Naming a life insurance beneficiary is one of the most crucial steps you’ll take when purchasing a policy. It determines who receives the payout when you pass away, whether it be a spouse, child, or other loved one. Serving West Chester, PA, and the surrounding areas, Griffith Insurance LLP can help ensure that your financial legacy is protected according to your wishes.
How to Name a Beneficiary
When you first buy a life insurance policy, you’ll be asked to name one or more beneficiaries. You’ll need their full legal name, date of birth, and relationship to you. You can choose primary beneficiaries (the first in line to receive the benefit) and contingent beneficiaries (who receive it if the primary can’t).
You can name individuals, trusts, or even charitable organizations. It’s a good idea to be specific and avoid vague titles like "my children," as this can lead to confusion or legal disputes.
How to Change a Beneficiary
Life changes, and so might your beneficiaries. Significant events, such as divorce, marriage, or the birth of a child, are good times to review your policy. To make changes, contact your insurance provider and request a form to change your beneficiary. Once submitted and approved, the update becomes official.
If you’ve made your beneficiary designation "irrevocable," you’ll need their consent to make changes.
Keep Your Policy Up to Date
Review your beneficiary designations regularly to make sure they reflect your current wishes. An outdated beneficiary could mean your life insurance proceeds don’t go where you intended.
Update Your Life Insurance Policy
Need help managing your life insurance policy? Contact our West Chester, PA, team at Griffith Insurance LLP today to ensure your beneficiaries are appropriately set and your coverage aligns with your current life situation.
