what are rights of insured vs owner of whole life

[superagt]

What is the name of your state? Virginia

 

[HomeGuru]

What is the name of your state?

**A: that's nice and I hope you live to be 100.

 

[superagt]

owner vs insured status

Forgive me but this is my first post and I'm not sure if I'm doing it right but here goes. I live in Virginia. My question is that my employer has a key man life insurance policy on me - he is the owner and beneficiary. As I am approaching 65, the policy can be converted to whole life. He has told me that he would pay half of the premium as long as I am working and I can change the beneficiary to whomever I choose. If he remains the owner (I assume he could transfer ownership to me if he wishes) would I be able to either surrender it sometime down the road if I needed to or make a loan against the cash value? I'm wondering if he could just surrender it or cash it in if he wants later. I'm just trying to figure out if I should even bother with it unless he is willing to convey ownership to me. It would be nice to have the insurance for my son but I know he would not want me to have the burden of paying this premium after retirement on a limited income.

 

[somarco]

The owner retains all rights to the policy, including the right to assign benefits, change ownership of the policy, make loans against the policy, change the beneficiary . . .

Until you have control (ownership) of the policy, your employer is in complete control.

If you are unable to get the results you need, and want a policy for your heirs, you will need to purchase one independent of your employer.

 

[superagt]

ownership rights

Thanks for your advice. This is pretty much what I thought too but wanted
confirmation.