Life is one of those things that is filled with transitions, and since we can’t predict the future, we often have to make decisions based on the information available at the time. When you first obtain life insurance, you might have a clear idea of who you want to name as the beneficiaries, but things change and now you might be wondering what your options might be.
Since you can change a beneficiary at any time, here are some ideas of the people and entities that you can list:
- Spouse (can be changed if you marry or divorce)
- Adult children
- Other family members
- Business (often the case to protect other partners, for example)
- Charity of your choice
- Trust (to provide for a minor child or to avoid a large sum received all at once)
- Other qualifying organizations
The other thing to understand about naming beneficiaries is that you can name more than one primary beneficiary, as well as contingent ones. The purpose for choosing contingent beneficiaries is for the funds to go to them should the primary be deceased or refuse the benefit. A final point regarding naming life insurance beneficiaries is that in some situations, you will need to get permission from your spouse if you want to name someone other than them.
If you have other questions about life insurance, need a review of your current policy, or are interested in obtaining a life insurance policy, reach out to us at Elite Benefits Group. We are happy to help, including going over the difference between variable life, universal life, and whole life insurance policies.