(A) The owner of a benefit contract has the right at all times to change the beneficiary or beneficiaries in accordance with the bylaws or rules of the society, unless the owner waives this right by specifically requesting in writing that the beneficiary designation be irrevocable. A society shall provide that no revocable beneficiary has, or can obtain, a vested interest in the proceeds of a certificate until the certificate has become due and payable in conformity with the provisions of the benefit contract.

(B) If at the death of a person insured under a benefit contract there is no lawful beneficiary to whom the proceeds are payable, the amount of the benefit, except to the extent that funeral benefits may be paid as provided in this chapter is payable to the personal representative of the deceased insured. If the owner of the certificate is other than the insured, the proceeds must be paid to that owner.

Terms Used In South Carolina Code 38-38-320

  • Beneficiary: A person who is entitled to receive the benefits or proceeds of a will, trust, insurance policy, retirement plan, annuity, or other contract. Source: OCC
  • Benefit contract: means the agreement for provision of benefits authorized by this chapter, as that agreement is described in this chapter. See South Carolina Code 38-38-40
  • Bylaws: means the society's articles of incorporation, constitution, and bylaws, however designated. See South Carolina Code 38-38-40
  • Certificate: means the document issued as written evidence of the benefit contract. See South Carolina Code 38-38-40
  • Contract: A legal written agreement that becomes binding when signed.
  • Person: means a corporation, agency, partnership, association, voluntary organization, individual, or another entity, organization, or aggregation of individuals. See South Carolina Code 38-1-20
  • Rules: means all rules, regulations, or resolutions adopted by the supreme governing body or board of directors which are intended to have general application to the members of the society. See South Carolina Code 38-38-40
  • Society: means fraternal benefit society, unless otherwise indicated. See South Carolina Code 38-38-40
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