Legal Question in Wills and Trusts in Illinois

Re: benificery of insurance policy

I believe that if a person has not designated a beneficiary, the life insurance proceeds are subject to the same procedures as any other intestate property, which is either probate or a small estate affidavit.

Having said that, I have had significant resistance from some insurance companies to pay the policy to a personal representative acting with respect to a probated estate; they seem to want to go to great lenghts to "avoid probate" on behalf of their customers. And, in one or two cases, some "heirs" have forged documents to claim the insurance proceeds outside of probate when the "heir" was not entitled to the money.

You should consult a lawyer, and quickly, if you suspect that the insurance company will honor your stepmother's claim, rather than disburse the death benefit to a personal representative.

Our comments are based on treating your question as a hypothetical. Accordingly, our comments could be substantially and materially different were we advised of all of the relevant facts and circumstances. Our comments are by necessity general in nature, and should not be relied upon in taking or forgoing action in your circumstances without retaining an attorney. In order to fully explore your legal matter, you should meet with us or another attorney and bring to any such meeting all relevant documents and correspondence, and any other relevant facts.

We are not hired to be your attorney, and no attorney-client relationship exists between us, unless and until you enter into a written retainer agreement with us, tender the agreed amount for a retainer and it is accepted by us. We reserve the right to decline representation should circumstances change.

As you are aware, in Illinois there are various deadlines for filing a complaint, filing an answer to a complaint, or taking other action in order to preserve your legal rights, and avoid a complete loss of those rights. You should retain counsel immediately in order to be fully advised of your rights, and to be fully informed of the applicable time period within which those rights must be asserted. If you were to delay in doing so, it might result in your potential cause of action being forever barred.