No named beneficiary--does the will step in?

[SoDeep]

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

My father recently passed away, and I am separated from my family. He had written me out of his will so I though that I would be getting exactly nothing. Then I received forms from his life insurance company with a letter attached saying he had not named a beneficiary and that the next thing they would do is pay it out to surviving children in equal parts. If my dad named my brother and nephew in his will as the ones receiving all of his assets, is that going to prevent me from receiving an equal share of the life insurance or is it a separate thing? It shows on the form that the deceased person's estate is the last to receive the payment if no other class of beneficiaries comes forward, so I don't think so, I just want to make sure.

 

[anteater]

The terms of the insurance contract prevail. If those terms provided for "default" beneficiaries, then those beneficiaries receive the proceeds.

 

[justalayman]

It shows on the form that the deceased person's estate is the last to receive the payment if no other class of beneficiaries comes forward,

if the rest of the family does not want you to receive any of the insurance payout, I would expect them to contest it being divided and paid to all of the children. As anteater stated, the policy will rule but typically, if there are no named bene's, it is paid to the estate and is included just as any other asset. In such a situation, you would obviously not be entitled to any of the money.

Only the insurance company can actually give you an answer about who the policy is being paid out to.

 

[Dandy Don]

You can't really depend on the insurance company to give you an accurate answer because they may or may not know what the law is and their rules and regulations may be operating independently of the law. You would be smart to talk to an Ohio attorney who specializes in "bad faith insurance" cases or "disputes with insurance companies" so that your attorney can analyze the law in your state. A probate attorney may not necessarily be familiar with the business law regulations in your state regarding insurance company payouts.

Under normal circumstances, the insurance company is supposed to pay the money ONLY TO THE ESTATE when there is no designated beneficiary. If you do receive a check from the insurance company, you need to deposit it and not spend any of it or put it away uncashed, because you may be successfully sued by the will beneficiaries for the return of the money if the insurance company makes an error by not paying the estate.

 

[Zigner]

You can't really depend on the insurance company to give you an accurate answer because they may or may not know what the law is and their rules and regulations may be operating independently of the law. You would be smart to talk to an Ohio attorney who specializes in "bad faith insurance" cases or "disputes with insurance companies" so that your attorney can analyze the law in your state. A probate attorney may not necessarily be familiar with the business law regulations in your state regarding insurance company payouts.

Under normal circumstances, the insurance company is supposed to pay the money ONLY TO THE ESTATE when there is no designated beneficiary. If you do receive a check from the insurance company, you need to deposit it and not spend any of it or put it away uncashed, because you may be successfully sued by the will beneficiaries for the return of the money if the insurance company makes an error by not paying the estate.

If the policy document specifically defines who is to be paid in the even there is no beneficiary, then the question is answered.

 

[Betty]

Agree, I worked for an ins. co. & all of our policies had a provision in them how the proceeds would be distributed if there was no named bene or named bene living at time of death.