policy owner vs insured person

[kbell216]

What is the name of your state? Illinois
If you are the owner of a life insurance policy on your spouse and are listed as the beneficiary, would you still be the beneficiary upon divorce?

 

[I AM ALWAYS LIABLE]

What is the name of your state? Illinois
If you are the owner of a life insurance policy on your spouse and are listed as the beneficiary, would you still be the beneficiary upon divorce?

My response:

I have already responded to your question in your identicle, duplicate, post. I said - -

No. Because of the divorce, you no longer have an "insurable interest" in your former spouse. Once she dies, the only thing you'll be entitled to receive is a refund of your premiums.

It would be the same as if you had a life insurance policy on me. You and I have no "connection" to one another, just like you and your former spouse have no connection to each other. As far as the law is concerned, the two of you are "legal strangers."

IAAL

 

[kbell216]

Thank you for your response (x2)
So even though the policy is current, the premiums are still being paid and the ex husband owns the policy but I am the one who is insured--he would still not be-- in essence unless the beneficiary is changed--it is basically not worth it to keep?
And since he owns the policy is it true that he is the only one who can change the beneficiary?

 

[nextwife]

Do you have children or debts together? If so, then he SHOULD have life insurance on you. I have life insurance on my husband, and would still want to have it if we ever divorced because we have a child. If we had a long term debt that he was jointly responsible for with me, it also makes sense.

 

[mws05]

Thank you for your response (x2)
So even though the policy is current, the premiums are still being paid and the ex husband owns the policy but I am the one who is insured--he would still not be-- in essence unless the beneficiary is changed--it is basically not worth it to keep?
And since he owns the policy is it true that he is the only one who can change the beneficiary?

The owner of the policy is the only one who can make any changes to the policy contract. As far as the beneficiary, I would check your state laws. I work for a life insurance company and one of the states that we do business in has it where at the time of the divorce or annulment, the beneficiary can not be the ex-spouse unless it is an irrevocable beneficiary. Also check with the insurance company the policy is with. They can answer a general question, but can't give you details on the policy as you are not the owner of the policy.

"insurable interest" is required at the time the policy contract is taken out and the beneficiary can be anyone after the policy is inforce.

I think that both ex-spouses should have some life insurance to be there for the children in case of their deaths.