What happens when a beneficiary has an insurable interest when the life insurance policy is obtained but later on, that insurable interest no longer exists? That question is answered in an 1894, opinion from the Texas Supreme Court styled, Cheeves v. Anders. Anders was the Administrator of the Estate of…
When an employer takes out life insurance on an employee and names itself (the employer) as the beneficiary, it there an insurable interest. Each case needs to be looked at on its on merits. A 1998, Tyler Court of Appeals is good case to read. It is styled, Stillwagoner v.…
Here is an interesting case from the 14th Court of Appeals. It is a 1998, opinion styled, Tamez v. Certain Underwriters at Lloyd’s. Two employees of a Stop-n-Go (NCS) store were killed while on duty. NCS, as the employer had life insurance policies on the employees and made a claim…
Life Insurance Lawyers can inform their clients that a creditor can have an insurable interest in a life insurance policy. There is a caveat. A creditor may designate itself the beneficiary of a policy purchased by it on the life of its debtor, but its insurable interest is limited to…
Life insurance lawyers will see fights over who is entitled to life insurance proceeds. One of the fights is over whether or not the named beneficiary had an insurable interest in the life of the insured. The main case cited for dealing with this issue is a 1942, Texas Supreme…
Not just anybody can be a beneficiary to a particular life insurance policy. The person must have an insurable interest. A 1894, Texas Supreme Court case styled, Cheeves v. Anders, makes clear that it is well settled that a life insurance beneficiary must have an insurable interest in the insured’s…
Employee Retirement Income Security Act (ERISA) cases are difficult at best. But finally, here is a win in the courts. The 5th Circuit issued a ruling on June 13, 2018, in favor of a claimant. The case is styled, Ester Hill White v. Life Insurance Company of North America. Among…
Married persons naming their spouse as a beneficiary in a life insurance policy is common and maybe even the most often seen beneficiary under a life insurance policy. However, Texas law makes clear that a spouse can designate his or her estate as the beneficiary of the policy, at the…
Are spouses entitled to life insurance benefits? That is a normal question in a lot of life insurance cases. Here is some law in that regard. One spouse can designate his or her estate as the beneficiary of the policy, at the expense of the other spouse, absent any showing…
Who is entitled to life insurance benefits is not always an easy answer. The designated beneficiary of a life insurance policy generally is entitled to the proceeds upon the death of the insured. Absent an adverse claim, the insurer may pay the benefits to the designated beneficiary. This is not…