by Lynne28 » Wed Jun 27, 2012 02:54 am
My husband's step-father has confessed to taking the life insurance money that his mother meant for her 3 children to have. She had explained to my husband (17 years old at the time of passing) that the 3 children would have money when she died. At the time of her death, the 3 children relocated to live with their father and their step-father made no mention of the life insurance. When my husband probed him at the time, he said that she forget to pay the monthly payments. Fast forward 12 years later and the guilt broke him. He said that it was her dying wish to make sure that he get the insurance money and distributed it to the children. Looking at the insurance policy, it lists the step-father as primary beneficiary and the 3 children as contingent beneficiaries. He already claimed the policy and invested the money in his home. Is there any legal rights that these 3 children have to the money?
Posted: Thu Jun 28, 2012 12:02 am Post Subject:
Unfortunately, no. The only exception to this would be if he had a contractual arrangement with the decedent to pay for the children's expenses specifically and that he could not use the money for any personal need. This is normally done only through a trust environment and you made no mention of any trust that may have been set up.
Other than mentioned above, which is highly unlikely, the primary beneficiary can do whatever he wishes with the proceeds.
InsTeacher 8)
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