Group Life Insurance Estate as Beneficiary

[trust_id_09]

What is the name of your state (only U.S. law)? New York

Trustee of an estate, No probate courts. Just found out that the decedent has a negligible amount 1K awarded to city employee upon death. Mind you, I am in the distribution phase of Trust assets.

The Administrative company sent me an preferred beneficiary affidavit to fill out and notarize. which I did and the file a claim w/ the Insurance Company in my behalf. However, the claim rep called me and ask for a testamentary Letter, which I don't have again no probate was involved. However, I faxed a copy of letter given to me by the decent's attorney stating that I was the executor of the pour over will that is part of the trust set up.
Then a check was cut but made out to the Estate of the decedent. I know what need to do as far as small estate admin and all. But I found a copy of an Insurance record card, in which I, as the POA at the time four years back filled out and signing it as such. I had Insurance transactions powers. I faxed to them. However, The insurance co. told me It is against the law, which I refute, and later request a copy of the policy. according to them the policy clearly states there will be no payout to anyone who has power of attorney.
It that is absolutly true, I will bow out. But, my argument is , at the time I fill the insurance card, the decedent at no cognition, and it would have been deceiptfull from my part, had I let her sign. I thought I was doing the right thing. Note that I had absolutly no data whatsoever on what the insurance $$ was. All I know, is my lawyer told me not to leave anything she may have owned outside the trust either in her name or w/o a named beneficiary.

I am awaiting the policy, but I am fearfull that I'll have to probate such a negligible amount, which had rendered all the $$ we paid to establish the trust (being private and all) absolete.

Any input will be greatly appreciated.

Thanks in advance

 

[Zigner]

What is the name of your state (only U.S. law)? New York

Trustee of an estate, No probate courts. Just found out that the decedent has a negligible amount 1K awarded to city employee upon death. Mind you, I am in the distribution phase of Trust assets.

The Administrative company sent me an preferred beneficiary affidavit to fill out and notarize. which I did and the file a claim w/ the Insurance Company in my behalf. However, the claim rep called me and ask for a testamentary Letter, which I don't have again no probate was involved. However, I faxed a copy of letter given to me by the decent's attorney stating that I was the executor of the pour over will that is part of the trust set up.
Then a check was cut but made out to the Estate of the decedent. I know what need to do as far as small estate admin and all. But I found a copy of an Insurance record card, in which I, as the POA at the time four years back filled out and signing it as such. I had Insurance transactions powers. I faxed to them. However, The insurance co. told me It is against the law, which I refute, and later request a copy of the policy. according to them the policy clearly states there will be no payout to anyone who has power of attorney.
It that is absolutly true, I will bow out. But, my argument is , at the time I fill the insurance card, the decedent at no cognition, and it would have been deceiptfull from my part, had I let her sign. I thought I was doing the right thing. Note that I had absolutly no data whatsoever on what the insurance $$ was. All I know, is my lawyer told me not to leave anything she may have owned outside the trust either in her name or w/o a named beneficiary.

I am awaiting the policy, but I am fearfull that I'll have to probate such a negligible amount, which had rendered all the $$ we paid to establish the trust (being private and all) absolete.

Any input will be greatly appreciated.

Thanks in advance

If there was no beneficiary on the policy, then the proceed will go to the estate. You need to get the letters they requested.

 

[Dandy Don]

You have no reason to be fearful. You wrongly assume that probate will be expensive, but you don't know the actual facts/costs. Most counties have simplified procedures for smaller estates, and you will get the letters soon after you file to open up probate.

 

[trust_id_09]

Group Life Insurance...

You have no reason to be fearful. You wrongly assume that probate will be expensive, but you don't know the actual facts/costs. Most counties have simplified procedures for smaller estates, and you will get the letters soon after you file to open up probate.

My most concern is solely about a privicy issue. Not the actual cost of probating such a negligible amount. I meant the high cost of establishing the trust was in vain to a degree; privicy wise. But, I am disapointed that I have to go through it over only 1K. That is all.

You are right DD, I enquired about my state already and up to 30K is handled as Small estates administration. There should be a minimal amount as well.

Many Thanks.