Disclaimer: This article is for informational purposes only and does not constitute legal advice. For legal advice, consult a qualified attorney.
Detailed Answer
When a decedent fails to designate a beneficiary for their life insurance policy, Delaware law directs that the policy proceeds default to the decedent’s estate. You or the estate’s personal representative must then enforce distribution through probate.
1. Confirm Absence of a Valid Beneficiary
Review the policy documents to ensure no valid beneficiary designation exists. Insurance companies often maintain records of beneficiary forms on file.
2. Obtain Authority to Act
File a petition in the Delaware Court of Chancery or the Register of Wills in the decedent’s county of residence to open probate. If the decedent died with a will, obtain Letters Testamentary; without a will, secure Letters of Administration.
3. Present Proof to the Insurer
Provide the insurer with certified letters. Under 18 Del. C. § 2309, an insurer must pay policy proceeds to the estate’s personal representative when no beneficiary exists.
4. Receive Proceeds and Distribute Under Intestacy
Once the insurer disburses the funds, the personal representative distributes them according to Delaware’s intestate succession statutes. For example, 12 Del. C. § 3311 outlines distribution priorities: to the surviving spouse, then lineal descendants, and next to other relatives if no spouse or descendants survive.
5. Resolve Disputes in Court
If the insurer refuses payment or disagreements arise among heirs, file a petition in the Court of Chancery to compel distribution. The court can issue orders directing the insurer or personal representative to comply.
Helpful Hints
- Gather all insurance policies and beneficiary change forms immediately after death.
- Consult the Register of Wills in the decedent’s county without delay.
- Keep detailed records of probate filings, correspondence, and court orders.
- Notify potential heirs early to avoid disputes.
- Engage an attorney if complex family dynamics or large estate values exist.