What is the name of your state (only U.S. law)? Pennsylvania
In general, in Pennsylvania, if a person owns a cash value life insurance policy on his life and names his wife as the primary beneficiary, is that cash value protected in light of a judgment creditor? I have read the statutes on exempt assets (42 Pa. Cons. Stat. Ann. § 8124 (c)(1) through (c)(8)) and it is not clear at all. I see there is this "$100 per month" exemption but I don't know what that means. I am very clear that the "proceeds" of the policy (i.e. the death benefit) are generally exempt from the claims of creditors but what about the "avails" (i.e. cash value.) PA doesn't even mention that term at all in its statutes. I'd really like to know specifically what relationships among the policy owner, insured, and beneficiary would afford creditor protection and what relationships would not. Finally, if you believe you know this answer, is there any supporting information you can provide (other than the statutes, which I've read)? I can't find any case law on the web even though I've searched (I'm not a lawyer).
In general, in Pennsylvania, if a person owns a cash value life insurance policy on his life and names his wife as the primary beneficiary, is that cash value protected in light of a judgment creditor? I have read the statutes on exempt assets (42 Pa. Cons. Stat. Ann. § 8124 (c)(1) through (c)(8)) and it is not clear at all. I see there is this "$100 per month" exemption but I don't know what that means. I am very clear that the "proceeds" of the policy (i.e. the death benefit) are generally exempt from the claims of creditors but what about the "avails" (i.e. cash value.) PA doesn't even mention that term at all in its statutes. I'd really like to know specifically what relationships among the policy owner, insured, and beneficiary would afford creditor protection and what relationships would not. Finally, if you believe you know this answer, is there any supporting information you can provide (other than the statutes, which I've read)? I can't find any case law on the web even though I've searched (I'm not a lawyer).