by Ed49 » Tue Jun 22, 2010 11:37 am
I have to assign a life insurance to my ex wife as "irrevocable beneficiary". What happens if she dies before me? Can I stop paying and let the contract lapse at that time?
Posted: Tue Jun 22, 2010 11:42 am Post Subject:
Check your divorce docs for this, or ask your divorce attorney...are their children involved?
Posted: Wed Jun 23, 2010 04:13 am Post Subject: Ex wife insurance policy
consider a Return Of Premium Term policy.
Posted: Wed Jun 23, 2010 11:00 pm Post Subject:
A policy is not "assigned" to an irrevocable beneficiary, but an irrevocable beneficiary essentially can prevent the owner from making any changes to the contract, including taking loans or withdrawals, or surrendering the contract.
Unless a court order provides for a substitute irrevocable beneficiary (rare), if the beneficiary dies before the insured, control of the contract is restored to the owner who may then designate a new beneficiary of their choosing or terminate the contract.
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