The policyholder can
change the beneficiaries at their policy, anytime, and without the consent of
the existing beneficiaries unless, of course, that the listed beneficiary
remains irrevocable. On the side of the
beneficiaries, there may be instances that they will not be aware of the policy
changes. They may not know that they
will no longer be receiving proceeds and death benefits after the death of the
insured. Life insurance beneficiary change can happen days after the demise
of the insured.
Is the Last-Minute Life Insurance
Beneficiary Change Valid?
The validity of
the last-minute life insurance beneficiary change can
be contested. The alteration in the
beneficiary can count if the insured owner completely understands the changes
they are signing and the repercussions that can happen should they make the
changes. The policyholder should possess
a sound mind and should not be in any type of influence, threat, and pressure
to make it valid.
Every insurance company has different policies and rules regarding the life insurance beneficiary change.
Generally, they should require you to make a change in the presence of
the witnesses. It should also comply
with the rules, and the changes need to arrive at the company before the death
of the insured to make it in full effect.
How to Contest Life Insurance
Beneficiary Change
If there has been
a life insurance beneficiary change, the original beneficiary of the life
insurance may not be fully aware of the change.
Both the new and the previous beneficiaries can file for a claim. In this case, the insurance company will
analyze the changes made and ensure that the entire provision has been
met. If the change is valid, the
proceeds and benefits will go to the new beneficiary.
The previous
beneficiary may contest the change
by providing evidence of fraud. In case
the owner of the policy made the change under duress, undue influence, and lack
of capacity to understand, it can be considered a frivolous life insurance beneficiary change. In the case of the contested beneficiary, it
is highly likely to be an interpleader.
Why Do You Need to Hire a Life
Insurance lawyer?
It is quite a
complex process, and you will possibly require the help of a life insurance
lawyer with expertise on frivolous life
insurance beneficiary change. If you
are hoping to receive benefits and find out that there has been a last-minute
change, you need to ensure that help will always be there.
They Can Apply the State and Federal
Laws
When analyzing the
dispute, the life insurance lawyer will first determine if the Federal or state
law applies. This process could be complicated; generally, state laws are valid
unless the insured has obtained their policy through their employer. Should the
insured receive the policy as a part of their employment, it will most likely
be governed under Federal law. People who lack knowledge of this will find the
process intricate. Still, with the help of the lawyer, you have powerful
support to deal with a frivolous life insurance beneficiary change.
They Can Help You Reach a Favorable
Settlement
Your lawyer will
ensure that your rights are protected and that your ultimate interest is upheld.
They will successfully contest the life insurance beneficiary change and choose
a favorable settlement for you in most instances. Without their help, the
complex matters surrounding life insurance can easily overwhelm you, and you
may end up with nothing. They can also educate you about your rights and the best
possible legal actions.
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