Question

I am a 17 year old beneficiary on my fathers life-insurance plan can I receive the payout?

I don't turn 18 until mid-august, but a large deposit is due for my college in July. So I need the payout now so I can buy a car and pay the deposit. I have asked the company and they said they can't pay it out until I turn 18 unless they get a court order. I have gone to a court and they said I need to file a Civil Suit against {Boston Mutual} I have done some research and it seems as though the only thing keeping them from paying me is company policy not {California} state law. I REALLY WANT TO AVOID A LAWSUIT! So can any of you help me out here??? what is the actual law in california about underage beneficiary???
Thanks everyone for the answers! My question now is: how can I get the money payed to my legal guardian (mom)? So that the money can actually be used?

3 years ago - 8 answers

Best Answer

Chosen by Asker

You're not going to get it. It's going to take longer to go through the courts than it will to turn 18.

If they DID pay, they'd pay your legal guardian. Not you. Minors can't get the cash.

3 years ago

Other Answers

Any life insurance policy will not pay out to a beneficiary until they turn 18. The car can wait, and I bet pops set up some sort of college fund for you, so you can make your deposit. I think you are more concerned about getting that car, then anything else.

by djaca70 - 3 years ago

There is no law, it's written in the contract, which your father signed and agreed to. You will be wasting time and money filing a suit to get money an extra month earlier. Better off to ask someone to loan you some cash and you can repay them when your insurance becomes payable.

by What the? - 3 years ago

Option 1 is to have your mother or whomever is now your legal guardian file the claim for the life insurance money, and get it put in a special account administered by an adult, who can use it for your educational needs (college deposit, etc.) immediately, until you turn 18, when you can use it for anything.

However, the car is not a possibility. To own a car in CA, you need car insurance. Even if you get the money, you cannot buy car insurance as a minor. Therefore, someone else, an adult, not you, needs to be the person who buys the car, at least officially.

Option 2 is to go to a different court (not the one that handles civil suits) and get a ruling that you are an "emancipated minor", meaning that you are to be treated as a legal adult in financial matters who can control bank accounts, life insurance money, get car insurance, etc. (although you still cannot vote or buy alcohol).

by StephenWeinstein - 3 years ago

Sorry, the car will have to wait.

by Jo W - 3 years ago

Question number one is: Did you dad pass away? If your the beneficiary your guardian would receive the money or you must wait until your 18. If you dad did not pass away then you do not get the money unless he does.

Question #2 is: Is the life insurance policy on you and you want to cash in the policy for the cash value? Not sure which question you have but either way you have to wait until your 18 unless you want the money to go to your legal guardian.

by car253 - 3 years ago

A law suit won't help you anyway.

By the time it goes to court in 1-2 years you will already have turned 18. Lawsuits take a very very long time to work through the system. You don't just file a suit and money shows up at your door a week later. You will turn 18 before the law suit ever sees a court room.

You will just have to apply for student loans to cover your school. Once you get the insurance money then you can pay the student loan back.

At 17 you are a minor. The LAW will not allow them to give you the money until you reach the age of majority (18).

As far as a car goes - work. Save up 2000-3000 and by yourself a basic car - in cash.

by MSAD - 3 years ago

You're not 18. They won't pay you and you're not even old enough to fill out the claim forms. They'll pay it to a custodian for the money though. So, you can wait 'til August or you can have an adult take custody of the funds. I'm guessing you're better off waiting until August so you don't have another issue to contend with.

Suing them would do nothing. If your mother is living then she can make the claim for you and take custody of the funds in your name. They automatically become your funds at age 18...assuming she doesn't spend them between now and then. If she did, then you could sue her.

by Insurance Pickle.com - 3 years ago