Gener4ally if a minor is involved it is best to have life insureds proceeds held in a trust until the child's 18th birthday. There may be exceptions to this depending on the circumstances. I generally do not recommend making a minor the beneficiarry of a policy because of the complications involved.
President, Lane Independent Agency, Southern California
Yes, but only through an appointed guardian. So if you have a minor child you wish as your beneficiary, you should make sure that your policy lists the name of the person you wish to hold and use the money for the benefit of the minor. This is typically also done through a living trust. Thank you. GARY LANE.
Yes a minor child can be a life insurance proceeds beneficiary. If you plan to make the minor child the primary beneficiary, you should take these steps as well. You should have a will in place to name a trust or legal guardian to hold and disperse the funds until the child turns 18 years old. Otherwise a probate judge will decide the child's guardianship. That court appointed guardian will disperse the funds.
Co-Founder, TermInsuranceBrokers.com, Goldenzweig Financial Group, Las Vegas, Nevada
Yes, a person under 18 can be the beneficiary of a life insurance policy. You should have provisions set up in your will to designate a guardian/trust to control the funds until he/she is old enough to claim them, otherwise a judge will decide who will be given guardianship. A life insurance trust can be very useful in this instance if you want to control how and when the proceeds are paid out.
Many times, a parent may want their child's access to the monies be given in installments (e.g. giving a quarter of it to them when they turn 18, a quarter when they turn 21, a quarter when they turn 25, and a quarter when they turn 30) to make sure that the monies last and are not spend unwisely.
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Many times, a parent may want their child's access to the monies be given in installments (e.g. giving a quarter of it to them when they turn 18, a quarter when they turn 21, a quarter when they turn 25, and a quarter when they turn 30) to make sure that the monies last and are not spend unwisely.