How To Choose A Life Insurance Beneficiary
June 9, 2020 by Ed Leefeldt
You’re filling out the form to purchase a life insurance policy and you reach the question over which many people agonize: Who do I designate as my beneficiary? That is, the person or persons, organization, or even pet that will receive the payout from this policy when I die?
Think of it as one of the notable times in your life when you—and only you—get to decide what is the right choice. After all, this is a personal decision and you can do as you please, instead of having to please someone else.
That’s because life insurance is a legal contract that can seldom be challenged, except under very special circumstances, and is even less likely to be overturned in court than a will. You may offend someone—or several people—with your choice of beneficiary, but what can they do about it? Truth is, unless you tell them ahead of time, they probably won’t find out they’re not your life insurance beneficiaries until after you’re dead.