An attorney-in-fact has broad powers under a POA unless the principal limits the powers by granting only specific powers. You need to review the POA document to determine what powers were granted. If no specific powers were recited then you must check the statutory powers granted to an attorney-in-fact under a POA in your state. POAs are governed by state law.
It depends. Power's of Attorney can be limited or unlimited. They can be for a specific purpose like when you trade in a car you normally sign a limited power of attorney giving the car dealer the right to pay off any loan you have on your prior vehicle and to sign the title on your behalf once they receive it back. This prevents you from having to come back a couple of times and sign more documents for them to handle your old car.
On the other hand, an unlimited power of attorney gives a person complete control over all of a person's affairs which would include changing the beneficiary on a life insurance policy. If the person who has power of attorney does not perform their duties with integrity and for the benefit of the person who gave them the power of attorney they can be held responsible in court. In other words they couldn't sign everything over to themselves and run off with the estate.
No. Not unless that power was granted in the Power of Attorney document. You should request the attorney-in-fact provide proof of that power. If possible you should consult with an attorney who can review the situation and determine what your options are and what your financial responsibilities will be after that person has died.
A Power of Attorney grants sweeping powers and there is no simple answer to your question. You should review your POA with an attorney in your area.
First, state laws control what an attorney in fact may do. In some states there are many powers that are not automatically given unless specified. The power to change beneficiaries is one of those. Even in states that allow an AIF to make a change in the beneficiary designation the legal repercussions could be serious if done in a manner inconsistent with the principal's instructions or intent. The AIF would be vulnerable to claims of undue influence or self dealing by the former named beneficiary if the change was inconsistent with the principal's intentions. Around 29 states have adopted the Uniform Power of Attorney Act which remains silent as to specific powers. (See link.)
Another problem may occur with the filing of the change of beneficiary since many insurance companies require that the POA document have specific wording authorizing the AIF to make changes in beneficiaries. Other companies allow change of beneficiary designations by POAs routinely.
Because of the very nature of the broad powers granted to an AIF under a POA and the ease by which they can be used for exploitation of the elderly, states are updating their laws to provide more protection for principals. A good example is New York where changes were made in 2009. Note that changing beneficiary designations was specifically targeted:
Those changes include:
See related link below for an example of a POA form for California wherein specific powers can be given or excluded. Note also the warnings to the parties.
Depends on how much authority is given in the power of attorney.
No. An attorney-in-fact cannot make changes to a will or write a will.
No. A Power of Attorney expires upon the death of the principal and the attorney-in-fact no longer has any authority.
No only the owner of the policy can change the beneficiary.
only if there is no beneficiary named on the policy, or if the beneficiary(ies) deceased before the insured.
Life Insurance and EstatesNO, not if the named beneficiary is not deceased. The proceeds of a life insurance policy belong to the named beneficiary not to the deceased. It should not under any circumstances be included in the estate of a deceased or the probate process. If no beneficiary is named or if all beneficiaries are deceased then their is no alternative. When their is no named beneficiary then the value of the life insurance policy reverts to the insured and must then be included as part of the deceased estate
Generally, if the beneficiary is deceased, the proceeds go to the contingent beneficiary, or if none, to the estate of the insured. An attorney must be consulted to direct you on how to handle this in your state. It depends on whether the beneficiary predeceased the insured. If the beneficiary died before the insured then the proceeds go the the contingent beneficiary. If there is not a contingent, check the contract, it probably is paid to the Owner of the Estate of the Insured. If the Beneficiary died after the Insured, the proceeds go to the Beneficiary's Estate. It is important to have a contingent beneficiary specified in your life insurance policy. This way, if the beneficiary passes away, the contingent beneficiary will benefit. If there is no contingent beneficiary, and the beneficiary has deceased, the proceeds of the life insurance policy, go to the estate and is distributed according to the Will.
In order to ensure that a wife collects her deceased husband's insurance policy, it is beneficial to transfer the beneficiary of the policy while the husband is still alive. If the beneficiary of the policy is also deceased, it would be wise to seek legal help.
The policy proceeds will become part of the decedent's estate.
If an insured has a policy where there is no named beneficiary, or the named beneficiary is deceased, then the benefit will be paid to the insured's estate.
If the insurance policy owner did not specify a beneficiary or the beneficiary is deceased, then the life insurance proceeds go to the insured's estate.
A 'deceased beneficiary' is the beneficiary of a life insurance policy or a 'payable on death' bank account who predeceased the insured or the account owner. A 'deceased beneficiary' could also be a beneficiary named in a will who predeceased the testator or who died during the probate of the estate.
The owner of the policy can change the beneficiary of the policy. If the original beneficiary has died before the insured, the owner of the policy can designate a new beneficiary at any time.
This all depends on who took out the life insurance policy and who was named as the primary beneficiary at the time. The primary beneficiary is named within the policy document. The primary beneficiary may or may not be the father and/or mother. If the primary beneficiary is deceased, then check the policy for a named contingent beneficiary. If there are no named beneficiaries living, then the policy proceeds become part of the policy holder's estate. Please consult with a qualified attorney, to determine guardianship of the child's estate. Ask the insurance agent and a lawyer for a free consult to be sure.
The life insurance benefit will be paid to the deceased's estate.
In case of death of the policy holder, with beneficiary already deceased and there is no will, the Insurance Company will pay only to the Legal Heir of the Policy Holder. The death claim will be kept in abeyance till the legal heir proves his legal identity to the satisfaction of the Insurance Company.