Will I lose my life insurance?
February 26th, 2015 by Questions
I cannot work and I have life insurance that are paid automatically with the value of that insurance. Will I lose my life insurance and the value of it (even though) the value of it cannot be cashed unless the insurance is cancelled or death occur.
Posted from: Quebec
One Response to “Will I lose my life insurance?”
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February 26, 2015 at 9:10 am, Jillian Taylor-Mancusi, Trustee | B.A. | C.I.R.P said:
In most provinces, the proceeds from an insurance policy can be claimed exempt where there is a prime designated beneficiary (such as a parent, spouse, and child). This means that a trustee cannot “cash in” the cash surrender value of a policy because it would negate the face value of the insurance. However, this may not be true if the beneficiary of the policy is your estate or other individual who does not fall into the exempt categories.