Can You Be the Beneficiary on Your Ex‑Husband's Life Insurance?

You can be the beneficiary on your ex‑husband's life insurance only if he has named you in the policy and has not changed the designation after the divorce. The policy's ownership and beneficiary clauses determine who receives the death benefit, and divorce alone does not automatically revoke your status.

How Divorce Affects Life‑Insurance Beneficiaries

Most states treat life‑insurance beneficiaries as a separate contract from marital property. Unless a court order specifically requires a change, the policy remains in force with the original beneficiary designation. However, many divorce settlements include a clause that mandates updating the beneficiary to reflect the new marital status.

When You Remain the Beneficiary

If your ex‑husband has not filed a change of beneficiary form, you will continue to receive the payout upon his death. This can be advantageous if you rely on the benefit for financial security, but it may also create complications if the policy was intended to support children or a new spouse.

How to Change the Beneficiary

To remove yourself or to add a new beneficiary, your ex‑husband must contact the insurance company, provide a signed change‑of‑beneficiary form, and possibly submit a copy of the divorce decree if the insurer requires proof of the court order. Some insurers allow online updates, while others require mailed documentation.

Legal Considerations

Even if a divorce decree states the beneficiary must be changed, the insurance company is not legally bound to enforce it unless presented with a court order. Conversely, if the policy is part of a marital settlement, failing to update the beneficiary could be viewed as non‑compliance with the divorce agreement.

Potential Tax Implications

Life‑insurance proceeds are generally income‑tax‑free for the beneficiary. However, if the policy's ownership changes (for example, if the ex‑husband transfers ownership to you), the policy may become subject to estate tax considerations depending on the amount and the overall estate size.

Steps to Take

• Review the divorce decree for any beneficiary clauses.
• Ask your ex‑husband to confirm the current beneficiary designation.
• If you wish to remain the beneficiary, obtain a written statement confirming his intent.
• If you need to be removed, request a copy of the updated policy showing the new beneficiary.