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If the insured has died the proceeds from the insurance will be paid AS STATED IN THE POLICY. The proceeds of the claim are not part of the assets of the deceased's estate.

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โˆ™ 2017-09-20 23:55:41
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โˆ™ 2017-09-20 23:55:52

No. The proceeds will be paid by the insurance company to the named beneficiary. The insurance payoff is not part of the estate so it does not pass under the Will.

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Q: Does the person who is named Beneficiary on a Life Insurance Policy have to split the money if they are sole beneficiary on the Life Insurance Policy however in the Will states that assets be divided?
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Related questions

Is life insurance taxable?

Life insurance proceeds paid to a beneficiary is not taxable. However, if the life insurance beneficiary is a trust or estate, there may be some tax implications.

What does it mean when the beneficiary of a life insurance policy is the employer but there's a surviving spouse who is not listed as a beneficiary?

Generally, the proceeds will be paid to the named beneficiary. However, the survivor should discuss the situation with an attorney.

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.

What is covered by disability insurance?

Disability insurance covers any impairment that is previously unknown to the beneficiary. However, the beneficiary only provides partial wage replacement to workers who are unable to work due to their disability.

Can a will be used to name a beneficiary on a life insurance policy?

A will cannot insert a name or change the name of a beneficiary of a will. However, you can have an insurance policy made payable to the estate, then give the proceeds of the policy to a named beneficiary. Problem here is that the policy proceeds run through the estate and become subject to debts and administration expenses and perhaps taxes, whereas they would not be if a beneficiary were named in the policy.

Must spouse be beneficiary of life insurance policy?

No, in most cases you can name whoever you would like as your beneficiary. However, as part of some divorce proceedings a court will require that your ex-spouse remain a beneficiary as part of a alimony/palimony agreement.

Does life insurance have to be used to pay student loans after a persons death?

It depends on who the insurance policy has named as a beneficiary. If the student is listed as the beneficiary then they can spend it however they like. If the beneficiary is a trust then the trust may have stipulations as to how it can be spent and the trustee would then be charged with spending it correctly. All of this would be spelled out in a will or trust.

Is the surviving spouse the legal beneficiary of a life insurance policy if no one is named beneficiary?

The policy would default to the Estate. which in most cases the spouse would be the executor of the estate. however, it would have to go through probate court first, so you always want to have a primary beneficiary a life insurance policy.

Can a beneficiary on life insurance refuse the responsibility?

It is not a question of refusing responsibility. The beneficiary is the person or institution designated to receive proceeds upon the death of the insured. He/she/it has no obligation to pay future premiums. However, the beneficiary is free to decline the proceeds in which case they will be paid to a contingent beneficiary listed in the policy; in none, the proceeds will be paid to the insured's estate.

Can a one year old be a beneficiary on a life insurance policy?

Yes, there is no age restriction on who can be the beneficiary of life insurance. However, some state laws do no permit payments to minors until they either have a guardian appointed or they turn 18.

Who can be a beneficiary on a life insurance policy?

In general, any living or de jure entity can be a beneficiary of a life insurance policy. However, if a minor is to be the beneficiary, the beneficiary designation is generally phrased in terms of the proceeds being paid in trust to someone else for the benefit of the minor until he/she reached legal age.If the insured initiates the insurance transaction there are generally few problems. However, if the beneficiary attempts to place insurance on the life of someone else and name him/herself as the beneficiary, questions may arise, including as to insurable interest. That is, in order for someone to insure another's life, he/she must have a "stake" in that person's continued life--otherwise, it is essentially a wagering contract which can be avoided by the insurer. The "stake" that has to exist can be financial, legal, "love and affection", but must exist in a legally recognizable form.

Your son-in-law died of cancer his job insurance has his mother as beneficiary can the beneficiary be change to his wifes name?

The only person that can change is has already passed away. It is too late to change the beneficiary. However, there may be a law in your jurisdiction that says that it has to be the spouse unless the spouse has signed off on the selection form.

Is the beneficiary of an annuity responsible for paying the debts of the deceased?

No. The decedent's estate is responsible for paying the debts of the decedent. Generally, an annuity with a named beneficiary is not part of the probate assets much like life insurance payable to a named beneficiary. However, the recipient of an annuity should consult a professional regarding tax issues.

If you die and you still have outstanding loans can they take your life insurance to pay everything off?

Life insurance paid to your estate could possibly be used to pay off personal debt. However, if the life insurance is paid to a beneficiary, it is their money, not yours, so the beneficiary has no obligation to use the money to pay off your debt.

With a term policy does the life insurance company notify the beneficiary of your death and their benefit if the beneficiary is unaware of the insurance?

As with all life policies, when the insurance company is notified of the death of the insured, they will make every effort to locate the beneficiaries based on what information has been supplied to them by the owner/insured of the policy. However, if they are unable to locate a beneficiary, they are legally required to escheat the amount of the benefit in the beneficiary's name to the State Treasurer's Office of the State their Home Office is in. This amount isn't 'lost', the beneficiary need only contact that Treasurer's office and request it. As to contacting a beneficiary when a premium hasn't been paid? Privacy regulations state that they can't contact anyone on the policy unless the policyowner specifically asks that they do so. The policy is a contract between the company and the policyowner, until the insured dies the beneficiary has no right to any information. == ==

Is there a clause in a life insurance policy that pays for a home if the owner dies?

It would be possible to write an insurance policy that way if you wanted to, however, normally a life insurance policy pays a fixed amount of money (known as the death benefit) to a chosen beneficiary. If the beneficiary then wished to use that money to pay for a home, that could be done.

What does a beneficiary do with a life insurance check?

In most cases, the beneficiary has no specific responsibility to do something with a life insurance payout. However, you should be careful to retain a portion of it to cover taxes that might result because of the income. Additionally, if the recipient of the proceeds gets it on behalf of another person (for example, a parent on behalf of a child), the recipient has a fiduciary duty to hold/use the funds in trust and for the best interests of the intended beneficiary.

Can you contest a beneficiary of an IRA account?

The legal system generally will allow you to contest anything you like. However, you chances of changing a designated beneficiary on someone else's IRA are slim. If you decide to contest a beneficiary, recommend you contact an attorney for advice.

If the beneficiary of a term life insurance does not know the benefit amount will the insurance tell you the amount of the policy?

== == == == The life insurance policy will state the face value ( death benefit ) of the policy. However, it may not state the amount that each beneficiary will receive as the number of beneficiaries may have changed since it was issued. Until a claim is paid, the beneficiaries will not know how much they'll receive.

Can my primary beneficiary be executor?

Yes. However, they should not be a witness to the will.

Can a beneficiary be liable for any estate debt?

A beneficiary cannot be made responsible. However, they may not get anything from the estate, because it is responsible for ending all debts.

Do siblings share life insurance payouts?

Life insurance proceeds are payable according to the beneficiary designation made by the insured and that is a part of the insurance policy. As such, the beneficiary can be any person or entity that had an insurable interest in the life of the insured at the time of the policy's inception. Concievably, that can be one or more of the siblings of the person insured. However, the insured is free to change the beneficiary(ies) at any time prior to death. If the insured designates his/her estate as the beneficiary of the policy, upon death, the proceeds are paid to the estate and distributed per the terms of the deceased's Will. If there is no Will, the proceeds, along with other assets of the estate, are distributed according to the laws of intestate successation of the state in which the insured died.

Can life insurance be paid if the beneficiary was changed before the insurer was determined incapacitated?

Life insurance should be paid to someone if the policy was paid at the time of the insured's death. It should probably be paid to the beneficiary it was changed to before the insured was determined incapacitated. However, that might be fought over in court. In a mess like it sounds it will be, there is no telling what might happen.

Does a will refer to life insurance policies?

It may or may not but in general does not need to as the life insurance policies are individual contracts and would name a beneficiary who receives the death benefit outside of the will, estate and probate if properly named. Stated otherwise, the proceeds are paid to the beneficiary named in the policy. If that is a person or an entity other than the estate of the deceased, the proceeds do not become a part of the estate. However, if the beneficiary designation of the policy provides that the estate is to be the recipient, the proceeds would be included.

When a divorced father passes away and there's only a living will a small life insurance policy for the funeral and Daughter is made power of attorney is she responsible for remaining medical bill?

She is not responsible for the medical bill as long as the didn't sign at the hospital saying she was the responsible party. Was the daughter the beneficiary of the life insurance policy? If the beneficiary of the policy was the estate of the insured then the hospital can file a lien against the estate and life insurance to cover the medical bills. If the beneficiary was a funeral home to pay for a prearranged funeral then the hospital cannot attach the policy proceeds. If the beneficiary was the daughter directly then the hospital cannot claim the life insurance proceeds. However, this leaves the daughter with no obligation to use the entire amount for funeral arrangements.