When it is unclear who the beneficiary of a life insurance policy is,the insurer uses the process of interpleader so the court can settle any dispute.

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This is true. When there is a dispute over who the beneficiary of a life insurance policy is, the insurer can use interpleader to deposit the policy proceeds with the court and allow the court to determine who the rightful beneficiary is. This protects the insurer from facing multiple claims or lawsuits from competing parties, and ensures that the policy proceeds are distributed according to the court's decision.

When It Is Unclear Who the Beneficiary of a Life