10th
July
2008
Removing ex-spouse as policy beneficiary
When a person obtains a life insurance policy & names his/her spouse as a beneficiary under the policy, by virtue of Section 73 of the Conveyancing Law & Property Act (CLPA), a statutory trust is created in favor of the named spouse.
When such a trust is created, it CANNOT be revoked or extinguished, EVEN IF you make a will. Therefore, writing a will to change the beneficiary would be ineffective.
What are you to do then if you are going through a divorce?
posted in Wills & Estate Planning | 0 Comments