by Guest » Tue Aug 30, 2011 11:00 pm
My brother had my mother sign a benificary change form and checked the irrevocable box prior to mailing it. Seven moths later he threw her out of the house she shared with him (mom's money paid the bills). She was 86 years old and walked with a walker when this occured. She was discovered on the side of the road and 911 was called. My sister and I are taking care of her since then. The life insurance change was discovered when I took the policy which listed me as benificiary to the funeral home to pre pay for her final expenses. The insurance company is giving us a hard time about making the change to the funeral home. My brother will not sign off on it as he wants to collect the $7,000.00 for his own use. Can anything be done about this?
Posted: Wed Aug 31, 2011 06:41 am Post Subject:
It is indeed very sad to know what children can to do to their parents for money. If your brother is an irrevocable beneficiary to your mother’s policy, it’s only natural that the insurer would pay the benefits to your bother, no matter what a jerk he is. You might seek the help of a lawyer to try to get at least the money which was supposed to cover your mother’s last rights.
Posted: Wed Aug 31, 2011 10:46 am Post Subject:
Well, you are in a tight situation.
The term ‘irrevocable beneficiary’ is used in policies, so that the name of beneficiary cannot be changed without the consent of the beneficiary himself. That is, if you were an irrevocable beneficiary in the first place, then your brother couldn’t have made your mother change the beneficiary without your knowledge.
Now that he is the irrevocable beneficiary, you can’t alter that fact.
However, you may locate and contact that particular agent who had sold the policy to your mother. As he would have all the details regarding the policy, it might be of some help.
Also get to know if your mother had named the benefits to any trust (Revocable/Irrevocable) or not. As with regard to life insurance policies, sometimes testamentary trust is created under a will, which becomes active after the insured’s death.
If your mother did mention anything regarding the benefits in her will, (if she had any) then you may challenge your brother’s claim legally.
Posted: Wed Aug 31, 2011 05:09 pm Post Subject:
Now that he is the irrevocable beneficiary, you can’t alter that fact. However, you may locate and contact that particular agent who had sold the policy to your mother. As he would have all the details regarding the policy, it might be of some help.
More useless information from "Mona Wayne". It is highly unlikely that the agent was involved in a beneficiary change. Even if he was, it makes no difference at this point. Unless the irrevocable beneficiary consents, he is going to receive the $7000.
If your mother did mention anything regarding the benefits in her will, (if she had any) then you may challenge your brother’s claim legally.
If "Mother" mentioned anything in her will about life insurance proceeds, it's utterly useless. Life insurance proceeds named to a beneficiary are non-probatable.
An attorney would cost at least twice as much as the $7000 in dispute, and its a losing case to begin with.
sometimes testamentary trust is created under a will, which becomes active after the insured’s death.
While this can be true, it has nothing to do with life insurance proceeds. Unless named to a beneficiary (which cannot be true of a testamentary trust, since it does not yet exist), life insurance proceeds end up in the estate and are subject first to the claims of creditors. Personal property transfers at death is the most common use of a testamentary trust. The trust dispenses the property to the beneficiaries according to the trust document.
Please disregard what Mona Wayne has written. He/She does not understand the business of insurance or insurance law or probate law.
Posted: Thu Sep 01, 2011 05:09 am Post Subject:
Hi MaxHerr,
thank you for your valuable information being an insurance expert.
No useless information was intended from my side as I am not an expert, so have no hard feelings for me.
Even I knew that liz08345's is a lost case, but still wanted her to find out if something is possible.
Posted: Thu Sep 01, 2011 04:21 pm Post Subject:
OK! No harm done. But please avoid posting information that can cause a person to spend money needlessly -- such as going to an attorney. While most would tell a person they have no case, there are attorneys who will string a client along for months with false hope and a ticking "fee meter". Only the client loses in the process.
Posted: Sat Sep 03, 2011 06:00 pm Post Subject: irrevocable benificiary on life insurance
To clarify, my mother is still alive and wishes to change the benificiary to the funeral home. She continues to make payments on this policy. She is 86 years old and it would be difficult to obtain another policy.
Posted: Sun Sep 04, 2011 09:04 am Post Subject:
Without the irrevocable beneficiary's consent, it cannot be changed. You can try talking to the insurance company about overturning a fraudulent change of beneficiary, but that is a remote possibility.
Posted: Sun Sep 04, 2011 11:29 pm Post Subject:
Unless an attorney can help you, or you can get your brother to agree, you are out of luck.
Posted: Fri Oct 14, 2011 10:57 am Post Subject: checking irrevocable box after the owner signs the policy?
We are having a problem changing our Moms beneficary. A family member had her sign a form and then we think he checked a box, just a box, to make him the irrevocable beneficiary. We just want the ins to go to the funeral home. The Ins Co. is not helping, they have many excuses why, and I mean many. He littery kicked her out and local PD were called. She has sent many letters to change it. We are at a loss, we just want the money to go to the funeral home to make final arrangements. The Ins Co has not ask to speak face to face with her or us. They will not forward us to the Fraud Dept. or Legal Dept. We are POA of Mom. We were told by the Ins Co. he was her POA, we don't know how or if the POA he has is valid. Can we be added on as a beneficiary and contest at death?
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