Hi, I was diagnosed with MS six years ago. My partner was the main earner in our house and paid all the insurance premiums on our joint life endowment policy. When I was diagnosed the insurance company paid up quite quickly and I put the money to one side. My now ex-partner says that they are entitled to half the money as it was a joint policy and they paid all the money into the policy for over ten years. Surely because it was me who was diagnosed then I should keep all the money. Has anyone else been in this sort of situation and if so what advice did you get? Am I just being greedy? My ex-partner has no savings, having lost everything when the stock market collapsed.
Hi Jolly,
I think this is a very difficult one, and a bit beyond my scope (I did study law once, but not very recently).
I think you may need professional advice.
The first thing that strikes me is your ex has left it very late to make a claim. Six years is usually the upper limit timewise, but this could be interpreted as six years from when you split and divided your assets, rather than six years from the payout, so I guess he still might be comfortably inside, if you only split more recently…
At first glance, I think he might have a claim on a share of the payout, if he can prove he paid ALL the premiums, but you didn’t pay any. I know it was you who got ill, but if it was a joint policy intended to protect you BOTH, if anything happened to either of you, he might argue it should have protected him, if you got ill and unable to work, and not just you.
It’s NOT an area of law I’m particularly familiar with, and I can’t at this minute think of any similar cases I’ve studied. If you still have a copy of the (joint) policy, it may actually state whether the beneficiary is one or both, in the event of either partner getting ill. When the payment came through, was it made over to both of you jointly, or just to you?
Just thinking aloud, really, but I think you’re going to have to see someone about it.
It doesn’t really matter whether you’re being greedy or not. I think, when you’re seriously ill, looking after No. 1 is justified. But what matters is whether the law is on your side in that.
Tina
Hi Jolly,
If you have home insurance with legal cover it might be worth calling them to ask what they think?
I will try and find out more for you.
Thank you both for your posts. I will get some advice. I know that my ex definitely paid all the premiums. It’s just wishful thinking on my part but at least I know I’ll have half the money. Thanks again,
Jolly
Thank you both for your posts. I will get some advice. I know that my ex definitely paid all the premiums. It’s just wishful thinking on my part but at least I know I’ll have half the money. Thanks again,
Jolly
I’m not a legal expert, but I did used to work in insurance. We were always told that it didn’t really matter who paid the premiums, if the policy wasn’t written in trust then the person entitled to the money was the life assured (you) in the case of critical illness or the joint life assured in the case of your death (assuming it had life cover as well). I hope I’m right! The fact that you say ‘partner’ I assume means you weren’t married? Which adds another point on your side I would have thought. When I got my claim paid it was made to me and me only, despite being a joint policy. Even when placed into trust, critical illness benefits are normally left out so thy can benefit the actual life assured rather than the trust beneficiary. Wow, I’m getting angry on you behalf - you’re the one with the lifelong illness, that money should be yours! I bet if he hadn’t lost all his money he wouldn’t have thought to share it with you! Hope it all works out x
Critical illness is for your own benefit as the life assured even if the life cover element was written in trust (split trust). It’s a bit like income protection. That would also be for your benefit and not written in trust. I have access to all the insurance companies apart from some of the banks. Who were you insured with? I will ask their claims department for you.
Again on the point of partner not husband,if its anything like making wills the fact he was not your husband may well make him have no automatic claim on it.
Pip
I don’t think this is really an insurance claim question, because the insurance company has already paid up. They won’t care what happens after that!
It’s about division of assets after a relationship breakup, and what the parties each contributed is usually considered in that. There are two ways of looking at this:
True, without Jolly’s illness, there would have been no insurance payout in the first place.
But equally, without the ex having paid for it for years, there wouldn’t have been any payout either.
So as the payout was only possible due to his contributions, there may be some merit in his claim for a share. On the face of it, he has borne all the costs, but got none of the benefit, which does not seem completely right.
Tina