Can the Courts Change Your Life Insurance Beneficiary

Can the court change a life insurance beneficiary named on the policy? 


There have been certain cases in which the court didchange a life insurance beneficiary named on the policy, but it always included a legal battle of sorts and some valid reasons as to why the beneficiary should be changed. Further, this decision cannot be made by the life insurance company. It always must be a court-based decision to change the beneficiary if the insured has died.
But let’s not get ahead of ourselves. Let’s first start with defining the term “beneficiary”. The primary beneficiary is defined as the person who will receive the payouts from the life insurance when the insured passes away. If for some reason the primary beneficiary dies before the insured, the contingent beneficiary receives the life insurance benefits. And for most purposes, a beneficiary can be changed by the insured filling out the necessary paperwork required by the insurance company.
There are two general types of beneficiaries. The first is referred to as a revocable beneficiary, which means that you have the ability to change them in the future by simply filling out the necessary paperwork with the insurance company as previously discussed. The second is called an irrevocable beneficiary. This is a beneficiary that cannot be changed unless the beneficiary actually legally agrees to the change. If the irrevocable beneficiary refuses to sign the insurance company’s necessary paperwork, they will stay on the policy and a court will most likely be unable to change the conditions.
The courts typically end up getting involved when the insured dies and there are questions regarding to the named beneficiaries. These are certain situations which tend to prompt “gray areas” which can quickly escalate into legal battles. For instance, when marriages, divorces, births or even deaths happen very near to the insured’s death, this can create a question of if those new individuals should have been added/removed from the policy as a beneficiary.
These types of situation create the perfect storm for a legal battle to prove that someone should have been added or removed a life insurance policy as a beneficiary prior to the insured’s death. Further, if the insured is very ill and makes significant changes to the beneficiary very close to the end of their life, this can also create a situation in which there is a legal question of whether the insured was of sound mind at the time the decisions were made. Another potential scenario is when the family members of the insured do not agree with the beneficiary choices made, and this can result in a court case to be changed as well.
All of these situations end up being a warning for those that are going through the process of naming beneficiaries for a life insurance policy. Here are a few tips to keep in mind while deciding who and how many beneficiaries to name on your life insurance policy:
First off, if you are naming a minor beneficiary, keep in mind that you must also appoint a guardian to help manage the benefits until the minor beneficiary reaches 18. There should be thoughtful consideration into whom that guardian will be, as they will possess much of the power over the intended benefits.
Second, make sure to clearly state full names of the intended beneficiaries. Further, it is wise to include exact percentages or amounts that you would like them to receive. The less ambiguity, the less chance this will end up getting questioned or taken to court.
It is a wise decision to consider naming contingent beneficiaries to the policy. As previously defined, these are contingent beneficiaries that will only receive monetary payouts if the primary beneficiary dies before the insured. This way it will protect your benefits if the primary beneficiaries are not able to receive the payouts. There is also a final layer of protection called tertiary beneficiaries, which assumes that if the primary and contingent beneficiaries die before the insured, the tertiary beneficiary will receive the proceeds.
As stated before, the court does give options to someone that is looking to change the beneficiary on a life insurance policy for a multitude of reasons. However, it is always best to take precautions, plan ahead of time, and update your policy on a regular basis to avoid putting your loved ones through court room confrontations.

Until next time Michael Hartmann
www.findyourpolicy.com
@findurpolicy

Always remember our Mission Statement

“To be the best in serving our members by providing peace of mind that their beneficiaries receive their inheritance”

National Underwriters Life and Health Magazine

Hello All,

We have been recently featured in the popular National Underwriters Life and Health Magazine. A great article that asks the question, “Why are insurance companies not using us?”
Help us get out there. Protect yourself, your families and your clients from loss. Register for free on FindYourPolicy.com and you will never have to worry about loss.

http://www.lifehealthpro.com/2011/10/07/agent-tries-to-supplement-the-shoebox-in-the-close?t=life-products

Until next time Michael Hartmann
www.findyourpolicy.com
@findurpolicy

Always remember our Mission Statement

“To be the best in serving our members by providing peace of mind that their beneficiaries receive their inheritance”

Lost Life Insurance

Hello All,

I would like to thank Rich Vasquez from Premium Share LLC  www.premiumshare.com for finding this article on lost life insurance. It mentions the stress an individual goes through when they cannot find the policy they paid for. This happens all the time and should not be taken for granted. FindYourPolicy.com solves this problem for free. Please seriously concider our service when buying or selling life insurance policies to an individual.
http://www.foxbusiness.com/personal-finance/2011/10/06/how-to-locate-old-life-insurance-policy/

Until next time Michael Hartmann
www.findyourpolicy.com
@findurpolicy

Always remember our Mission Statement

“To be the best in serving our members by providing peace of mind that their beneficiaries receive their inheritance”

Great Added Value Benefit to any Life Insurance sale.

Everyone selling life insurance is always looking for a better way to connect with their clients. “How can we make them feel like I am special?” What can I do to show them that I really care about them and not just in it for the money?”
FindYourPolicy.com answers a question asked by so many for so many years. “How do I guarantee that my family will find, remember, store it a proper place, the company I have life insurance with?”
Think about this sale for a moment. You will be telling your client that you not only will sell them life insurance but you will also take care of their family when they are gone by making sure with certainty they will find the life insurance company that you sold them.
FindYourPolicy.com is a free Added Value Benefit for anyone that sells life insurance. Take a look at our site http://www.findyourpolicy.com and introduce your clients to it or simply register them yourself, guaranteeing their family will never lose the information. Our service is great for beneficiaries that do not live close to the insured. How would they know where to look. How would they know to contact you the agent. Direct them in the proper direction. Put your name and number down along with the company name.
Prevent loss, protect your clients with this FREE Added Value Benefit.

Until next time Michael Hartmann
www.findyourpolicy.com

Always remember our Mission Statement

“To be the best in serving our members by providing peace of mind that their beneficiaries receive their inheritance”

Lost Life Insurance? Prevent it.

While answering the daily phone calls that FindYourPolicy.com receives we find out there are many individuals that are in need of assistance locating policies. It happens everyday and all the time. Some are not sure and some people are certain there is a policy. This following article is an example of what can happen.
http://www.nj.com/business/index.ssf/2010/05/keep_relatives_informed_of_whe.html

Until next time Michael Hartmann
www.findyourpolicy.com

Always remember our Mission Statement

“To be the best in serving our members by providing peace of mind that their beneficiaries receive their inheritance”

Online Life Insurance

The way the industry is changing. As a life insurance agent myself, I constantly explain to individuals looking for life insurance how important it is to have an agent. We will explain and answer all questions that you might have. We will assist you with Universal Life or Term insurance and show the benefits to both. And as much as I explain and show, I have come to the realization that some individuals are only interested in one thing….”How much does it cost?”
Well, I believe that if the curve continues to go the internet way, there is even more of an importance for a central database that is easily accessible. FindYourPolicy.com is just that database.
If you buy Life Insurance over the internet, there is no one you can contact when the time comes. I have explained numberous times how keeping paperwork has it’s flaw and if lost, your beneficiaries will be lost also. Make sure your beneficiaries, whereever they are in the world, know who has your life insurance policy.

Until next time Michael Hartmann
www.findyourpolicy.com

Always remember our Mission Statement

“To be the best in serving our members by providing peace of mind that their beneficiaries receive their inheritance”

Prevent Lost Life Insurance

We receive calls from people all across the country with the devestating news a loved one had passed away. When this happens quickly and unexpected, communication of location of assets are rarely discussed. If you do not know the company name of the life insurance or annuity your loved one had it could sometimes be next to impossible to find. Why even worry about something like that. FindYourPolicy.com is a free service and it is secure. It takes 3 minutes to register and guarantee your beneficiaries will never misplace the information.
Keep in mind the insurance companies (at the present time)are doing their best to find you. However, why give them the responsibility to find you when the best thing to have is a central database where you can proactively seek them out.

http://www.lifeandhealthinsurancenews.com/News/2011/7/Pages/Unclaimed-Property-NCOIL-Panel-Backs-Model-Changes.aspx?k=unclaimed

Tell all your friends, family, loved ones about FindYourPolicy.com and help everyone feel confident that your life insurance benefits will be located by your loved ones.

Until next time Michael Hartmann
www.findyourpolicy.com

Always remember our Mission Statement

“To be the best in serving our members by providing peace of mind that their beneficiaries receive their inheritance”

Lost Life Insurance

Lost life insurance is not something anyone thinks about. You can always say “my wife knows where everything is.” However, what if you and your wife pass away in a car accident?

FindYourPolicy.com is here to cover the “What ifs.” and there are many of them. I will list a few in the next few blogs.

Take a look at FindYourPolicy.com and make sure that your family is taken care of when you are gone. You have gone through the process of getting life insurance, now guarantee your loved ones will find it when the time comes.

Register, its FREE.

Until next time Michael Hartmann
www.findyourpolicy.com

Always remember our Mission Statement

“To be the best in serving our members by providing peace of mind that their beneficiaries receive their inheritance”

Lost Life Insurance

Lost life insurance is not something anyone thinks about. You can always say “my wife knows where everything is.” However, what if you and your wife pass away in a car accident?

FindYourPolicy.com is here to cover the “What ifs.” and there are many of them. I will list a few in the next few blogs.

Take a look at FindYourPolicy.com and make sure that your family is taken care of when you are gone. You have gone through the process of getting life insurance, now guarantee your loved ones will find it when the time comes.

Register, its FREE.

Until next time Michael Hartmann
www.findyourpolicy.com

Always remember our Mission Statement

“To be the best in serving our members by providing peace of mind that their beneficiaries receive their inheritance”

Lost Life Insurance.

Lost life insurance is not something anyone thinks about. You can always say “my wife knows where everything is.” However, what if you and your wife pass away in a car accident?

FindYourPolicy.com is here to cover the “What ifs.” and there are many of them. I will list a few in the next few blogs.

Take a look at FindYourPolicy.com and make sure that your family is taken care of when you are gone. You have gone through the process of getting life insurance, now guarantee your loved ones will find it when the time comes.

Register, its FREE.

Until next time Michael Hartmann
www.findyourpolicy.com

Always remember our Mission Statement

“To be the best in serving our members by providing peace of mind that their beneficiaries receive their inheritance”