Who gets the money?

gfm198

My wife has a life insurance which will get left to me should she die so I can bring up our child. However, what would happen if all 3 of us was say killed in a car crash, plane crash etc.. Would the money go to my two other children from a previous relationship?

Thanks in advance for any replies

csgohan4

write a will or the insurance money into a trust to cover all bases

Keep_pedalling

csgohan4 wrote: »

write a will or the insurance money into a trust to cover all bases

You need to do both. If you and your wife both died together, it is likely that the insurance payout would be split between your 3 children, despite the fact that the one who needs it most will be the one left with no parents to provide financial support.

All your other assets would be split 3 ways as well, and if they total over £250k then the intestacy rules of England and Wales means not everything goes to your wife. Conversely if you have less then everything goes to your with and your other children get nothing.

Don't risk dying intestate, get your wills sorted ASAP.

Quentin

gfm198 wrote: »

My wife has a life insurance which will get left to me should she die so I can bring up our child. However, what would happen if all 3 of us was say killed in a car crash, plane crash etc.. Would the money go to my two other children from a previous relationship?

Thanks in advance for any replies

Yes (assuming you asked because you have no wills), and there are no other children apart from those mentioned in the OP

gfm198

Thanks for all the replies. Yes neither of us have made wills. I also have a fair amount of money in the banks in all 3 children's names myself as the trustee. If I was to die would the respective mothers become trustees or would my wife get access to all the money.

DigForVictory

Then get yourself off to a solicitor pronto, before some drunk driver makes it all academic.

Honestly, dying intestate with children is very poor form.

kingstreet

If the cover is in her sole name and written own life own benefit (not in trust), the money will go into her estate and be distributed according to her will, or the rules of intestacy.

Your children from your previous relationship will not figure in that unless she specifically names them in her will.

System

Apart from anything else you need to decide who you are going to appoint as guardian for the children if still under age and the worst happens to you both. You need to ensure that the guardian has the means to carry out your wishes.

gfm198

So who is correct Quentin or King St?

p00hsticks

gfm198 wrote: »

So who is correct Quentin or King St?

My vote's with King St

kingstreet

Q may be thinking the cover is joint, where I tried to establish if it's in her sole name.

The outcome is different in each case.

If joint, the benefit passes to the survivor and if they are deceased, the benefit would be distributed according to their will or intestacy so our OP has three children who would benefit in equal shares in the event of the latter.