Life insurance clause in divorce decree /child custody order
I didn't have any thing like this in my decree, but I know it is not uncommon for decrees to have where one or both parents have to maintain a life insurance policy on themselves with ex as benificiary until the child turns 18. Granted I didn't even know DH when he divorced,but it still frustrates me to know that DH agreed to carry a $300,000 policy with BM as beneficiary without requesting BM do the same, even for a lessor amount. He didn't get a lawyer, but without questioning anything signed...BM screwed him coming and going in every area she could.
Anyway, this weekend I was checking his decree for the holiday schedule and came across something that really really erks me! It states that the child support is not to cease in the event of his death, but is to continue to be paid out of his estate including in other life insurance policies on him. I am all but certain this means that if DH were to die, BM gets $300,000 lump sum from the required policy, plus out of the life insurance in which I am the beneficiary, BM would receive the equivilent of the remaining child support(ie $1,200 x 12 months x 8yrs). As an added side note, his daughter herself is 50% beneificiary along side me on this other policy.
Anyone else with a life insurance clause, also have a clause that requires that child support continue from the estate of the deceased parent? I thought the purpose of a life insurance clause was to ensure the funds to care for the child did not cease with the death of the CS payor...not for the purpose of enriching the ex while the child is still being financially cared for by the widower of the deceased.
Have I interepreted this all wrong???
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My husband's divorce decree
My husband's divorce decree also states he is to carry a life insurance policy of $200,000 (he's in the military & when they got divorced 7 years ago thats how much of a policy they gave him) but it says the child is the beneficiary. He's not actually complying with this because I am the sole beneficiary on the policy now, which is now $450,000. Also it states c/s is to be paid until 18 or if enrolled in college until the age of 23. But since then the divorce decree has been modified where all c/s have been ceased. So if we ever get another order to pay it, I'm gonna make sure we don't agree to pay it after age 18! The amendment doesn't say anything about the life insurance, so I'm assuming he's still supposed to carry that, not sure. I guess I'll find out if he ever dies though! I have never heard though of a husband being required to hold a life insurance policy and the c/s not come out of that policy if he were to die, unless maybe the policy amount did not cover the remainding support she would've received. You can schedule a phone consultation with a family lawyer & see what they say it means
honey you need to get a lawyer
find a good one who deals in these messes and talk to him asap. when people divorce, they do some really messed up things with their wills and what nots. and then they go on, start a new life with someone great (like you) and have all this crappy baggage because of the stupid decisions they made long ago. I'm going through this same thing now fyi.
just give yourself some peace of mind and head out to see a good lawyer. They can straighten it out or at least give you an idea of where you legally stand. Supportive advice from us is great, but you'll sleep alot better at night knowing what your legal rights and obligations are.
let us know how you do
hugs
Life insurance does not
Life insurance does not usually fall under the authority of a Family Court.
I would look in to changing the beneficiary from the XW to a trust for the child until the child reaches a predetermined age when the trust transfers to the direct control of the child.
The terms of the trust can cover CS payments to the CP until the child reaches majority.
Our wills provide a $500K policy that goes to my spouse or I. If we have a joint demise our entire estate including life insurance pay outs goes in to trust for my SS until age 40 or graduation from an accredited Bachelor's Degree program whichever comes first. If we kick off before he reaches the terms for the trust to go directly to him the trustees are to cover reasonable support costs and living expenses, tuition, etc until SS reaches 40 or finishes his Bachelor's Degree.
If you assign the proceeds of the policy to a trust that will provide for the child then there should be no need to make the XW/XH the beneficiary.
This allows you to minimize the benefit of your estate to your XSpouse and provide for the kid(s) while retaining some level of influence and support for your kid(s) from beyond the grave. }:)
I know, kind of evil of me.
I am not a legal or estate professional but I am a licensed insurance professional. Insurance can be very frustrating to Judges because it is very difficult for a Judge to control the Ts&Cs of a policy. There is volumes of insurance law that specifically outlines what can an cannot be done with a policy and pay outs.
I am not an agent. In past professional life I worked as a Risk Manager/Claims Manager.
I would get an attorney to help you lay out the trust/insurance coverage requirements to stay compliant with the divorce/support order and include your insurance agent in the discussion.
Best regards,
life insurance left in divorce to brother and not other kids
My dad got divorced a few years ago. Him and his last wife adopted a baby who is now 16. I was told that when they divorced that she had it written in the decree that if my dad dies, my adopted brother gets half of his life insurance and if any of the rest of us four kids by blood ever tried to contest it, then we would get nothing. How is this even fair. Is this legal, can she really take half for him. He now lives with my dad as him and his mother weren't getting along.
i have been wondering this
i have been wondering this myself, that if my dh dies (or my ex) if the remaining cs that would exist until the child turns 18 would still be required until the child turns 18 out of the life insurance policy.
THANK GOD! my dh's decree says nothing about life insurance or anything about insurance out of the norm other than covering health, dental, and medical for the kids (most dad's do)
My God....If for once these
My God....If for once these men would READ the damn paperwork before signing. This isn't some album of the month club or some stupid owners manual for that circular saw, lmfao.
Seriously though, I really think that these x-beasts create so much drama and chaos that these men are damn near ready to sign off on anything just to get the witch out of their lives, once and for all. Unfortunately, they don't take in to account any subsequent relationships after the divorce so we are the recipients of some crafty lawyer and some psychotic ex wife. It sucks!