When a life insurance policy has both a beneficiary and a contingent beneficiary,these two persons will divide the proceeds of the policy equally after the death of the insured person.

Question

Quizplus · Accepted Answer

The contingent beneficiary only receives proceeds if the primary beneficiary dies before the insured person. If the primary beneficiary is alive at the time of the insured person's death, they receive the entirety of the policy proceeds.

When a Life Insurance Policy Has Both a Beneficiary and a Contingent