§ 10-14-402 — Beneficiaries

(1) The owner of a benefit contract shall have the
right at all times to change the beneficiary in accordance with the governing
documents of the society unless the owner waives this right by specifically
requesting in writing that the beneficiary designation be irrevocable. A society may,
through its governing documents, limit the scope of beneficiary designations and
shall provide that no revocable beneficiary shall have or obtain any vested interest
in the proceeds of any certificate until the certificate has become due and payable
in conformity with the provisions of the benefit contract.

(2) A society may make provision for the payment of funeral benefits to the
extent of such portion of any payment under a certificate as might reasonably
appear to be due to any person equitably entitled thereto by reason of having
incurred expense occasioned by the burial of the member. The portion so paid shall
not exceed the sum of one thousand dollars.

(3) If at the death of any person insured under a benefit contract there is no
lawful beneficiary to whom the proceeds shall be payable, the amount of such
benefit, except to the extent that funeral benefits may be paid as provided in
subsection (2) of this section, shall be payable to the estate of the deceased
insured the same as other property not exempt; except that, if the owner of the
certificate is other than the insured, such proceeds shall be payable to such owner.

Legislative History

Source: L. 93: Entire article amended with relocations, p. 598, � 1, effective July 1.