leaving money to disabled child

Leaving money or life insurance to a disabled child requires careful consideration of its effect on future benefits for that disabled child. I have some experience but would be open to discussing helpful ideas, if any interest in topic. I don't sell anything but have helped some people in the past and looking for good discussion and maybe helping someone out there.
A whole life policy or universal life left for the child may be a good solution but do not leave to disabled child! Could jeapordize federal help!
Thanks
CC Bob

There is a special needs trust for just that reason. It allows a parent, or anyone for that matter, to leave dollars to a disabled person w/o endangering the persons ability to receive SSI. If not done properly many well to do parents, uncles, aunts etc. may actaull hurt the person by leaving them say a 100k old life ins policy.

As I read some on this type of trust a couple of things stood out. The size of the trust should be in the $1/2 million dollar range for some banks to do this. The trustee has a legal obligation of course, to make sure that any distributions do not effect the SSI payments, and that the money is psent in appropriate ways. The trustee as I read could be sued for any mistakes, certainly a point of concern for this trustee who is trying to help out, perhaps a family member, or perhaps a good thing should the bank mess up things. The charges don't look to be excessive but again getting comparable prices would be important. But if a family has this particular need then certainly a viable legally sound instrument to be used.
Another way that also works is to make some family member other than the disabled person, the beneficiary of say a life policy. but within the family, there is an understanding that the money would be used for that person. It has to be a family memeber to have an insurable interest though. Now I understand that people agree to things and then change for worst, but if you are trying to leave a small sum for your child then trusting some family member to be your beneficiary can work. Less hassle but also less legallity as to how money is spend for the disabled child.
For smaller accounts are these the only vehicles to help preserve money that is not considered by Soc. Sec.?

disclaimer, I am tossing out this example and I know nothing.

The one problem with having the family member "give" the money to the disabled child is exactly that, it's a gift, so anything above 12k subject to gifting tax. There are companys that will to those trusts with as little as 50k.

Another good reason to talk with people to get all the facts. sometimes no easy answer and a restrictive arrangement might be the only alternative but certainely worth exploring the trust managers who might have lower fee arrangements to benefit the handicapped child.
thanks for your input.