H. B. 2742
(By Delegates Andes, C. Miller, Savilla,
Hunt, Miley, Perry, Ellem, Fleischauer
[Introduced January 21, 2011; referred to the
Committee on the Judiciary.]
A BILL to amend the Code of West Virginia, 1931, as amended, by adding thereto a new section, designated §48-5-614, relating to the revocation of death benefits by divorce.
Be it enacted by the Legislature of West Virginia:
That the Code of West Virginia, 1931, as amended, be amended by adding thereto a new section, designated §48-5-614, to read as follows:
ARTICLE 5. DIVORCE.
§48-5-614. Revocation of death benefits by divorce.
(a) Upon the entry of the final divorce order, any revocable beneficiary designation contained in a then existing written contract owned by one party that provides for the payment of any death benefit to the other party is revoked. A death benefit prevented from passing to a former spouse by this section shall be paid as if the former spouse had predeceased the decedent. The payor of any death benefit shall be discharged from all liability upon payment in accordance with the terms of the contract providing for the death benefit, unless the payor receives written notice of a revocation under this section prior to payment.
(b) The term “death benefit”, as used in this section, includes any payment under a life insurance contract, annuity, retirement arrangement, compensation agreement or other contract designating a beneficiary of any right, property or money in the form of a death benefit.
(c) This section does not apply:
(1) To the extent an order of divorce or a written agreement of the parties provides for a contrary result as to specific death benefits; or
(2) To any trust or any death benefit payable to or under any trust.
NOTE: The purpose of this bill is to revoke certain death benefits by divorce.
This section is new; therefore, it has been completely underscored.