Mary names her husband, Rick, as primary beneficiary of her life insurance policy and her two children, Pam and Matt, as contingent beneficiaries. Rick dies in March. Pam and Matt are killed simultaneously in a car accident later that month. Hearing the news, Mary has a fatal heart attack. In this case, Mary's life insurance proceeds will be paid: (A) 1/2 to Rick's estate and 1/4 each to Pam and Matt's estates (B) to Rick's estate (C) to Mary's estate (D) in equal shares to Rick, Pam, and Matt's estates

Question

Business

Efrain Ibarra

9 March, 02:05

Mary names her husband, Rick, as primary beneficiary of her life insurance policy and her two children, Pam and Matt, as contingent beneficiaries. Rick dies in March. Pam and Matt are killed simultaneously in a car accident later that month. Hearing the news, Mary has a fatal heart attack. In this case, Mary's life insurance proceeds will be paid: (A) 1/2 to Rick's estate and 1/4 each to Pam and Matt's estates (B) to Rick's estate (C) to Mary's estate (D) in equal shares to Rick, Pam, and Matt's estates

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Monique Mccarty · Answer 1

(C) to Mary's estate

Explanation:

Based on the information provided within the question it can be said that in this scenario Mary's life insurance proceeds will be paid to Mary's estate. This is because all of Mary's beneficiaries have passed away. Therefore the life insurance is paid to her estate since she is the owner of the life insurance policy.