Buying life insurance in Las Vegas, NV means making critical life decisions such as choosing a beneficiary. If you have never sat down and thought about it, you will have difficulty filling that “required field.” You will be required to name multiple names if the primary beneficiary is unavailable to receive the death benefit. So what is the process of choosing a beneficiary? Who can you choose as your primary beneficiary? Leo Insurance Group will help answer these questions and others that you may have about beneficiaries.
Anyone Can Be Your Beneficiary
A beneficiary can be any person, institution, charity, business, or trust. If you choose a person to be your beneficiary, they can be your child, spouse, sibling, parent, friend, neighbor, or a needy person you feel deserves your wealth. There are really no restrictions to whom you can name. However, in Nevada, a rule requires your spouse to waive their rights if you decide to designate someone else as the beneficiary.
Primary and Contingent Beneficiaries
Insurance experts always recommend having at least two names when buying life insurance. The first and most important name is the primary beneficiary. This is the person who will receive the death benefit. If the person dies before you, the second name—contingent beneficiary will receive the death benefit on behalf of the primary beneficiary.
What if You Want To Have Multiple Beneficiaries?
It’s essential to be specific when choosing beneficiaries to avoid conflict with your loved ones. If you have to include all of them—let’s say ten names, make sure they are well-written and spelled correctly to avoid future problems. You also need to assign the percentage of the death benefit each will receive. Don’t forget to update these names frequently based on circumstances.
At Leo Insurance Group, we advise, guide, and take you through the entire process of acquiring life insurance. If you would like to learn more about beneficiaries, call or visit our Las Vegas, NV offices.