Andy is the insured, his wife Melissa is the primary beneficiary, and Andy's children from a previous marriage are his contingent beneficiaries. Melissa also has a policy naming Andy as the primary and their daughter as the contingent. If Andy and Melissa are killed in a plane wreck, but evidence shows that Melissa died after Andy, who receives the payments from the insurance policies?

Question

Quizplus · Accepted Answer

If evidence shows that Melissa outlived Andy for any length of time, the chain would be Melissa receiving payments from Andy's policy, and then their daughter receiving payments from Melissa's policy which would include the payments from Andy's policy. Although Andy has contingent beneficiaries, Melissa outliving him for any time establishes her place in the payments chain, and then enacts her policy upon her death.

Andy Is the Insured, His Wife Melissa Is the Primary