From the article:
All this because Hillman made a basic and
unfortunately all too common estate-planning mistake: when he divorced Maretta
he did not change the beneficiary designation for a life insurance
policy.
He left his ex-wife as the beneficiary.
A question
to ponder:
Was it really a mistake? Or did he do that
deliberately?
Following is my non-legal understanding of the
situation:
A person can choose to have multiple life insurance policies
and have each of them assigned to different people. Those people are each then
entitled to the proceeds from that particular life insurance policy. Some may
not like they get less then others, but it's the "dieing person"s last wish.
And it's up to that person to decide.
This makes perfect sense.
Of
course, the easiest way to divide your estate is to have all life insurance
policies set with your Estate as the beneficiary. And then let your Will take
over.
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