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Does the person who is named beneficiary on a life insurance policy have to share the money if the other two beneficiaries die but have children living?
Wiki User
∙ 15y ago
Possibly yes. That depends on whether a tenancy was also recited. Generally, if the three who were named as beneficiaries were to take as "joint tenants" then the share of any deceased beneficiary would pass to the other beneficiaries. If the document was silent as to a tenancy then generally, the share of a deceased beneficiary would pass to their own heirs.
Wiki User
∙ 15y ago
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When is life insurance part of net worth?
Life Insurance goes to a beneficiary, not an estate. Unless the beneficiaries are no longer living.
Can life insurance beneficiaries be changed when someone has alzheimer's?
If a life insurance beneficiary has alyztimers and is in a nursing home, can the power of attorney or nearest living relative receive it?
What is the difference between a primary beneficiary and a tertiary beneficiary?
A tertiary beneficiary is only entitled to proceeds if the primary and secondary beneficiaries are no longer living.
Can you have a secondary beneficiary on your life insurance?
Yes, you can have a secondary beneficiary on your life insurance policy. If the primary beneficiary is no longer living when you pass away, the secondary beneficiary would receive the proceeds from your life insurance policy.
Is a parent the beneficiary of their child's life insurance?
This all depends on who took out the life insurance policy and who was named as the primary beneficiary at the time. The primary beneficiary is named within the policy document. The primary beneficiary may or may not be the father and/or mother. If the primary beneficiary is deceased, then check the policy for a named contingent beneficiary. If there are no named beneficiaries living, then the policy proceeds become part of the policy holder's estate. Please consult with a qualified attorney, to determine guardianship of the child's estate. Ask the insurance agent and a lawyer for a free consult to be sure.
What happens to proceeds of life insurance if there are no beneficiaries and no estate?
There may not be a specified beneficiary still living or even listed on a policy but there is alway an estate. Perhaps you mean they had no will. If the person died "intestate" meaning without a will, the laws of the state where they resided in specifies where the proceeds of an estate go to and how they are divided up. The court will appoint an administrator or executor to handle the assets of the estate. If you have a specified beneficiary your like insurance proceeds will actually bypass probate in most cases and will go directly to the specified beneficiary.
What happens to an insurance policy if the beneficiary can't be found or will not sign the policy?
With most insurance policies, you are asked to list both primary and secondary beneficiary(ies). If your primary beneficiary(ies) dies or cannot be located, benefits are paid to your secondary beneficiary(ies) in the same manner. If there are no such beneficiaries, then typically it defaults to a widow or widower; then to a child or children; next to parents; to the executor or administrator of your estate; and finally next of kin as determined under the laws of the State where you lived. Some form of court proceedings will probably take place. It is important that you keep your designated beneficiaries' addresses current. Failure to do so could mean that your beneficiary cannot be located and therefore benefits will not be paid to that person.
When the beneficiary dies does the trustee then own the property in the trust?
No. The trust specifies what happens if the beneficiaries are no longer living. It could go to the beneficiaries' estates, or a remainder man, or to a charity. It is possible for the person who set up the trust to leave it to the trustee.
Is a living widow the beneficiary of her deceased husband's IRA when no other beneficiary is named?
If the deceased has no children, yes. Otherwise the children share in his estate. This may vary by State.
Who collects the life insurance if the policy holder and beneficiary have died?
If the beneficiary of a policy has died, the estate of the beneficiary can still collect the insurance payment, assuming that the beneficiary does have an heir or heirs of some kind (as most people do). Note that this is a fairly unusual situation, because normally when a beneficiary dies, a new beneficiary is named. There is no reason to allow the policy to have no living beneficiary, unless the insured and the beneficiary happen to die at about the same time, and there is no time to name a new beneficiary.
What if the beneficiary of a life insurance is deceased and no contingent beneficiary is named?
In the case where no beneficiaries are living when the insured dies then the proceeds of the policy will be paid to the estate of the insured and handled in the manner according to state law. If the insured had a will then that will specify where proceeds go and if no will is found state law will specify. If the insured had a very large estate then some of the proceeds may be subject to estate taxes as they become part of the estate.
What does 'last survivor' mean in a life insurance policy?
AnswerIt means if you have two or more beneficiaries, the last one living.
