beneficiary is deceased

[Oapplin]

What is the name of your state?California
My mother had a life insurance policy and named my sister and I the beneficiaries. My sister died several years ago and my mother died recently without ever changing the policy. Will I become the sole beneficiary or will my sister's half go to probate to be dispersed amoung her children?

 

[Dandy Don]

Did your sister have a last will and testament that was probated and do you know who the executor of her estate was?

This is something you need to mention to the insurance company to see what their official policy is. They will probably pay you half and then issue the other half made payable to the executor (if there was one). If there was not one, then you will need to apply at the courthouse to be her administrator/executor and then her portion of the check will be issued to you as administrator and then you can distribute it to your sister's children.

DANDY DON IN OKLAHOMA ([email protected])

 

[Oapplin]

Beneficiary was deceased before policy was taken out

There was no will for my sister. I have also just realized that my mother took out the policy a year after my sister had died! Does this still make the money payable to her estate? It is not a lot of money and I would hate to have it reduced by probate court.

 

[Dandy Don]

Yes, the fact that she is deceased makes it payable to her estate. Your fear about "being reduced by probate" is groundless--there will be no significant reduction or expense--probate fees are much more reasonable than you think.

DANDY DON IN OKLAHOMA ([email protected])

 

[seniorjudge]

Q: There was no will for my sister. I have also just realized that my mother took out the policy a year after my sister had died! Does this still make the money payable to her estate? It is not a lot of money and I would hate to have it reduced by probate court.


A: No, you cannot take out a life insurance policy with a dead person as beneficiary. That beneficiary designation was null and void from the git-go.