Asked by bresha willis on Jun 23, 2024
Verified
Because joint tenancy and life insurance are ways of directing the disposition of property,they are sometimes referred to as ________.
A) will replacements
B) will substitutes
C) equity wills
D) contract wills
Joint Tenancy
A form of co-ownership where two or more individuals hold equal shares in a property, with the right of survivorship.
Will Substitutes
Non-probate methods for transferring assets upon death, such as trusts, joint tenancies, and payable-on-death accounts, designed to avoid the probate process.
Life Insurance
A contract between an insurance policyholder and an insurer, where the insurer promises to pay a designated beneficiary a sum of money upon the death of the insured person.
- Scrutinize estate planning strategies and legal guidelines, modifying them to suit the altering legal atmosphere, such as advancements in law or the formulation of will replacements.
Verified Answer
EC
Emman CerialesJun 25, 2024
Final Answer :
B
Explanation :
Property held in joint tenancy or tenancy by the entirety is not controlled by a will because the property passes automatically to the surviving cotenant by right of survivorship.In addition,life insurance proceeds are controlled by the insured's designation of beneficiaries,not by any provision of a will.(Because joint tenancy and life insurance are ways of directing the disposition of property,they are sometimes referred to as "will substitutes.")
Learning Objectives
- Scrutinize estate planning strategies and legal guidelines, modifying them to suit the altering legal atmosphere, such as advancements in law or the formulation of will replacements.