answersLogoWhite

0


Best Answer

The beneficiary of a life insurance policy is not responsible for paying for the deceased's funeral cost using the money from the proceeds of the life insurance policy. The estate of the deceased is responsible for paying for the funeral cost from the proceeds of the estate.

User Avatar

Wiki User

โˆ™ 2009-02-11 00:15:25
This answer is:
๐Ÿ™
0
๐Ÿคจ
0
๐Ÿ˜ฎ
0
User Avatar

Add your answer:

Earn +20 pts
Q: Does the beneficiary of a life insurance policy have to pay for the deceased funeral cost or should the estate pay for it?
Write your answer...
Submit
Related questions

Life insurance part of estate?

Life Insurance and EstatesNO, not if the named beneficiary is not deceased. The proceeds of a life insurance policy belong to the named beneficiary not to the deceased. It should not under any circumstances be included in the estate of a deceased or the probate process. If no beneficiary is named or if all beneficiaries are deceased then their is no alternative. When their is no named beneficiary then the value of the life insurance policy reverts to the insured and must then be included as part of the deceased estate


Is life insurance consideredpart of the estate?

If the insurance policy owner did not specify a beneficiary or the beneficiary is deceased, then the life insurance proceeds go to the insured's estate.


Is life insurance considered part of deceased persons estate when money is owed to loan companys?

If the life insurance has a named beneficiary then life insurance benefits are not subject to debtors claims. If there is no beneficiary or the "estate" of the deceased is the named beneficiary, then loan companies can come after the estate.


Is life insurance considered as the estate of the deceased?

only if there is no beneficiary named on the policy, or if the beneficiary(ies) deceased before the insured.


Does insurance money need to go to estate when deceased?

No, the insurance money goes to the beneficiary named in the policy. If the beneficiary is not named, or the estate is named, it will go into probate.


Is the beneficiary of a life insurance policy responsible for funeral expenses of the deceased?

No. All monies of a deceased is gathered in to their estate, then all debts of the deceased are paid, then legacies are paid out. Policies payable to a person are payable to that person.


What is a deceased beneficiary?

A 'deceased beneficiary' is the beneficiary of a life insurance policy or a 'payable on death' bank account who predeceased the insured or the account owner. A 'deceased beneficiary' could also be a beneficiary named in a will who predeceased the testator or who died during the probate of the estate.


What happens if the beneficiary of a life insurance policy is deceased?

Generally, if the beneficiary is deceased, the proceeds go to the contingent beneficiary, or if none, to the estate of the insured. An attorney must be consulted to direct you on how to handle this in your state. It depends on whether the beneficiary predeceased the insured. If the beneficiary died before the insured then the proceeds go the the contingent beneficiary. If there is not a contingent, check the contract, it probably is paid to the Owner of the Estate of the Insured. If the Beneficiary died after the Insured, the proceeds go to the Beneficiary's Estate. It is important to have a contingent beneficiary specified in your life insurance policy. This way, if the beneficiary passes away, the contingent beneficiary will benefit. If there is no contingent beneficiary, and the beneficiary has deceased, the proceeds of the life insurance policy, go to the estate and is distributed according to the Will.


What if there is no will or beneficiary on a life insurance policy of the deceased?

The policy proceeds will become part of the decedent's estate.


What if no beneficiary is named on a life insurance policy and they have a spouse what happens?

If an insured has a policy where there is no named beneficiary, or the named beneficiary is deceased, then the benefit will be paid to the insured's estate.


Does the beneficiary of life insurance pay funeral costs when theres no estate?

Generally that is the purpose of the life insurance, to cover the funeral costs. Who else is going to pay?


What if there is not an estate to pay for the funeral does the beneficiary of life insurance policy have to pay?

The life insurance is part of the estate not separate from it. In the UK and most other countries, all debts starting with the funeral expenses must by law be paid first from a persons estate. Once all funeral costs, debts and expenses are paid from the estate, only then can any monies be paid out (if there are any left after payment of such bills and expenses).United StatesWhen the decedent named a beneficiary on a life insurance policy the payout goes directly to the beneficiary and is not considered part of the estate. Being a named as a life insurance beneficiary does not oblige the beneficiary to pay for the funeral. The next of kin, if any, must pay for the disposition of the body. If the beneficiary is also a next of kin you may be successful in suing them for their share of the expenses.


Can the ex spouse that is the beneficiary of a Will be made to reimburse other relatives of the deceased for funeral expenses?

In most cases the debts of the deceased, including funeral expenses, are the responsibility of the estate. The estate, or its beneficiary should reimburse any valid debtors before giving any of the assets away. Consult a probate attorney in your jurisdiction for help.


Can my deceased father's beneficiary who has dementia let her power of attorney not help pay for funeral expenses?

Your father's estate is responsible for paying the funeral expenses from his assets. The expenses and debts of the estate must be paid before any distribution is made to any of the beneficiaries. Therefore the funeral expenses must be paid before the beneficiary receives her portion from the estate.


If there is no one named as beneficiary in a life policy will it go to next of kin?

No, it will go as part of the estate of the deceased (as set out in the will). If there is no will then the estate (including the life policy payout) will be handled by the state and distributed as required by your local state/country laws.Thus if the deceased had debts on death and the insurance beneficiary was NOT identified in the policy, the payout will go towards settling the debts first (after the funeral expenses).


Can a person be executor and beneficiary of insurance policy and sole right to the insurance money?

Yes. Insurance proceeds, unless the beneficiary is the estate, are payable directly to the person who is named as the beneficiary beneficiary. As such, the policy proceeds pass "outside" of the estate and do not become a part of it. If the same person who is the named beneficiary of the policy is also the executor of the estate, he/she is required to carry out the directives of the Will. This includes paying legal debts of the deceased, ensuring protection of the value of the assets of the estate, and distributing the assets as directed in the Will.


Is life insurance considered part of an estate after death?

If the policy belonged to the deceased, then it is part of the estate and is paid to the named beneficiary; if there is no one named (or the beneficiary predeceased the policy owner) the payout goes to the next of kin.


Can your brothers wife keep proceeds from insurance policy as executor of his will?

If the estate is listed as the beneficiary of the policy, the executor is bound to follow the wishes of the deceased, in which case the proceeds would go to the "residuary legatee" if no other claim is made on it in the will. If the insurance policy names your brother's wife as the beneficiary, then it goes directly to her and is not part of the estate; in fact, if the beneficiary is not the estate, it should go directly to the beneficiary in any event.


When there are 2 beneficiaries why are the survivors of the 1st beneficiary entitled to life insurance claim and not the 2nd beneficiary?

The actual claim paymet would go the the estate of the deceased and distributed according to his/her will.


If the person listed beneficiary on a life insurance policy is deceased will it automatically go to the current wife?

It will go to the alternate beneficiary, if one is listed if not it will be paid to the estate to be distributed in the same way as any other money in the estate.


Does a will have any effect on a life ins policy?

No, it does not. Life Insurance is a contract between the deceased and the insurance company. Unless the estate has been listed as the beneficiary, the will has no affect on the policy.


How does a beneficiary know if he has to add this money to an estate?

The only reason a beneficiary would add money to an estate would be if they owed money to the estate at the death of the deceased.


Are retirement benefits the same as life ins on an estate?

Retirement Benefits after Death?NO. Retirement benefits cease once a person dies and therefore would not be part of an estate. When a person Dies, they are no longer considered "Retired", They are after death considered "Expired".Life insurance also is not part of an estate unless there is no named beneficiary. The proceeds of a life insurance policy belong to the beneficiary named on the policy, Not to the deceased nor to the deceased estate.


Is life insurance part of the estate?

If life insurance is payable to a beneficiary other than "the estate of ...[the decedent]", proceeds are payable directly to the named beneficiary and do not normally become part of the estate. However, if the designation of beneficiary of the life insurance policy is the estate of the decedent, proceeds do usually become part of the estate.


If you are the beneficiary and you get the life insurance do you have to pay for the funeral?

Ordinarily, these are two separate transactions. Consider the following situations: 1. If you have undertaken to make the funeral arrangements and signed a contract with the funeral home to pay for them, you have committed to pay from all available funds that you have. 2. If you are the personal representative (in some states, "executor") of the estate, and no advanced payment arrangements have been made, you are responsible for paying the funeral expenses from estate assets. Those assets can include the insurance proceeds if the insurance was payable to the decedent or to his/her estate. 3. If you are merely the life insurance beneficiary and #2 does not apply, you ordinarily have no obligation to pay the funderal bill.

People also asked

Can an executor reimburse a beneficiary for funeral costs?

View results