by J Rice » Sat Nov 29, 2008 11:28 pm
I have a terminal disease and I am in the process of a divorce from my wife.
She wants me to put in the divorce papers that she gets half of my life insurance when I pass away. Do I have to let her have it. Is it even negotiable? Can I change benificiaries after the divorce is final?
She wants me to put in the divorce papers that she gets half of my life insurance when I pass away. Do I have to let her have it. Is it even negotiable? Can I change benificiaries after the divorce is final?
Posted: Sun Jan 11, 2009 02:48 am Post Subject:
I like Loris idea to. It would also be the wisest move since the atty know all the legal ways to handle these types of issues.
Posted: Sun Jan 11, 2009 02:52 am Post Subject:
Yeah, would be great if he could come back before it is too late, sounded as if he was pretty sick.
Posted: Sun Jan 11, 2009 03:03 am Post Subject: insurance
Whoever you have as Trustee/Beneficary of your Life Insurance policies, make sure this is someone you trust.
Posted: Sun Jan 11, 2009 01:40 pm Post Subject:
So this trustee could actually drain the trust fund leaving no money for the child in the future? Wow if this is so I may be changing somethings.
no not likely usually trusts are set up with stipulations how they are to be paid, ie...each kid gets 25k jan 1st. till the money runs out...the trustee takes possession of the household and does whatever the owner of the trust stipulated..my mom and stepdad have a trust (he is now deceased)...the bank is the trustee, I am the 'one' in charge of certain things, ie personal property etc....it just all depends on how the trust is written.Posted: Sun Jan 11, 2009 02:53 pm Post Subject:
Okay so lets just say their is one child and just the death benefits from Social security will be enough to pay for the monthly care for the child. (Lets say The child is living with a relative). We all know how much this could be if the parents or parent had a good job. So lets figure the SS benefit is over $1000 monthly. If that is in place (surely this is enough to cover the monthly expenses of one child) can you set up your life policy to go to a bank account until 25? I may be getting confused here but if you have to have an adult over the age of 18 and not just a minor child on a policy there has to be a way to protect the childs money so they have it for their future.
Posted: Sun Jan 11, 2009 02:56 pm Post Subject:
I'm sure there is some way to do it, but honestly i don't know how without a trust being set up...hopefully one of our seasoned agents will pop in with an answer to that one fire.
Posted: Sun Jan 11, 2009 03:27 pm Post Subject:
I guess I wasn't very clear when I made the statement "deal with a professional insurance agent". No, an insurance agent CANNOT establish any type of trust, but most seasoned insurance agents who work in the area of estate planning know about trusts and how they work and can set up the beneficiary(ies) in the life insurance policy correctly.
Trust are normally arranged through a person's bank or attorney and the "trustee" would be a bank officer or the particular attorney.
When it comes to money, it is sometimes very difficult to place our trust in anyone, especially with the state of today's economy.
I guess you might look at things this way. If you have minor children, you will more than likely name a guardian of your child(ren) in your Will, right?
Now, just what guarantee do you have that this "named guardian" will actually provide the proper care after you are gone? Obviously, the answer is - absolutely none!
There are just times in our lives when we must place some faith and trust in other people - our doctor, our lawyer, our spouse, or someone else.
A properly established trust is, of course, a legal document and even though the trustee has complete control of whatever assets that may be inside the trust, there are legal procedures the trustee must follow and the person establishing the trust makes the rules.
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Posted: Sun Jan 11, 2009 03:30 pm Post Subject:
Man, I hate it when that happens!!
I wasn't logged in. :oops:
Posted: Sun Jan 11, 2009 04:23 pm Post Subject:
My apologies Insurance Maze for letting you think you did not make yourself clear..you most certainally did. It was a question that just arose as the post progressed and I thought it would be quicker to ask it here than to call professional..I thought with professionals being here we could perhaps just get the information here. Again my apologies for making you think your advise was "overlooked"...That was not the case. Also thanks for answering.
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