Diabetic Neuropathy

[DonP]

RNA cannot stop a beneficiary change after issue. They might try? They did one time when I was changing it. But I reminded them that they cannot legally stop the owner of a policy from exercising their legal rights. Not just RNA, any company. The law is on the owner's side after issue.

RNA has a lot of stupid rules that won't stand up to a legal challenge.

I was about to say 4 months ago I wrote a woman up with rna and she had no family . I put friend and they took it . If Rna denied claim what beneficiary is sueing for $10-$15 k ? Lawyer takes 40%.Trans was great at taking friends . But truthfully I never had a claim in contestable period with friend as Bene . There’s a case I saw recently were an ins company is trying to rescind a big policy 9 yrs old . They sued to rescind under the “ wagering statute “ . What that means it’s illegal to make a profit on the death of someone with no insurable interest . I highly doubt they’ll win . Technically after issue I can leave my proceeds to anyone I want . Especially after the Contestable period . Even if the insured is killed by the beneficiary the money is still paid out to the estate . Somebody or the state will get the proceeds .

 

[jdeasy]

I was about to say 4 months ago I wrote a woman up with rna and she had no family . I put friend and they took it . If Rna denied claim what beneficiary is sueing for $10-$15 k ? Lawyer takes 40%.Trans was great at taking friends . But truthfully I never had a claim in contestable period with friend as Bene . There’s a case I saw recently were an ins company is trying to rescind a big policy 9 yrs old . They sued to rescind under the “ wagering statute “ . What that means it’s illegal to make a profit on the death of someone with no insurable interest . I highly doubt they’ll win . Technically after issue I can leave my proceeds to anyone I want . Especially after the Contestable period . Even if the insured is killed by the beneficiary the money is still paid out to the estate . Somebody or the state will get the proceeds .

RNA always would make an exception to their rules with an explanation. Or they always did for me.

But I had one about a year into it that wanted to transfer ownership and beneficiary to his mother in law.

They tried to stop. But they couldn’t.

Stupid rules coupled with rate increases and it’s easy to see why RNA is not in the FE business anymore.

 

[damadcrapper]

Is it possible to use a collateral assignment?

 

[PrivClientSG]

Can't speak to the medical aspects of this. The beneficiary has an insurable interest. I am perplexed that a life insurance company would not accept a beneficiary who has an insurable interest. I would attach a copy of the note, and I would have also done this in conjunction with a collateral assignment form. Good luck!

 

[Allen Trent]

Maybe consider making the beneficiary the estate and advising she put in his living will or will that this policy would go to pay off the loan ?

Bad idea. Naming the Estate means "send the money to Probate". Even if he has a will & the will directs money to the loan, it doesn't guarantee it will go there. Creditors, probate fees, lawyer costs are 1st in line in Probate before any left over assets can go to where a will directs them. So, creditors like a final hospital bill, a nursing home bill, credit card debt or car loans would get paid before a will beneficiary would.

Better to put a collateral assignment on the policy. This way, the person holding the loan gets paid off & any insurance over the loan amount flows to the real beneficiaries that the person puts on the policy