Our top life insurance lawyers lay out some cases in which the ex-spouse fights getting cut off by an automatic revocation statute in a life insurance claim and wins. Bottom line, always have our life insurance law firm fight any denial.
Case 1. The Washington Supreme Court held that a Washington statute that automatically revoked the designation of an ex-spouse as the beneficiary of a life insurance policy after divorce applied retroactively to policies issued before the statute’s enactment. The court reasoned that the statute did not impair the policyholder’s contractual obligations, but merely changed the default rule for beneficiary designations. The policyholder’s estate was entitled to the policy proceeds instead of his ex-wife.
Case 2. The US Court of Appeals for the Second Circuit ruled that a New York statute that automatically revoked the designation of an ex-spouse as the beneficiary of a retirement account after divorce did not apply to accounts governed by ERISA, a federal law that preempts state laws on employee benefit plans. The court held that ERISA required honoring the policyholder’s express wishes, regardless of his marital status. The policyholder’s ex-wife was entitled to the retirement account proceeds instead of his second wife.
Case 3. The Alabama Supreme Court held that an Alabama statute that automatically revoked the designation of an ex-spouse as the beneficiary of a life insurance policy after divorce did not apply to policies governed by FEGLIA, a federal law that preempts state laws on federal employee group life insurance. The court held that FEGLIA required honoring the policyholder’s express wishes, regardless of his marital status. The policyholder’s ex-wife was entitled to the policy proceeds instead of his estate.
Case 4. The US Supreme Court held that a Washington statute that automatically revoked the designation of an ex-spouse as the beneficiary of a life insurance policy and a pension plan after divorce did not apply to plans governed by ERISA, a federal law that preempts state laws on employee benefit plans. The court held that ERISA required honoring the policyholder’s express wishes, regardless of his marital status. The policyholder’s ex-wife was entitled to the policy and pension plan proceeds instead of his children.
Case 5. The US Court of Appeals for the Eleventh Circuit ruled that a Florida statute that automatically revoked the designation of an ex-spouse as the beneficiary of a life insurance policy after divorce did not apply to policies governed by FEGLIA, a federal law that preempts state laws on federal employee group life insurance. The court held that FEGLIA required honoring the policyholder’s express wishes, regardless of his marital status. The policyholder’s ex-wife was entitled to the policy proceeds instead of his second wife.
Case 6. The US Supreme Court held that a Virginia statute that automatically revoked the designation of an ex-spouse as the beneficiary of a life insurance policy after divorce did not apply to policies governed by FEGLIA, a federal law that preempts state laws on federal employee group life insurance. The court held that FEGLIA required honoring the policyholder’s express wishes, regardless of his marital status. The court also held that another Virginia statute that allowed the current spouse or children of a deceased federal employee to sue an ex-spouse who received FEGLIA benefits was preempted by FEGLIA and invalid. The policyholder’s ex-wife was entitled to the policy proceeds instead of his widow.
Case 7. The Minnesota Supreme Court held that a Minnesota statute that automatically revoked the designation of an ex-spouse as the beneficiary of a life insurance policy after divorce applied retroactively to policies issued before the statute’s enactment. The court reasoned that the statute did not impair the policyholder’s contractual obligations, but merely changed the default rule for beneficiary designations. The court also held that another Minnesota statute that allowed a court to order a divorced person to maintain a life insurance policy for the benefit of an ex-spouse or children did not override the automatic revocation statute. The policyholder’s estate was entitled to the policy proceeds instead of his ex-wife.
Case 8. The Ohio Supreme Court held that an Ohio statute that automatically revoked the designation of an ex-spouse as the beneficiary of a life insurance policy after divorce applied retroactively to policies issued before the statute’s enactment. The court reasoned that the statute did not impair the policyholder’s contractual obligations, but merely changed the default rule for beneficiary designations. The court also held that the policyholder’s failure to change his beneficiary designation after divorce did not constitute a waiver of his right to revoke his ex-wife’s designation. The policyholder’s estate was entitled to the policy proceeds instead of his ex-wife.
Case 9. The US Court of Appeals for the Tenth Circuit ruled that a Colorado statute that automatically revoked the designation of an ex-spouse as the beneficiary of a life insurance policy after divorce did not apply to policies governed by ERISA, a federal law that preempts state laws on employee benefit plans. The court held that ERISA required honoring the policyholder’s express wishes, regardless of his marital status. The court also held that the policyholder’s failure to change his beneficiary designation after divorce did not constitute a waiver of his right to revoke his ex-wife’s designation. The policyholder’s ex-wife was entitled to the policy proceeds instead of his widow.
Free Consultation 800-330-2274