If my husband and I die, we have my son as a beneficiary on my husbands life insurance. If he is a minor, my parents are his assigned guardian (stated in will). Can they access the money as he is a minor to care for his expenses, or should I split the % on the life insurance so my parents have money and my son will have some when he gets older?
1 Answer from Attorneys
The court would have to appoint a Guardian. Naming a Guardian in a will expresses a preference, this is a common misunderstanding. Although the naming of a preferred Guardian by the parents will carry weight with the court.
As to the life insurance, it would be held until the child was 18 and the guardian would need a court order to access it.
A better solution than the one you suggested is to establish a revocable living trust and to name the trust as the beneficiary. In this way your named Trustee could manage the monies for your child without court permission and you could prescribe conditions for its eventual disbusrsal. For example you can set age or educationsl requirements.
George D. Greenberg, Esq.