A life insurance policy is a type of insurance that protects the person's safety, and its beneficiary is the person who will be entitled to the benefits in the event of an insurance accident. The way of determining the insurance beneficiary is crucial for both the insurance company and the insured, so you need to understand the way of determining the beneficiary when choosing life insurance. This article will analyze the way of determining the beneficiary of life insurance from three perspectives: law, insurance contract and practice.
I. Legal perspective
According to Article 10 of the Insurance Law, the beneficiary agreed in the insurance contract shall be the insured person himself or his legal heirs.Cancer insurance If there is no agreement or the agreement is unclear, the insured can designate the beneficiary at any time, but with the consent of the insurer. If the insured dies, his/her legal heirs can inherit the rights of the insured, but if the insured designates a beneficiary, the beneficiary has priority to enjoy the insurance benefit. Therefore, when signing an insurance contract, the insured needs to explicitly agree on the identity of the beneficiary, and it can be modified at any time.
II. Insurance Contract Perspective
An insurance contract is an agreement between the insurance company and the insured, which includes the way of determining the beneficiary. In an insurance contract, the beneficiary can be a designated beneficiary, a legal beneficiary and a designated heir.Term Life Insurance A designated beneficiary is a beneficiary that the insured has explicitly agreed upon in the insurance contract. Statutory beneficiaries are those who are entitled to the insurance benefit according to the law after the death of the insured. Designated heir refers to the heir explicitly agreed upon by the insured in the insurance contract, usually a relative of the insured.
When choosing a beneficiary, the insured needs to consider several factors. First, the beneficiary should be the insured's closest person, such as spouse and children. Second, the insured needs to consider the beneficiary's financial status and future living situation. Finally, the insured needs to consider whether the beneficiary has the ability to manage the insurance benefits, such as the ability to manage money.
III. Practical Perspective
In practice, there are mainly several ways to determine the beneficiary of life insurance. First, the insured can explicitly agree on the beneficiary in the insurance contract. Secondly, the insured can change the beneficiary at any time after the insurance contract takes effect. Finally, the insured can assign the beneficiary to another person after the insurance contract has come into effect. However, the insured should note that the transfer of the beneficiary requires the consent of the insurance company, and a certain handling fee is required for the transfer.