Can my life insurance not pay out due to divorce

by Soulfulsista » Tue Aug 06, 2013 07:19 pm

I had a group life insurance policy through my employer for my now deceased ex husband. When I took out the policy we were married. He is now deceased and the insurance company asked for my divorce decree. When I asked why I was told that I may not qualify for my benefits because we were divorced in death. Is that legal? Can they not pay even though I've maintained the policy for years.

Total Comments: 2

Posted: Fri Aug 09, 2013 08:44 pm Post Subject:

Certain states have statutes that state upon a divorce, a beneficiary designation naming a spouse is automatically invalidated.

So...what state do you live in?

InsTeacher 8)

Posted: Sun Aug 11, 2013 10:31 pm Post Subject:

I don't read the OP's post as having to do with her ex-husband as beneficiary. It seems to me that she applied for spouse coverage, and would therefore be the de facto "owner". The laws regarding revoking a spouse as beneficiary are directed to those situations in which the owner/employee/spouse named his/her spouse as beneficiary, which is invalidated upon divorce (22 or 23 states now have that law in their Probate codes). The owner/employee/ex-spouse is free to rename the same (now ex-spouse) person as beneficiary, but it requires the submission of a new beneficiary designation.

If my employer permits me to purchase group life insurance on my spouse, I am going to be the owner and the beneficiary of that certificate. State law concerning divorce does not revoke me as beneficiary of a policy I control. The state has no authority over my choice of beneficiary, but can revoke my former spouse as my beneficiary.

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