A person who obtains life insurance generally can name anyone as beneficiary, regardless of whether that beneficiary has an insurable interest in the life of the insured.

Question

Quizplus · Accepted Answer

A person can name anyone as beneficiary regardless of their relationship to the insured or whether they have an insurable interest in the insured's life. However, some state laws do limit the ability to name certain beneficiaries, such as a former spouse after divorce.

A Person Who Obtains Life Insurance Generally Can Name Anyone