Life insurance
Life insurance beneficiary mistakes that cause real problems
Most beneficiary problems come from out-of-date forms, naming a minor child, or leaving no backup. Each can delay the payout or send it to the wrong person.
The common ones
- An ex-spouse still listed after a divorce.
- A minor child named directly, which can require a court-appointed manager.
- No contingent beneficiary, so the money goes to your estate if the first one dies before you.
- The estate as beneficiary, which can slow the payout and expose it to creditors.
- Vague descriptions, like 'my children,' instead of names and details.
What to do
Look at the beneficiary form on every policy, including ones through work, and update them after any marriage, divorce, birth or death. Keep a copy.
Have this ready when you call
- Your policy numbers
- Your current beneficiary forms
- Names and birthdates of the people you want to name
Common questions
Does my will override the beneficiary form?
No. The named beneficiary on the policy generally receives the money regardless of the will.
Can I change a beneficiary any time?
Usually yes, unless the designation is irrevocable. Check your policy.
Related answers
Rather talk it through?
Call 855-367-1095 and a licensed agent will go through your situation with you. There is no charge to ask, and no obligation to enroll.
- Licensed insurance help
- No guaranteed eligibility, pricing, or availability
- Educational starting point
Information on this site is educational and does not guarantee eligibility, enrollment, pricing, or availability. It is not a recommendation to buy any specific plan or policy.