Can a parent of a minor child be able to collect on an insurance policy of the other deceased parent? My child was less than a month old when he passed. Does his children has to be a certain age before they can recieve it? Also, will any remaining 401k savings go to his surviving children since he was never was married.
2007-07-09 18:09:31 · 4 answers · asked by LIBRA34 2 in Business & Finance ➔ Insurance
What TYPE of insurance policy, life? A life insurance policy is ONLY going to pay the named beneficiary. If the child was the named beneficiary, then the money would typically go to the child, to be used by the guardian. Any age restrictions or trusts, would depend on how the policy was written.
401K procedes would be distributed to the named beneficiary - yes, you name a beneficiary when you have a 401K, also. If for some bizarre reason he didn't, then it would be distributed either according to a will, if he had one, or a probate judge.
As a parent of a minor with a deceased parent, be SURE you file under social security for survivor benefits for your child. Yes, if he had paid into SS, and was eligible, your CHILD is eligible for minor benefits, until they reach 18.
2007-07-10 01:58:27 · answer #1 · answered by Anonymous 7 · 1⤊ 0⤋
Minor children cannot be direct beneficiaries of the death benefits of a life insurance policy. In such cases, the insurance company may withhold payment until a trust is set up for the child, or some other legal accommodation takes place first. Same thing for the retirement funds.
Was there a will? If the person died intestate (without a will), this could take a while to work its way through probate and the courts. Legal fees to get this all straightened out will no doubt greatly reduce the net amount of money that eventually goes to the child(ren).
2007-07-10 01:30:29 · answer #2 · answered by SafetyDancer 5 · 0⤊ 1⤋
Children of an unmarried person who dies can receive insurance money and 401(k) IF the person named their estate as the beneficiary. Otherwise, they will pass to whomever that person named as the beneficiary.
Insurance policies and retirement plans pass by operation of law alone and not by probate, unless the estate was named beneficiary.
In my experience, unmarried people usually name their parents as the beneficiary, although it could be an old girlfriend too. Since the child was so young, I can almost guarantee they were not named the beneficiary. It takes time for the forms even to make it to you. I have know a lot of people who have gone decades without renaming the beneficiaries.
My very strong suspicion is that the child is not entitled to anything except possibly social security benefits, but I do not think he lived long enough for the child to qualify for that either.
2007-07-12 22:54:33 · answer #3 · answered by OPM 7 · 0⤊ 0⤋
Depends on who the beneficiary is, contact the insurance co.
Same on the 401-k.......and,.... a will, if there was one, may come into play, if not one then a probate court may decide......?
2007-07-10 01:20:23 · answer #4 · answered by kerdog 2 · 0⤊ 1⤋