Life insurance proceeds according to the will

[amjmrod]

What is the name of your state? Michigan
In my Grandma's will it says life insurance proceeds go to the trust payable to her grandchildren at age 25. The trustee was paid the proceeds and did not put them in the trust. What can be done to get the money back to the estate and in the trust.

 

[seniorjudge]

It matters not a whit what the will said.

Tell us what the insurance policy said!

 

[amjmrod]

If you have a life insurance policy and you also have a trust and want it paid out when they reach a certain age you have to have a trustee. The trustee will get the paid out. Useless advice. Yes the insurance co. told me that. There are legal ways to fight this.

 

[moburkes]

If you have a life insurance policy and you also have a trust and want it paid out when they reach a certain age you have to have a trustee. The trustee will get the paid out. Useless advice. Yes the insurance co. told me that. There are legal ways to fight this.

What the hell are you talking about? The only way that the trustee received the funds is IF the trustee was the beneficiary of the funds (personally). If the trust was intended to be the beneficiary of the funds, then grandmother should have made the trust the beneficiary of the funds, just like my dad's trust is the beneficiary of his life insurance policy. His trust is also the owner of the policy.

If you know the answer to your question, then why are you asking? Idiot all day long.

 

[seniorjudge]

If you have a life insurance policy and you also have a trust and want it paid out when they reach a certain age you have to have a trustee. The trustee will get the paid out. Useless advice. Yes the insurance co. told me that. There are legal ways to fight this.

WHO was the beneficiary of the insurance policy?

 

[amjmrod]

The trustee was the primary the secondary the grandchild. Their was an understanding that he would do the right thing. He is family! By the way name calling is so childish grow up.

 

[seniorjudge]

The trustee was the primary the secondary the grandchild. Their was an understanding that he would do the right thing. He is family! By the way name calling is so childish grow up.

I didn't call you any names.

In any event, if the trustee has done something wrong, you will need to hire a lawyer and sue the trustee for an accounting.

 

[amjmrod]

Thank you. We are opening up the estate. He never filed for probate. He used his POA after she died to take her money. I suppose the banks didn't know she was deceased. My biggest concern is the life insurance proceeds. My lawyer hasn't said much about it or given me a direct answer. Yeah the name calling that was moburkes.

 

[moburkes]

I was the one with the name calling. If the trustee was named as the beneficiary, then grandma did her life insurance policy wrong. Life insurance falls outside of the estate. The trustee (if named specifically, like "John A. Smith") had NO obligation to turn over HIS money to the trust. This mistake was on grandma. The will does not change the life insurance company's obligation to the beneficiary.

 

[amjmrod]

Who said anything about the life insurance co? I am talking about getting the funds back from the trustee. Stick to life insurance girly.

 

[moburkes]

Who said anything about the life insurance co? I am talking about getting the funds back from the trustee. Stick to life insurance girly.

Did you have a problem that you needed to send this to me in a PM?

What the hell are you talking about? Fool. Do you know about wills, estates, or probate. If not then shut the hell up.

 

[amjmrod]

Can you read?

 

[seniorjudge]

I was the one with the name calling. If the trustee was named as the beneficiary, then grandma did her life insurance policy wrong. Life insurance falls outside of the estate. The trustee (if named specifically, like "John A. Smith") had NO obligation to turn over HIS money to the trust. This mistake was on grandma. The will does not change the life insurance company's obligation to the beneficiary.

I have seen life insurance with the estate as a beneficiary.

Anyway, yes, poster, was the beneficiary named like this

John Doe

OR

John Doe, the trustee of the Mabel Roe Living Trust.


Please answer that question.

Also, forgive moburkes, who has a low tolerance for frustration but is a very good person in spite of that!

 

[Zigner]

The trustee was the primary the secondary the grandchild. Their was an understanding that he would do the right thing. He is family! By the way name calling is so childish grow up.

If the trustee was the beneficiary (primary) then the money belongs to the trustee personally. It passes outside of probate and is not subject to the terms of Grandma's will. I'm sorry that Grandma did not understand the proper procedures for leaving this money to the Grandchild, but that doesn't change things from a legal perspective.

 

[moburkes]

Thank you. We are opening up the estate. He never filed for probate. He used his POA after she died to take her money. I suppose the banks didn't know she was deceased. My biggest concern is the life insurance proceeds. My lawyer hasn't said much about it or given me a direct answer. Yeah the name calling that was moburkes.

This still doesn't make sense. You said that the will stated that life insurance proceeds were to go to the trust. The life insurance company is only responsible to a beneficiary of the policy. So, what bank did he take her money from? You are talking about something different than the life insurance that you referenced in your first post. Please make up your mind about the subject. Now, if the trustee used a POA after her death to take money from her bank account, then you need to contact the bank with proof of her death.