Domestic violence and life insurance

[youaremysunshine2623]

This is a long and complicated one! I’m posting on behalf of a friend. I am currently supporting her due to long standing domestic abuse (20+ years) and trying to navigate a way for her to leave with her daughter in a measured, calm way, getting finances straight and hopefully into a property that she can sustain herself etc. She won’t go into refuge or stay with family. Whilst I think she should just get out into anything, rented/short term etc. She is thinking longer term and trying to avoid distruption to her child in exam year. I don’t agree that this is the best way forward but working from where she is at etc. Anyway, in the meantime she has discovered she has critical illness cover (she has a life limiting condition diagnosed 4 years ago) and it looks like she will have a pay out from life insurance company of about 24k. It’s a joint policy so her abusive ex is entitled to half, which is galling. Does anyone know if there is any way his entitlement can be challenged due to evidenced DV and the fact that any future property may require modifications? Also, they don’t have a joint account so the money will be paid directly to her, but he will have to sign for it to be released. We are concerned that he may refuse to sign, to have more control again. If he refuses, can this be forced? Thank you for any input. I can help with lots of aspects but the legal side is alien to me.

Sorry for what your DD has been through

I used to work in life/CI insurance claims so have some experience of this, usually where couples had split and joint policies not been changed to single ownership.

As the policy is joint, they both own it and are entitled to half the proceeds each.

Is there any likelihood of ex partner agreeing to the policy being assigned to your daughter? This would legally change the ownership to your daughter and she would be entitled to all proceeds. A deed of assignment would be required.

Alternatively - as it stands, if he refuses to sign the payment authority form, then the insurer may opt to pay half to your daughter and his half will remain unclaimed until he instructs them where to pay it. But this will vary between insurers and they may be legally advised to not do anything at all without instruction from both owners.

From the insurers POV, they can't just make the whole payment to your daughter without agreement from the ex partner as they would be liable if he took legal action against them for his share.

I would suggest she explains the situation to the insurer and asks them to put their stance in writing, i.e. confirming whether half payment is an option.

Thank you so much. That’s really useful advice. Much appreciated.

I agree with VioletRoseLily - if he is a joint proposer of the policy then he is entitled to half legally, so my priority would be to find out how I could get my half without him throwing a spanner in the works and doing something that will hold up the claim payment. My concern would be that he refuses to sign so that neither of them get the money - the sense of ‘power’ that would give him may be attractive. Equally though, 12k for him might be equally attractive and he may comply - stranger things have happened! Regardless, insurance companies will have dealt with unco-operative joint policyholders before and will have processes in place.

Therefore, if I was your friend I would be speaking to the insurance company first, explain the difficult situation and find out what her options arefrom them. Then - and only then - does she raise it with her ex.