Life Insurance and will

[sheishvac]

What is the name of your state?What is the name of your state? NC My stepfather passed away and named me as exec of his estate. He was supposed to be exec of his grandmothers estate but never filed the will because he became ill. I filed her will but she had no property when she died and in her will left everything to my stepdad anyway. In her will she expressed not wanting to leave anything to two other grandchildren. After going through some papers I found a life insurance policy where her daughter was named benificary. Her daughter (the mother of the three grandkids) passed prior to her. While after I sent in all the paperwork to the life insurance company to make the claim they turned it over to the state of Virginia. Now the state is telling me they have to pay the money to the other grandkids instead of the estate? Her will said she did not want that. Any advise? Also I have found some seriess E or EE bonds? If I open an estate for her will they have to pay them to that estate?

 

[Dandy Don]

Did daughter leave a will and has it been probated?

If she did, then you need to notify her estate executor about this so executor can contact the insurance company. Insurance company has no business interpreting the law or bypassing the law--technically the check should be issued to the daughter's estate for the executor to distribute to the heirs ACCORDING TO WHAT THE WILL SAYS IF THERE WAS ONE, and if there was not one, then the granddaughters do get to be paid. There was no way that grandmother could have predicted in advance that it would turn out this way--the money passes outside of grandmother's probate, so her will disinheriting them does not apply in this case. Get your own attorney to contact the insurance company about this or file a consumer complaint with the North Carolina Department of Insurance (www.ncdoi.com) to have this investigated to get insurance company to behave properly.

Do the E and EE bonds show joint account owners or just the name of one person? Go to any bank that sells savings bonds and they can tell you how to handle these--if the estate needs to be opened up for these, then yes the estate will be paid to receive these.

DANDY DON IN OKLAHOMA ([email protected])

 

[seniorjudge]

What is the name of your state?What is the name of your state? NC My stepfather passed away and named me as exec of his estate. He was supposed to be exec of his grandmothers estate but never filed the will because he became ill. I filed her will but she had no property when she died and in her will left everything to my stepdad anyway. In her will she expressed not wanting to leave anything to two other grandchildren. After going through some papers I found a life insurance policy where her daughter was named benificary. Her daughter (the mother of the three grandkids) passed prior to her. While after I sent in all the paperwork to the life insurance company to make the claim they turned it over to the state of Virginia. Now the state is telling me they have to pay the money to the other grandkids instead of the estate? Her will said she did not want that. Any advise? Also I have found some seriess E or EE bonds? If I open an estate for her will they have to pay them to that estate?

Okay, her daughter was primary beneficiary.

Who, if anyone, was the contingent (i.e., next in line) beneficiary?

When did step-great-grandma die?

When did you open her estate?

What authority did you have to open the estate?

You said she had no property, so why would you open an estate?

Then you said she DID have property -- E or EE bonds; is this correct?

Is there a beneficiary or transfer/pay on death designation on the bonds?

 

[ALawyer]

If the named beneficiary died PRIOR to the person whose life was insured, and the named insured had listed a contingent or alternate beneficiary, that beneficiary would be entitled to the life insurance proceeds. If no alternate / contingent beneficiary was named, the proceeds normally are payable to the deceased's estate. However, some insurance policies have "facitlity of payment" provisions (particularly for smaller amounts) that authorize the insurance company to make payment to next of kin, etc. Here, however, it seems to have been an escheat situation -- if the money was not claimed for sevral years. In that case state law of insured's residence governs

 

[sheishvac]

NC
Grandmother died 1998, was only benif to life policy of great grandma. Yes her estate was probated but no will. Great grandma died 2001 with will but never probated or filed because dad got sick. The whole reason she left the other grandkids out of her will was because of what happened when her daughter, my grandmother died. The other kids went in before the funeral and cleaned out the house. Dad died 2002. I did not open an estate for great grandma just filed will, will left everything to dad. Court said did not need to open estate just file will. I feel since dad and I were the only ones who ever took care of or saw great grandma and she left everything to dad and I am the exec of his estate that gives me the right to open one for her if I need to. For the 3 years before her death, she lived with dad. The money should have gone to his estate. I do not know if he even knew about the bonds, I found them in some packed up paperwork she had after she had moved in with Dad in storage and there are no joint rights just her name.