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Legitimate or illegitimate kids can be life insurance beneficiary and have the same rights.
Can illegitimate kids be life insurance beneficiaries?
I regret having been unfaithful to my very good wife years ago, and I have been faithful ever since my mistake, but I have an illegitimate son from my former mistress. I have become very successful in my business, and I don’t want to leave my illegitimate son less than my other kids from my wife. Is it legally possible for me to buy additional life insurance and then make that illegitimate son my beneficiary, although my name is not on his birth certificate, legally he has no connection to me and we’re not related under the law? Also, my former mistress is a very bad and selfish person; can I add in my life policy that in the event of my death before our son is 18, the benefits not be touched by his mother but can I name my younger sister as trustee until he is 18 years old?
Wilfred, 48 years old, businessman, Makati City
Answer
I admire your concern for and sense of responsibility toward the future of your children, including that of your illegitimate child. The law favors such treatment as it does not prohibit the designation of an illegitimate child as a beneficiary in the life insurance policy of his or her parents, in spite of the nature of his/her parents’ relationship. Anybody can be designated as a life insurance beneficiary (even juridical persons such as corporations, foundations, charitable organizations) provided that they are not disqualified by law.
What the law prohibits, among others, is the designation of one person as a beneficiary by the other in his/her life insurance policy, where both of them are guilty of adultery or concubinage at the time of such beneficiary designation. However, such disqualification does not extend to the children borne out of that relationship between the parties to the adultery or concubinage.
To ensure that your child beneficiary’s interests would be protected in case he becomes entitled to the benefit of your life insurance policy, you may, preferably at the time of the insurance application, designate a trustee of the life insurance proceeds for the benefit of your child-beneficiary during his minority years. Just make sure that you provide the life insurance company with the relevant documents for its guidance during claims settlement.
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