The Importance Of Life Insurance In Your Divorce Judgment
Why it is critical that you make sure during your divorce judgment that a life insurance policy is obtained for the spouse that is responsible for child support and spousal support payments.
If you are contemplating filing for Divorce there is a lot of planning that must be thought out. A divorce requires proper financial planning. This statement seems obvious but is often overlooked by many inexperienced divorce practitioners. While property division, child support and alimony are often negotiated, other just as important aspects of divorce planning may go overlooked.
Life insurance is an often overlooked aspect of divorce proceedings. For instance, what happens if the person required to pay alimony or child support dies? As a practicing Michigan divorce and family law attorney, I always insist that my divorce clients are protected from such an eventuality, by making sure those responsible for child support payments or alimony are required to maintain a life insurance policy.
If one ex-spouse is entitled to payments for alimony or child support, he or she may want to insure that such benefits will continue even if the payer dies. Life insurance needs to be considered. If it is ordered by the court, it may be best for the beneficiary to own the policy on the life of the payer. If this is arranged, steps should be taken to be sure that policy ownership will revert to the payer at the end of the payment period.
There is often a concern in these circumstances that life-insurance benefits may never reach the children of the former marriage or, in other cases, the later marriage because the primary beneficiary does not see to it. It may be best for the concerned parent to set up a trust funded with life insurance to pay both the bills for these children as well as an intended inheritance.
Another very popular question that arises is, What if an older breadwinner marries for a second time to a much younger spouse? The children of the first marriage may be concerned that they will have to wait a long time for their inheritance that will come only after the death of the second, younger spouse. This can cause the children to have bitter feelings about the spouse. Life insurance on the breadwinner, payable directly to the children or to a trust for the children’s benefit, will negate that concern. The benefits will be paid directly to the children or to a trust for the children’s benefit if the breadwinner shall die.
This is just one more reason why anyone considering a divorce in Michigan should contact an experienced Michigan divorce and family lawyer. Divorce is not a simple matter and should be undertaken only by an attorney or law firm that focuses its practice on Michigan divorce law. A good Michigan divorce lawyer must understand taxes, be a financial planner, understand every aspect of divorce law, including child support, alimony, child visitation, and child custody. When interviewing different divorce attorneys in Michigan look for someone that you think would be an aggressive litigator and excellent communicator. You should feel comfortable talking to your attorney and being able to be honest and up front with any matters that may arise. These personality styles will come in handy if you end up in the court room.
Michigan Divorce Lawyer Jannelle J. Zawaideh offers a free no hassle consultation to discuss any questions you may have concerning your family law questions including divorce, child custody, and spousal support payments. Michigan divorce attorney Jannelle J. Zawaideh specializes in family law.
Mark Z is a Real Estate agent out of Northville Michigan who sells over 75 homes each year throughout Southeastern Michigan including Oakland, Wayne, Macomb, Washtenaw & Livingston Counties. He is in the top 1% of all Realtors throughout the entire world.
Submitted By ArticleUnited.com