When you're setting up a life insurance policy, retirement account, or other financial account, you'll need to choose one or more beneficiaries to receive the proceeds if you pass away. But can you have multiple beneficiaries? The answer is yes! Let's explore the details of having multiple beneficiaries and how it can benefit you and your loved ones.
What is a Beneficiary?
A beneficiary is the person or entity who receives the proceeds of a financial account, life insurance policy, or retirement plan after the account owner passes away. Beneficiaries can be individuals, such as a spouse, child, or friend, or entities, such as a charity or trust.
Can You Have Multiple Beneficiaries?
Yes, you can have multiple beneficiaries for a single account. Having multiple beneficiaries can be advantageous because it provides more flexibility and ensures that the account owner's assets are distributed according to their wishes. For example, if you have two children and want to ensure that your assets are split evenly between them, you can designate them both as beneficiaries. Additionally, if one of your beneficiaries passes away before you do, you can update your beneficiary designation to ensure that their share goes to their children or other beneficiaries.
How to Add Multiple Beneficiaries
Adding multiple beneficiaries is typically a simple process. When you're setting up your account or policy, you'll be asked to name your beneficiaries and specify how you want the assets to be distributed among them. You can usually name primary and contingent beneficiaries, meaning that if your primary beneficiary passes away before you do, the assets will go to the contingent beneficiary.
If you want to add or change beneficiaries after you've set up your account, you can usually do so by contacting your, Independent Life insurance Broker, financial institution or insurance company and filling out a new beneficiary designation form.
Having multiple beneficiaries can be a smart way to ensure that your assets are distributed according to your wishes and provides added flexibility for your loved ones. When setting up your account or policy, be sure to consider how you want your assets to be distributed and name your beneficiaries accordingly. If you need to make changes to your beneficiaries later on, it's usually a straightforward process that can be done with a simple form. Remember, sharing is caring, and having multiple beneficiaries can help you take care of the people and causes you care about most.
Looking forward for the opportunity to serve you and your family.
Ivonne Cabrera
Independent Life Insurance Broker
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