In a trust, who holds the legal title while the beneficiary owns the equitable title?

In a trust arrangement, the trustee holds the legal title to the property, acting as the official owner and responsible for managing the property according to the terms of the trust agreement. The trustee has the duty to administer the trust, make decisions about the property, and manage it in the best interest of the beneficiary.

On the other hand, the beneficiary holds the equitable title, which gives them the right to benefit from the property. This means the beneficiary is entitled to receive the benefits generated by the property, such as income or profits, but they do not have direct control over the property's management or legal title.

This division of ownership reflects a fundamental principle of trust law, where the roles of trustee and beneficiary are distinct, allowing for effective management and protection of the asset for the benefit of the beneficiary. The grantor creates the trust but does not typically hold legal or equitable title once the trust is established. An insurer is not directly involved in the title ownership in this context.