Must the beneficiary of an insurance company share the proceeds with their siblings?
Get Legal Help Today
Compare Quotes From Top Companies and Save
Secured with SHA-256 Encryption
Must the beneficiary of an insurance company share the proceeds with their siblings?
My father recently died but before he passed he changed all but one of his life insurance policies making all his kids beneficiaries. He forgot to change one of the policies which was still in his decease wife name. The contingent of the insurance policy was her daughter, our stepsister. He also verbally called all of his kids including our step sister into a meeting letting us know his wishes that we split everything evenly. He also put that in his will. She decided to go against his wishes and kept the insurance policy for herself. Is there a way to fight this?
Asked on September 2, 2015 under Estate Planning, Kentucky
Answers:
SJZ, Member, New York Bar / FreeAdvice Contributing Attorney
Answered 8 years ago | Contributor
No, there is no way to fight this, based on what you have written. Leaving morality and fairness aside i.e. what the stepsister should or should not do
1 If there is a named beneficiary to a policy, the policy proceeds do not pass through the estate and are not subject to the will. They go directly to the beneficiary, per the policy, which is a contract.
2 A will has no effect on anything not part of the estate.
3 Verbal or oral wishes are not controlling, and someone does not need to follow them.
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.