The fact that a partnership is terminated after a life insurance policy is obtained by one partner on another invalidates the policy.

Question

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Obtaining a life insurance policy by one partner on another does not automatically become invalid if the partnership is terminated, but it may affect the beneficiary designation if the former partner is still listed as the primary beneficiary. It is recommended to update the beneficiary designation after a partnership or marriage is terminated.

The Fact That a Partnership Is Terminated After a Life