Jessica designates her $300,000 life insurance policy beneficiaries as her 3 sons - Ben, Jeff, and Chris. Ben has two children of his own, Jeff has three children and Chris has one child. Jeff and Chris are in a car wreck that kills Jeff instantly. Because Jessica has a per capita designation on her life insurance policy, when she dies the policy will be divided how?

Question

Quizplus · Accepted Answer

The per capita designation on Jessica's life insurance policy will divide the payments between Ben and Chris. Per capita means that Jeff's wife and children are no longer included in the payments of Jessica's life insurance policy. Unlike per stirpes, per capita simply removes the deceased individual from the receiving beneficiary group and divides that individual's portion equally.

Jessica Designates Her $300,000 Life Insurance Policy Beneficiaries as Her