Refund of insurance proceeds

[balsdca]

What is the name of your state? Wisconsin

My son (minor) received life insurance death benefit proceeds when my husband's aunt passed away. Now they say that they forgot to deduct an auto loan and they want each of the beneficiary's to pay their percentage of the balance back. Do we have to pay this back if it was their mistake? Also, the car in question was held by the executor of the estate and they had sold the car a year ago and not paid the loan back obviously so where did the proceeds go? Would it then be their responsibility to pay this loan back?
Any help would be appreciated.
Thanks.

 

[Betty]

Life insurance proceeds are paid out to the named beneficiary/beneficiaries & are not part of the estate. There is no legal reason for any of the proceeds received to be given back.

 

[anteater]

What is the name of your state? Wisconsin

My son (minor) received life insurance death benefit proceeds when my husband's aunt passed away. Now they say that they forgot to deduct an auto loan and they want each of the beneficiary's to pay their percentage of the balance back. Do we have to pay this back if it was their mistake? Also, the car in question was held by the executor of the estate and they had sold the car a year ago and not paid the loan back obviously so where did the proceeds go? Would it then be their responsibility to pay this loan back?
Any help would be appreciated.
Thanks.

Who is "they?"

 

[Dandy Don]

How much is each beneficiary being asked to pay back?

Explain to the insurance company that the executor sold the car and give them the contact information (address and phone number) for the executor. However, if the beneficiaries received proceeds from the estate, they need to go ahead and make repayment or expect to be sued in court for the amount.