| Message |
Author |
|
 Posted: Fri Jun 19, 2009 10:36 am Post subject: How to secure life insurance even after divorce? |
|
|
I’m currently undergoing the process of divorce from my husband. I just want to make sure that he maintains life insurance on the kids. How can I make it sure? Can he violate the court order and change the beneficiary in the near future? Would my children then have the right to contest the beneficiary state whomever it is assigned to?
Thanks,
Sarah
_________________
Register Now to have your Insurance queries solved. |
|
OperaGirl
Guest
|
|
| Posted: Fri Jun 19, 2009 11:21 am Post subject: |
|
|
1) Make it part of the divorce decree.
2) You should be the owner of the policy with your ex-husband the payer. This way, only you can make changes and you'll know if the policy isn't being paid. |
|
InsuranceExpert
Senior member
Joined: 05 Apr 2009
Posts: 662
142.69 Dollars($)
|
|
| Posted: Sat Jun 20, 2009 5:37 am Post subject: |
|
|
Hi Insurance Expert,
| Quote: | | You should be the owner of the policy with your ex-husband the payer. This way, only you can make changes and you'll know if the policy isn't being paid. |
Does that mean the policy would have me as the name insured when he would pay the premium to keep it active? Or, the term 'policy owner' means that I'd have the possession of the policy document only?
Who should the policy name as beneficiary? Can my husband add himself as the beneficiary since he would be paying for it?
_________________
Register Now to have your Insurance queries solved. |
|
OperaGirl
Guest
|
|
| Posted: Sun Jun 21, 2009 12:05 am Post subject: |
|
|
If you are the policy owner, then you are the only one that can make changes. Your husband would not be allowed to make himself a beneficiary for two reasons:
1. He's not the owner of the policy
2. The life insurance will be paid upon his death...they can't pay a dead person
I have seen many different ways to do it, and here is my suggestion. Have it mandated in the divorce decree that he mantain adequate life insurance so that it could continue to support the children should he pass away. The beneficiary should be a trust for the children, and the trustee can either be you as the mother...OR if he is not comfortable with it...most judges will allow him to assign an impartial trustee so that you may not misuse the funds.
I have seen many cases where the policy gets paid to the trust. The trustee pays the regular amount to the surviving spouse for child support, and then the remainder is used for the sole benefit of the children (college expenses, etc.)
Just be specific and make sure you understand the implications of any components of the decree! |
|
ChrisBantly
Senior member
Joined: 11 Mar 2009
Posts: 381
Location: Upstate SC
0.52 Dollars($)
|
|
| Posted: Sun Jun 21, 2009 12:26 am Post subject: |
|
|
| Quote: | Does that mean the policy would have me as the name insured when he would pay the premium to keep it active? Or, the term 'policy owner' means that I'd have the possession of the policy document only?
Who should the policy name as beneficiary? Can my husband add himself as the beneficiary since he would be paying for it? |
Your husband would be the insured. You would be the owner. It is the owner that has complete control of the policy. He could not change the beneficiary. Your husband would be paying for the policy, but since you are the owner, you would know if the premium wasn't being paid.
Most likely, a trust for the benefit of your children would be the beneficiary of the policy and you would be the one in control of the money in the trust. |
|
InsuranceExpert
Senior member
Joined: 05 Apr 2009
Posts: 662
142.69 Dollars($)
|
|
| Posted: Sun Jun 21, 2009 12:30 am Post subject: |
|
|
| Quote: | | I have seen many different ways to do it, and here is my suggestion. Have it mandated in the divorce decree that he mantain adequate life insurance so that it could continue to support the children should he pass away. |
It should be mandated, but the problem is if he drops the coverage, she'll never know unless she is the owner. It should be mandated, but she should be the owner.
Even if she does find out, he may not be able to get the policy back in force. |
|
InsuranceExpert
Senior member
Joined: 05 Apr 2009
Posts: 662
142.69 Dollars($)
|
|
| Posted: Mon Jun 22, 2009 1:58 am Post subject: |
|
|
I actually saw a case in which the husband and wife were getting a divorce. They had two children (12 and 14). The judge not only required that the husband carry life insurance, but also required that he pay for the policy for 6 years. Part of the assets he received as settlement were reduced and the policy was purchased.
In this case, the wife was the owner of the policy...AND there was no chance that the husband could stop paying! See if the judge would be willing to set something up, OR have it mandated that he pay the premium to you as part of child support. If you're able to do it that way, should non-payment ever become an issue...you'll know about it and have legal recourse.
(Recourse depends on state, but could include wage garnishment, etc.) |
|
ChrisBantly
Senior member
Joined: 11 Mar 2009
Posts: 381
Location: Upstate SC
0.52 Dollars($)
|
|
| Posted: Mon Jun 22, 2009 5:54 am Post subject: |
|
|
How can I go about assigning myself as the owner of the policy? What rights would I have as the owner? Would the policy document have my name in it as the owner of the plan?
_________________
Register Now to have your Insurance queries solved. |
|
OperaGirl
Guest
|
|
| Posted: Tue Jun 23, 2009 4:23 am Post subject: |
|
|
You won't be able to assign yourself as the owner. If your husband is the current owner of the policy, he will have to name you as the owner. This is why you may need a court order or a specific request from the judge to help you do so.
The policy would clearly state that you were the owner. As owner, you would be the only one allowed to change beneficiaries and make any other changes. You would also be able to monitor and see if the policy was being paid on time and consistently. |
|
ChrisBantly
Senior member
Joined: 11 Mar 2009
Posts: 381
Location: Upstate SC
0.52 Dollars($)
|
|
| Posted: Sat May 22, 2010 5:42 pm Post subject: Assigned Life Insurance Policy |
|
|
Two years ago in my Marital Agreement I was given 2 of my ex-husband's Life Insurance Policies as part of the Settlement. All necessary papers were signed by him, including an assigment which I sent to his Insurance Company and they recorded that assigment and I have personally paid the monthly premiums on such Policy for 2 years now. He died last week. In the "filed" Divorce papers it states that I am NOT entitled to collect on any Ira, Life Insurance or his Estate or be a part of his Will unless he made out a new Will naming me "after" the Divorce and that it has to go to a "secondary" Beneficiary instead or possibly to his Estate. So now the assignment is NOT any good when it comes to "me" collecting the Insurance Money on this Policy and I have to give it up to a secondary Beneficiary, which is his step-daughter who is my daughter, or could possibly go to his Estate which is now his daughter whom he hasn't had a relationship with for 25 years "until" the Divorce and "I" am out this money now ? Two years ago when I mentioned this wording in the "filed" Court Papers (not Marital Agreement Papers) he said "oh, don't worry about that wording" when I asked him about it "back then"......well, "now" I AM worried since the "time" has come to collect !
_________________
Register Now to have your Insurance queries solved. |
|
Shud
Guest
|
|
| Posted: Sat May 22, 2010 6:02 pm Post subject: correction on my last Insurance query |
|
|
The person I told about the wording in the "filed" Court Papers was my Attorney. As other Divorce Papers (The Marital Agreement) did not contain the 2 pages that were also filed with the Courts along with the Agreement and was something I read several days "after" the Divorce was "filed" that I brought it to the attention of my Attorney since I "was" awarded the Life Insurance Policies in the Divorce Settlement and this wording was contradicting what the Marital Agreement had said was being given to me in that Settlement. And as I said, his comment was "Oh, don't worry about that" ! (wording) Well, as I said, I "AM" worried as it could be a contempt of the Court's rulings if I actually "do" collect this Insurance ?
_________________
Register Now to have your Insurance queries solved. |
|
shud
Guest
|
|
| Posted: Wed May 26, 2010 2:26 am Post subject: |
|
|
So does the divorce decree stipulate the transfer of the life insurance policies to you as owner and as beneficiary?
Each state is different, but usually life insurance beneficiary directives will trump most legal documents.
That part of the decree is most likely concerned with your laying claim to any other insurance policies he had or would take out (trust me a lot of ex wives and husbands come looking to collect when their spouse dies).
It could have also been an attempt at an arrangement to ensure the money only went to your daughter, but the your paying the premiums would make that odd and unlikely.
Does the part of the decree that speaks to your receiving the life policies mention your daughter as well? |
|
BNTRS
Senior member
Joined: 05 Nov 2009
Posts: 824
12.54 Dollars($)
|
|
| Posted: Sun Jun 27, 2010 1:00 am Post subject: policy not paid on |
|
|
I was divorced in the state of Ohio in 2002. My ex-husband was to maintain a substantial life insurance policy per final divorce decree as a settlement to be equivalent to PERS retirement after a marriage ten years. I have been made aware that he allowed the policy to lapse from non payment....any ideas or thoughts?
_________________
Register Now to have your Insurance queries solved. |
|
what?
Guest
|
|
| Posted: Thu Mar 17, 2011 4:27 am Post subject: Life insurance |
|
|
My husband's ex wife wants to take out a life insurance policy on him NOW after their divorce has been final for a year. There are no children involved. She does receive spousal support and she also works. Her reason is she FORGOT to do it during the divorce. Can she legally do this now? (this is in WA state)
_________________
Register Now to have your Insurance queries solved. |
|
beyoutful
Guest
|
|
| Posted: Thu Mar 17, 2011 6:03 am Post subject: |
|
|
She can purchase life insurance on her ex-husband under the following conditions:
* Your husband has to be informed. He'll have to answer all queries regarding his health and sign in the application. It's his health which is a risk for the insurer, so she can't take out a policy on him without involving him.
* She has to prove her insurable interest i.e. she'll somehow be financially affected when he dies. The fact that she works might come in between. |
|
roddick
Senior member
Joined: 05 Oct 2005
Posts: 962
143.16 Dollars($)
|
|
