A conservator is only allowed to purchase life insurance with the conservatorship asset, with a prior court order, called a substituted judgment petition order.
A conservator needs a court order to purchase life insurance on the life of the conservatee, with the assets of the conservatorship estate. Because the purchase of such a life insurance is with the conservatee's assets, the conservator has to show that the purchase would be a) desired by the conservatee; and b) would be reasonable, in light of the costs to the conservatee. For example, if a conservatee would normally be obligated to support a spouse or a minor child, the court may consider that as a legitimate reason for the conservator to apply to the court for such a purchase.
Authority to purchase is one aspect of the purchase, but the life insurance company's underwriting requirements regarding issuance of the life insurance for someone who is disabled, is a separate hurdle to overcome, after the order is obtained from the court.
The designation of a beneficiary of a life insurance in a conservatorship case, requires a Substituted Judgment Petition made to the court.
For more information on Life insurance and conservatorship matters, contact, Mina Sirkin, specialist conservatorship attorney in Los Angeles County. 818.340.4479
For a Probate Private Conservator Referral, contact us.
Other articles of interest:
Role of a Conservatorship Attorney in Management of Estates in Woodland Hills
What happens after a conservatorship ends?
Conservatorship as Protective Measures in Family Disputes
Wills for Disabled Persons by Woodland Hills Conservatorship Attorney