Designating a beneficiary for a life insurance policy just got more complicated with the recent Calmusky v. Calmusky Ontario Superior Court case, overruling a beneficiary designation and ruling a RRIF as part of a deceased’s estate. As a result of this decision, there is a concern that beneficiary designations in favour of adult children in life insurance policies can now be challenged. This could be applicable in all common-law provinces, which excludes Quebec.
Now more than ever, it is crucial to have a detailed conversation with your client about their designations and ensure their intentions are documented both clearly and thoroughly in order to avoid their assets falling into litigation and/or estate. Continue reading “The Beneficiary Challenge”