DEADBEAT 'Dad' and paying his Life Insurance Policy ?

[Mike Siegal]

I have a friend who's daughter was knocked up by Deadbeat (DB). She wants to buy life insurance on the creep with her Grand-daughter as beneficiary.

QUESTION; Since the DB has a history of petty crime, what would happen if DB was murdered --- would the insurance pay or not?

NOTE; I didn't say Dad was committing a crime (in that scenario), I'm just saying (because of his nefarious company),...anything could happen.

• THOUGHTS/comments?

Thanks for the input...!

 

[rousemark]

I have a friend who's daughter was knocked up by Deadbeat (DB). She wants to buy life insurance on the creep with her Grand-daughter as beneficiary.

QUESTION; Since the DB has a history of petty crime, what would happen if DB was murdered --- would the insurance pay or not?

NOTE; I didn't say Dad was committing a crime (in that scenario), I'm just saying (because of his nefarious company),...anything could happen.

• THOUGHTS/comments?

Thanks for the input...!

If the company issues the policy, assuming no fraud with application the company would pay. There is no exclusion on a life policy for criminal activity.if the plan had an AD rider, the accudental death would not pay if he died during t he commission of a felony.

 

[DHK]

There is no exclusion on a life policy for criminal activity.

5. The cause of death was excluded by the policy​

Life insurance policies typically have a two-year exclusionary period for suicide, so your beneficiary typically would receive whatever you paid in premiums, but not the policy's face value. So-called "suicide clauses" vary by insurer and are designed to discourage people from buying life insurance when contemplating suicide.

Another caveat: If you're killed while committing a crime, the claim might be denied.

And last, if you don't disclose to your insurer when you apply for a policy that you have a high-risk hobby, such as sky-diving or auto racing, and you die while doing it, your insurer may decline the claim.

What are the reasons a life insurance policy won't pay out?

Life insurance claim denials usually occur because of errors with the policy or a policy lapse. Keep your policy updated and accurate to avoid a denied claim.

www.insurance.com

 

[rmhaire]

if the plan had an AD rider, the accudental death would not pay if he died during t he commission of a felony.

And sometimes alcohol. I've seen two accident policies that were contested.

Alcohol and car wrecks.