How Will Oklahoma Divorce Affect My Life Insurance?Putnam Law Office
With all the changes that can happen after an Oklahoma divorce, many people forget about how their life insurance policies might also be impacted by the separation. A divorce may take away certain life insurance benefits from you or your spouse depending on the specific circumstances. Being prepared for this can be important if you are up in age and in need of life insurance benefits. Be sure to talk to an Oklahoma Family Lawyer to find out more.
Effects of Oklahoma Divorce on Life Insurance
Oklahoma divorce and life insurance can have a complicated legal relationship depending on the unique circumstances of your situation. Life insurance is important for you to have the financial assets necessary for your family after you pass away and some life insurance plans come with large cash benefits that can greatly help your family in the long run. However, if a divorce takes away these benefits, you could face financial challenges.
Family courts are sometimes split on decisions like this because of the idea that many spouses do not desire to help their former spouses after the divorce, but in rare cases, the opposite is true. When the spouse with life insurance does not remove their soon-to-be former spouse as a beneficiary in their life insurance plan, then the court will go by the default rule. The default rule means courts will likely assume the insured spouse does not want the other spouse to receive their life insurance benefits as a beneficiary after the divorce.
Some states automatically revoke beneficiary rights to life insurance after a divorce, while others leave this up to the spouses and the court. In the end, the decision is yours, but make sure you take care of this yourself if you have a specific wish for your life insurance. The best thing to do is to take care of this during the Oklahoma divorce trial or divorce process.
How Will My Spouse’s Oklahoma Life Insurance Be Affected?
Your former spouse’s Oklahoma life insurance may be removed or kept depending on your preferences. As long as you were the one who purchased the life insurance, you are considered the insured. The insured spouse can make decisions on who they want the beneficiaries of this insurance plan to be. Beneficiaries are family members you want to receive monetary benefits after you pass away.
You have the option to give your former spouse a portion of your life insurance benefits or all of your life insurance benefits after the divorce. To do this, all you have to do is fill out some legal forms. Feel free to talk to a lawyer if you have questions, but remember, this decision concerning life insurance is often final and cannot be undone.
Divorce Lawyer in Oklahoma
Consider seeking guidance from an Oklahoma Divorce Attorney if you have any questions or concerns about your life insurance benefits during the divorce process. You can call the Putnam Law Office today at (405)-849-9149 for a consultation. Mr. Putnam is an Oklahoma City, OK attorney who is dedicated to his clients.