Insurance claim - nominee or legal heirs
Harry.max
(Querist) 22 July 2013
This query is : Resolved
Hi,
I have a question in case of claims from Insurance on a persons death.
Will the nominee(wife) in the insurance policy get the money or will it be shared among the persons in legal heir certificate(wife,son, mother, father, sister).
Pls let me know?
Nadeem Qureshi
(Expert) 22 July 2013
Nominee will have first right but if there is any terms and conditions mentioned in Legal Heir Certificate then claim will be shared among the persons.
Adv Archana Deshmukh
(Expert) 22 July 2013
The insurance company will give the money to the nominee. Nominee is a trustee for the legal heirs.
malipeddi jaggarao
(Expert) 23 July 2013
Agreed with Ms.Archana. Insurance company will not take cognisance of legal heirs. It will pay the whole claim amount to the nominee. But not is not the true owner of entire amount if there are legal heirs. It is the duty of the nominee to share the amount among legal heirs as per law as she is only trustee to the amount not the true owner except for the amount of her legally entitled share.
prabhakar singh
(Expert) 23 July 2013
Unless a succession certificate has been granted and claim thereunder has been lodged
before payment to nominee,INSURANCE CO. is under legal obligation to pay nominee but nominee is trustee of the amount beyond her share which heirs can claim from her.A legal heir certificate would be of no value.
Harry.max
(Querist) 23 July 2013
Thanks for the replies.
What if there is a will left by the deceased person in which he has mentioned that the death benefits(insurance money) goes to his wife
ajay sethi
(Expert) 23 July 2013
in that case insurance co may ask you to obtain a probate of will .
prabhakar singh
(Expert) 23 July 2013
Then if she is also nominee she can get payment from INSURER without being under obligation to pay back other heirs against whose claim ,if any,the'will' would be her defence.
If She is not nominated as nominee then probate or LoA,as the case may be,would for sure be required.
