Life Insurance Beneficiary Designation Issues in Divorce
You are (or are about to be) divorced, and you have life insurance that most likely designates your former spouse as the beneficiary. You've decided to keep your current policy. Should you change your beneficiary? If you have children, should they be your beneficiaries? If you do change the beneficiary, are there tax repercussions? There are many options to weigh when deciding who will be your beneficiary. Care should be taken to ensure that you make the most informed choice possible.