an already difficult time.

How does it work ?

Set up the trust

Specify your estate administration instructions and who receives the remaining balance after costs are settled.

Assign the insurance policy to Pavilion Prime Trustee

Your insurance policy is assigned to Pavilion Prime Trustee as trustee. Any existing nomination must be revoked first — we guide you through this.

Estate costs are settled first

We use the proceeds to pay all estate administration costs — legal fees, Grant of Probate, outstanding debts, taxes, and funeral expenses.

Remaining balance distributed

Once all costs are cleared, the remaining proceeds are distributed to your beneficiaries exactly as your Trust Deed instructs.

What assets can be placed into this trust?

Life Insurance Policy

What costs does it cover?

Legal & probate fees

Court and legal costs to obtain Grant of Probate.

Outstanding debts

Any debts left by the deceased, e.g. loans, credit cards, bills.

Funeral and related expenses

Burial or cremation costs, and other ceremonial arrangements

Who is it suitable for?

You might need this if you are…

Your estate is complex.

Multiple assets, business interests, or outstanding debts mean higher administration costs. A dedicated fund keeps everything orderly.

You have limited liquid cash in your estate.

If most of your wealth is tied up in property or investments, this ensures cash is available to settle costs without forced asset sales.

You want a clean handover for your family.

You don’t want your loved ones worrying about money during an already difficult time. Everything is handled — costs first, inheritance second.

Frequently Asked Questions

Q1: Does my family still have to pay estate costs out of pocket?

No — that’s the whole point. The designated fund covers all costs, so your family doesn’t need to reach into their own pockets.

We work with the estate to manage any shortfall. Proper planning with our team ensures the designated amount is sized appropriately for your estimated estate costs.

Yes. An Estate Administration Trust works well alongside a Testamentary Trust or Living Trust — covering costs while the other trust handles long-term distribution.

Costs are governed by the Trust Deed and applicable law. Our team manages this professionally, transparently, and in the interests of the estate.

Your family shouldn't have to figure out the bills while they're grieving.

Let us take care of the costs — so they can focus on what matters.