Insurance on ex wife

[Life Hawk]

Undoubtedly this stems from probate court battles from the past... as I tell my clients often... "When it concerns MONEY... our families often go a bit wacky."

 

[Todd King]

Agree. But the divorce laws consider the marital relationship that created the insurable interest to have pre-deceased the insured's death, therefore payable to the contingent beneficiary unless updated. Crazy stuff

And that's one of the biggest problem. Insurable interest should have no bearing on the actual beneficiary. Ownership is the only thing that should have anything to do with insurable interest. Who I want to leave my money to is actually no business of the insurance company. If I want to leave it in a trust for my dog the insurance company should have no say so in the matter.

Note: I did not read the whole thread, so if I'm off topic or something, my apologies.

 

[Allen Trent]

And that's one of the biggest problem. Insurable interest should have no bearing on the actual beneficiary. Ownership is the only thing that should have anything to do with insurable interest. Who I want to leave my money to is actually no business of the insurance company. If I want to leave it in a trust for my dog the insurance company should have no say so in the matter.
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True, but when you sign a divorce agreement document that says you forfeit all rights to own or be the beneficiary, it essentially voids you as the primary beneficiary unless clearly agreed to by all parties & the judge in the divorce decree.

The law is not forcing this to happen, it is saying it is the default situation if you or your incompetent attorney dont draft a better divorce decree agreement to allow you to retain an ownership or beneficiary interest in life, annuity or retirement assets.

A proper divorce decree would list each & every policy by carrier & policy # granting the ability to continue to be an owner or beneficiary.

 

[Deepsea]

True, but when you sign a divorce agreement document that says you forfeit all rights to own or be the beneficiary, it essentially voids you as the primary beneficiary unless clearly agreed to by all parties & the judge in the divorce decree.

The law is not forcing this to happen, it is saying it is the default situation if you or your incompetent attorney dont draft a better divorce decree agreement to allow you to retain an ownership or beneficiary interest in life, annuity or retirement assets.

A proper divorce decree would list each & every policy by carrier & policy # granting the ability to continue to be an owner or beneficiary.

You mean a proper Marital Settlement Agreement.........as part of the divorce decree.