by mkramanak » Sat Mar 31, 2012 02:36 am
I was the beneficiary of my fiance's life insurance policy. His brother was POA, and changed the beneficiary to himself within 72 hours of my fiance's death. Can I fight this? My fiance was in a coma when this was done.
Posted: Mon Apr 02, 2012 12:52 pm Post Subject: POA - Change in beneficiary
Please clarify when the change in the beneficiary’s name was done. It is not clear whether it was done when your fiancé was in coma or after his death. Also find out whether or not the POA was a durable or a conventional one.
The POA agreement ceases after the death of the principal. So you can easily dispute, if the change had been done after your fiancé’s demise.
Again, if he was in coma during the alteration, it will be considered null and void. It is because of the fact that he was unable to give his consent at the time.
However, if it had been a durable POA, his brother had the power to make the change while he was in coma. A durable POA allows power to the agent, even if the principal is mentally incapacitated.
Posted: Tue Apr 03, 2012 03:35 pm Post Subject:
However, if it had been a durable POA, his brother had the power to make the change while he was in coma. A durable POA allows power to the agent, even if the principal is mentally incapacitated.
This statement is only partially accurate.
A "Durable Power of Attorney" as that term is generally used, only extends to health care directives and not to any other aspect of a person's life or finances. for a POA to permit changing life insurance beneficiaries, taking money from a person's bank account, etc,, that right must be specifically granted in the document. The typical DPOA does not do that at all.
Again, if he was in coma during the alteration, it will be considered null and void. It is because of the fact that he was unable to give his consent at the time.
This statement makes no sense. That is the specific purpose of a DPOA -- to permit someone to make decisions in place of the incapacitated person. But, again, serious matters such as life insurance beneficiaries, stock/bond/mutual fund trading, and other financial matters are NOT USUALLY contained in a standard DPOA document -- they must be added. Obviously, a DPOA cannot be consented to after a person is incapacitated and unable to make those decisions. It also cannot be consented to if the person granting the DPOA does not clearly comprehend his actions. (But that's difficult to prove after their death.)
The POA agreement ceases after the death of the principal. So you can easily dispute, if the change had been done after your fiancé’s demise.
This, too, makes no sense, because a beneficiary cannot be changed after the insured's death, POA or not. The moment of death seals the fate of the contract at that point.
Posted: Wed Apr 04, 2012 12:18 pm Post Subject:
Hello MaxHerr
Thanks a ton for your explanation. It was really enlightening.
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