To allow a deduction for the amount of the premiums paid on a life insurance contract the beneficiary of which is a trust established for the benefit of a disabled individual, and for other purposes.

Amends the Internal Revenue Code to permit an individual income tax deduction of premiums paid or incurred by the taxpayer for a life insurance contract having as its exclusive beneficiary the trust of disabled members of the taxpayer's family. Sets forth qualifying criteria for such contracts and for their beneficiary trusts.