Question
In: Finance
Brad made his wife, Jennifer, an irrevocable beneficiary for his life insurance policy. After their divorce,...
Brad made his wife, Jennifer, an irrevocable beneficiary for his life insurance policy. After their divorce, Brad wants to make his new wife, Angelina, his beneficiary. What is the best way to do this?
- A. Simply tell the insurance company he is exercising his power as owner of the policy to change the beneficiary.
- B. If he can obtain Jennifer's consent, then he can change the beneficiary.
- C. He has to get a brand new policy since Jennifer is the irrevocable beneficiary.
- D. None of these are correct.
Solutions
Expert Solution
B. If he can obtain Jennifer's consent, then he can change the beneficiary.
For an irrevocable beneficiary life insurance policy, The beneficiary can only be changed if the beneficiary(in the original irrevocable contract) agrees to it.
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