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Beneficiary question about recently deceased father

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idahoadventurer

Junior Member
What is the name of your state? ID

Hi all,

My estranged dad recently died and I found out as a result that the I was named as a beneficiary on a really old insurance policy.

My dad bought this policy I guess when I was a little kid and when he and my mom were still married. He named myself and my brother as beneficiaries. This was between 31-38 years ago. My dad since divorced my mom and also my step mom and was married to his third wife of 20 years when he died.

My step step mom is upset that he didn't change the beneficiaries to her and that my brother and I are still listed. Therefore, she told the funeral home to send my brother and I the bill for his funeral - using the insurance to pay for it. Neither my brother and I will sign the release giving the approval for this b/c we do not agree with it. I have submitted my claim to the insurance company.

I found out this morning that my step step mom has obtained a lawyer to try and keep me from getting any money from this policy. Is this possible? Or when you are listed as a beneficiary that is firm.

Any insight into this would be appreciated. I am wondering if I need to obtain a lawyer or is she "blowing smoke." I am not sure how she would have any legal grounds. Again, thanks a lot for any insight.

JIM
 


nextwife

Senior Member
The "estate" is responsible for the funeral expenses. Is there a will? Likely the will contains instructions to pay funeral and estate expenses out of estate assets, because insurance proceeds pass outside of probate and do not belong to the estate. So, dad's estate assets (whatever he owned before he died) are supposed to be used to pay for his funeral.

I'm married to a man who had a prior marriage and prior kids. So I took out insurance on hubby myself to pay whatever if he passes before me. As a spouse, it is my and my husband's responsibility to plan for our estates, not our kid's responsibility. I didn't expect whatever PREMARITAL life policies hubby had bought in a DIFFERENT marriage to be changed to me, we simply got our OWN policies on each other. If she wanted a life policy on hubby naming her, why didn't she just purchase one? I don't understand why people fail to be proactive and THEN fret about the results of doing nothing.

It is even a possibility that in dad's divorce decree from YOUR mom, he was mandated to have you named as beneficiary on that policy. Having someone else named, if that was the case, could have been CONTRARY to a court order. It may be interesting to see what that divorce decree stated. If there IS language that mandates you be the beneficiary, you can send a copy of that language and show the attorney that dad's compliance with the decree REQUIRED that he make you the beneficiary, and that money was earmarked to benefit YOU long before his current widow came along..
 
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curb1

Senior Member
Call the insurance company immediately and ask for payment. You will need a death certificate.
 

sweetsoo

Junior Member
Basic Insurance Info

insurance policies are made to give the beneficiary money that the estate may not have.

Obivously, for some reason your father wanted you to have the money.

Unless changed by the owner of the policy, beneficiaries cannot be changed.

The estate normally pays for the funeral expenses. My understanding is that the current spouse is the next in line to pay and to decide on what type of funeral.

I suggest checking with a life insurance agent in your state to confirm this. You might also want to consult with an attorney.

However, it seems to me that the spouse is just venting her anger/grief on you.

Find out your rights and dont sign anything!
 

Dandy Don

Senior Member
Please tell us whether there is a will and if there are other assets and whether he named his wife in the will or not. How much is the policy paying out? If you can afford to help pay the funeral expenses it would be great if you could do so. Otherwise, the bill should be submitted to the executor of the estate IF there is a will being probated.

The action she is going to file is called an interpleader so she is asking the courts to decide who gets the money (if the insurance company agrees), but you are in a very strong position to win since you are the NAMED, designated beneficiary. You may want to have an attorney look at your state law to see if there is any law regarding interpleader actions and beneficiary designations.

DANDY DON IN OKLAHOMA ([email protected])
 

aanubis

Member
His wife is legal next of kin with the right to have decided the funeral mode/expenses. As long as SHE signed with the funeral home, SHE is responsible to pay them. She can be reimbursed from the estate....although I suspect she still sees that as her paying the bill since in effect, it comes out of her inheritance. So that's why she wants you to pay up out of the insurance.

I highly doubt the funeral home will send you the bill if you didn't sign. You have no contractual obligation and you only need pay if it's out of the goodness of your heart.

Regarding a designated beneficiary on the life insurance policy, I would be very surprised if the insurance company did anything different than pay the listed beneficiary per your father's written instructions. I wouldn't get an attorney until I knew for a fact that she could and is pursuing legal action to get the listed beneficiary changed. While insurance can be used to pay for funeral expenses, you are under NO obligation to do so. Good luck!
 

idahoadventurer

Junior Member
Please tell us whether there is a will and if there are other assets and whether he named his wife in the will or not. How much is the policy paying out? If you can afford to help pay the funeral expenses it would be great if you could do so. Otherwise, the bill should be submitted to the executor of the estate IF there is a will being probated.

The action she is going to file is called an interpleader so she is asking the courts to decide who gets the money (if the insurance company agrees), but you are in a very strong position to win since you are the NAMED, designated beneficiary. You may want to have an attorney look at your state law to see if there is any law regarding interpleader actions and beneficiary designations.

DANDY DON IN OKLAHOMA ([email protected])
There is a will. I have not seen it or anything. He told me in a vm 5 years ago that he was going to take me out of the will. So not sure. There are other assets. And yes, his current wife is in the will as far as I know. Thanks for the help.
 

nextwife

Senior Member
As I stated earlier, the will would normally instruct payment of final expenses. Have you obtained a copy from the county probate court, or checked to see if it was filed?
 

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