Is my life insurance policy subject to seizure in the event of bankruptcy?
Hello,
If you're referring to the accumulated value in a whole life insurance policy, it depends on the beneficiary. If it's an ascendant, descendant, or legal spouse, then no.
If you're referring to the death benefit, it goes directly to your designated beneficiary, if you have one. Otherwise, it becomes part of your estate and is subject to the rights of creditors.
Your insurance agent will be able to advise you appropriately.
If you're referring to the accumulated value in a whole life insurance policy, it depends on the beneficiary. If it's an ascendant, descendant, or legal spouse, then no.
If you're referring to the death benefit, it goes directly to your designated beneficiary, if you have one. Otherwise, it becomes part of your estate and is subject to the rights of creditors.
Your insurance agent will be able to advise you appropriately.
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