What is the law regarding life insurance policies when the named beneficiary predecease the insured?
Get Legal Help Today
Compare Quotes From Top Companies and Save
Secured with SHA-256 Encryption
What is the law regarding life insurance policies when the named beneficiary predecease the insured?
My stepfather had life insurance policy through his former employer and my mom was the sole beneficiary. She died 2 weeks before he entered the hospital and passed himself 1 week later. He did not get his policy changed to a different beneficiary before this happened. The policy is for $4000 and there whole estate is worth less than $8000 with that included. There is a Will which names me as the successor executor and also the person that all personal property passes to with the words, including insurance therein and residuary property. He has adult children of his own but they have not been all speaking terms for years. I am told that because no other beneficiary was on the life insurance policy that this must go to his children and cannot pass to the estate. Is this true? What happens if they do not come forward to claim this policy? Is there a time limit on when and if this could ever go to the estate?
Asked on September 11, 2018 under Estate Planning, Wisconsin
Answers:
M.D., Member, California and New York Bar / FreeAdvice Contributing Attorney
Answered 5 years ago | Contributor
If no contingent benenfciary was listed regarding the policy, then the proceeds pass into the insured's estate and are passed through the "residuary clause" in the Will.
SJZ, Member, New York Bar / FreeAdvice Contributing Attorney
Answered 5 years ago | Contributor
If there was no successor or secondary beneficiary, the life insurance proceeds to NOT go to his children--they do become part of his estate and they will be distributed as per the instructions of his will. Whenever there is no living beneficiary, the money becomes part of the estate.
IMPORTANT NOTICE: The Answer(s) provided above are for general information only. The attorney providing the answer was not serving as the attorney for the person submitting the question or in any attorney-client relationship with such person. Laws may vary from state to state, and sometimes change. Tiny variations in the facts, or a fact not set forth in a question, often can change a legal outcome or an attorney's conclusion. Although AttorneyPages.com has verified the attorney was admitted to practice law in at least one jurisdiction, he or she may not be authorized to practice law in the jurisdiction referred to in the question, nor is he or she necessarily experienced in the area of the law involved. Unlike the information in the Answer(s) above, upon which you should NOT rely, for personal advice you can rely upon we suggest you retain an attorney to represent you.