Top Answer
User Avatar
Wiki User
Answered 2008-07-23 18:01:09

No, death benefits from a life insurance policy which has a named beneficiary is not subject to attachment by the IRS, state tax officials, judgment creditors, etc.

User Avatar

Your Answer


Still Have Questions?

Related Questions

Can the IRS take life insurance?

The policy would not be subject to seizure during the person's lifetime and it Could not be used to pay tax arrearages if there is a beneficiary named at the time of the insured death. If the issue concerns tax owed by a deceased and a death benefit received by the deceased's spouse who was a joint filer, then the surviving spouse would be liable for said tax arrearages.

Can a child collect work pension from deceased father?

Only a death benefit compensation is the death is work related.

What happens if you are not willing to pay for your funeral?

If a funeral is not able to be paid for, the spouse or child of the deceased may be able to receive a one-time death benefit payment from Social Security if the deceased was on that. The deceased may also be buried by the state or cremated.

Does the deceased owner of the life insurance have to pay taxes on policy pay out?

In India, the death benefit to the nominee of the deceased insured, is100% tax exempted u/s.10,10(d) of the Income Tax Act.

Is a surviving spouse responsible for a deceased spouse's credit card debt if the deceased had no assets except a death benefit from life insurance?

The surviving spouse is only responsible for credit card debt if the account were joint or the married couple lived in a community property state; (Texas and Wisconsin treat marital debt differently than other CP states). Death benefits from life insurance with a named beneficiary or SS death benefit are not subject to creditor action for repayment of the deceased debts.

Is the executor of a deceased beneficiary entitled to the Policy?

In case of demise of the life insurance policy holder, only the NOMINEE is the beneficiary to get the amount. In case nomination is not done, the legal heir of the deceased person can apply before the insurance authority for the death benefit.

Can the working surviving spouse draw Social Security death benefits of their deceased spouse?

Yes, but the benefit amount will depend upon the surviving spouse's current income level.

Who gets deceased persons pension?


What is increasing death benefit?

That is where the death benefit in a life policy increases over a period of time.

Is the 250 dollar death benefit taxable?

The 250 death benefit from the SSA is not taxable income.

How can a person file a wrongful death claim?

Wrongful death claims may be filed by the remaining representatives of the deceased. Anyone who is a representative of the deceased can file a wrongful death claim by contacting an attorney.

How long do you have to be married to collect deceased husbands social security?

Your age at the time of his death determines the benefit. Also, if you remarry before age 60, you lose your entitlement. See the related link.

How do you celebrate an anniversary of a death?

mourn and pray for the deceased

What name is given to someone who suffers death?

The deceased.

How is Jewish death celebrated?

Jewish death is NOT celebrated, but you can share happy memories of the deceased.

Can brother have all of his mother's checks when she dies paid into his account?

If you are talking about benefit or pension cheques in the UK then the answer is no. A persons death must be reported to the relevant authorities so that payments can be stopped. You can go to prison for taking a deceased persons payments by not reporting the death.

Can Medicaid take a Life Insurance Policy on a deceased person?

If the person is deceased then the "policy" is now going to change into a death benefit check once a claim is properly filed. Providing the beneficiary is another individual and not the insureds estate, Medicaid nor any other entity has a right to the proceeds.

What is A GOOD name for a death?

Demise Passing away, deceased

Is Medea deceased?

Her death is never mentioned in Greek Mythology

What is your reaction about homicide?

Homicide, death of a human. Well, no one gets out alive. Homicide is a broad topic. So, how anyone feels about homicide will depend greatly on a number of variables. How the death occurred, why, what roll the deceased played in their own death, age of the deceased, popularity of the deceased, and countless other elements.

Why do life insurance companies need to have proof of age of the deceased?

In addition to the death certificate, some life companies require a proof of age so they may cross check with the stated age at the time the life contract was purchased. Sorry to say, but many insurance applicants lie about their age at the time of purchase. And just so you understand, if an insurance company finds [that] the deceased was younger than stated, they will pay a larger benefit; conversely, if the deceased was older than stated, they will pay a lesser benefit.

What percentage of people with life insurance actually receive death benefit?

"Usually, a person has life insurance on himself. In that case, he would not receive the death benefit but his stated beneficiaries will receive the death benefit. " Can you answer the question : how many Whole life / Universal Life/ Cah Value pilicies pay death benefit to beneficiaries?

Are there taxes on life insurance?

The death benefit on a life insurance policy is not taxable for federal income tax purposes. However, the death benefit becomes included in the estate calculations of the deceased. So, depending on the estate tax laws in affect at the time of death, there may be estate taxes on the death benefit proceeds of the life insurance policy (but not income taxes). Here's an example. If you are the beneficiary of a death benefit of $500k from your parent and your parent has no other assets, then there would likely be no taxes on the proceeds. If you are the beneficiary of a death benefit of $500k from your parent and your parent has more assets than the Federal estate tax exclusions in effect at time of death, then perhaps the $500k will have estate taxes due as part of the estate. This is because the addition of the policy proceeds to whatever else comprosed the estate may take the estate value over the limit such that taxes will be payable on it. This was a simple example, and there are certainly many other possibilities and scenarios.

What would you call members of your family that died of black death?


Who is responsible for a home equity line of credit after death?

The estate of the deceased.