Legal Question in Wills and Trusts in Georgia

Inheritance from life insurance

My mother passed away two months ago and left behind about $15,000 of debt of which about $10,000 was hospital bills. I was the sole beneficiary of her life insurance policy and received the funds the other day. I am receiving phone calls left and right from her creditors wanting to know about her estate but she didn't own anything. Will I be legally responsible to pay her debt because I was named as the beneficiary of the life insurance money? A friend at work told me that they can put a lien on my house if I don't pay off her debt. Is this true?.


Asked on 5/05/07, 12:10 am

2 Answers from Attorneys
SHERRY RAGOLE RAGOLE & ASSOCIATES, LLC

Re: Inheritance from life insurance

You should not be responsible for the debts unless you co-signed for the credit that she obtained to incur them. Check your copies of any paperwork that you signed at the hospital, the documents probably did not obligate you to pay bills.

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Answered on 5/07/07, 6:30 pm
Charles W. Field Charles W. Field, Attorney at Law

Re: Inheritance from life insurance

Creditors will say anything to get money. The life insurance proceeds flowed outside of her estate, did not become a part of the estate and therefore are not subject to debts of the estate. Tell 'em to go fly a kite. Ask the friend at work for the source of his "information". Most likely he heard it at a bar. For added peace of mind, consider consulting with a local attorney.

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Answered on 5/05/07, 4:10 pm


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