Explore Westonci.ca, the premier Q&A site that helps you find precise answers to your questions, no matter the topic. Explore a wealth of knowledge from professionals across different disciplines on our comprehensive platform. Get immediate and reliable solutions to your questions from a community of experienced professionals on our platform.
Sagot :
The spendthrift clause life insurance policy provision prohibits a beneficiary from commuting, encumbering, withdrawing, and portion of the proceeds priorr to actual receipt from the company.
Trusts with fancy covenants are designed to protect beneficiaries both from themselves and from creditors. They cannot transfer the assets held by the trust to their own property and can only manage the distributed assets.
If you name a gambler's son as your beneficiary, his son's creditors may swoop in your life insurance proceeds after your death. A waste clause gives the insurer the right to withhold earnings and protect funds from creditors.
Luxurious trusts limit the beneficiaries' access to the trust capital. Essentially, the beneficiary cannot access the escrow principle or make promises to others. Since beneficiaries do not have access to escrow funds, neither do creditors.
Learn more about spendthrift clause https://brainly.com/question/4659682
#SPJ4
We hope our answers were useful. Return anytime for more information and answers to any other questions you have. Thanks for using our service. We're always here to provide accurate and up-to-date answers to all your queries. Thank you for trusting Westonci.ca. Don't forget to revisit us for more accurate and insightful answers.
