Can a person name their ex-wife child as a beneficiary

by almaeasley » Mon Jul 16, 2012 01:33 am

My cousin lived and died in the state of Texas. He had one sister. His mother passed a few months ago and the beneficiary was changed. He made his ex-wife's daughter his beneficiary. He did not adopt her and on the policy, he had her down as his daughter. His only living relatives is his sister and her family. Is this legal?

Total Comments: 4

Posted: Tue Jul 17, 2012 06:41 am Post Subject:

A person, even in the State of Texas, may name anyone or anything as the beneficiary of their life insurance policy. It does not have to be a family member or other relative.

Posted: Tue Jul 17, 2012 07:35 pm Post Subject:

yes, he can. a person can name whoever they want and as many people to be the beneficiary.

[Links removed per TOU]

Posted: Tue Jul 17, 2012 11:11 pm Post Subject:

True, you can name a minor to be the beneficiary of a life policy, but remember- a minor cannot be paid life insurance death benefits.

So, if you name a minor as your beneficiary, you better take steps to state how the money is to be disbursed if the minor is "still a minor" at the time of the insured's death.

Trusts are excellent options here...just make sure it's done properly.

InsTeacher 8)

Posted: Wed Jul 18, 2012 03:32 am Post Subject:

And DO NOT MAKE THE MISTAKE of naming an adult as the beneficiary (instead of the child) because you hav e an agreement that the adult will use the money for the benefit of the child.

Once the money is in the hands of the named beneficiary, it is their money and they may do with it as they please, notwithstanding some other agreement that will not hold water in civil court.

Creating a trust as the beneficiary in advance is ideal, but it could also be done as a "testamentary" thing at the time of death. The biggest concern when setting up a trust is naming the trustee. That person/bank/corporation might not perform the way the insured expected, and it can create problems for the beneficiary of the trust/life insurance proceeds.

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