Probate - apply to whole estate?

Swiftpebble92

I've searched the forums and can't find the answer so please feel free to point me in the right direction if you know there is already a post about this!

My Best friends father has recently passed away. He did leave a will so that's fine. His total estate is under £40k. 

He had a couple of life insurances, both with the same company strangely, one for £2K and one for £8k. On calling the company (British Seniors I think) they said they can pay out the £2k no problem (my friend is sole executor in the will) but for the £8k one, they need probate. 

My question is - if they apply for Probate for this, does this mean the WHOLE estate will be in Probate? So for instance, there is a savings account with a few thousand in it, an isa etc - would this all come under probate now?

He hasn't contacted the banks etc yet 

There is a funeral plan separate and that's all sorted but it's the rest of the estate. I can't find the answer on any forums but pretty sure someone must've come across this before. 

When dealing with my own mothers estate, I have a feeling I had some paperwork from something she had (Maybe state pension) that asked if the estate was in Probate so I expect my friend will come up against this too with various different companies/ benefits etc

HappyHarry

Yes you apply for probate for the whole estate. 

Whether or not each individual financial institution requires probate is a different matter.
Some of the providers maybe happy to pay out without sight of the probate document.

Swiftpebble92

Thanks - I thought that was the case as!

retiredbanker1

I googled them

For British Seniors Over 50s Life Insurance, the amount payable before probate is generally up to £10,000, depending on the age of the insured, and can be used to help with funeral expenses or other costs. The payout typically does not form part of the deceased's estate and therefore does not require probate for access. 

If they pay the first policy then claim for the second??

I don't see how they can pay the first one out knowing there is a second policy??

I would check the policy and ask for a second opinion from the company.

IMO Probate is costly and unnecessary for estates like this.

MobileSaver

retiredbanker1 said:

I would check the policy and ask for a second opinion from the company. IMO Probate is costly and unnecessary for estates like this.

I agree and don't be afraid to escalate to an official complaint if they persist. 

Probate costs are excessive just for an £8k insurance policy.

retiredbanker1

MobileSaver said:

retiredbanker1 said:

I would check the policy and ask for a second opinion from the company. IMO Probate is costly and unnecessary for estates like this.

I agree and don't be afraid to escalate to an official complaint if they persist. 

Probate costs are excessive just for an £8k insurance policy.

Especially when there is a chance that it does not form part of the estate in the first place.