Texas Estates Code 1161.105 – Continuation of Preexisting Policies or Annuities
Current as of: 2024 | Check for updates
|
Other versions
(a) A life, term, or endowment insurance policy or an annuity contract owned by the ward when a proceeding for the appointment of a guardian of the estate is commenced may be continued in full effect if it is shown that:
(1) the company issuing the policy or contract is an authorized life insurance company; or
(2) the policy or contract is administered by the Department of Veterans Affairs.
(b) All future premiums for an insurance policy or annuity contract described by Subsection (a) may be paid out of surplus funds of the ward’s estate.
Terms Used In Texas Estates Code 1161.105
- Annuity: A periodic (usually annual) payment of a fixed sum of money for either the life of the recipient or for a fixed number of years. A series of payments under a contract from an insurance company, a trust company, or an individual. Annuity payments are made at regular intervals over a period of more than one full year.
- Contract: A legal written agreement that becomes binding when signed.
- Court: means and includes:
(1) a county court in the exercise of its probate jurisdiction;
(2) a court created by statute and authorized to exercise original probate jurisdiction; and
(3) a district court exercising original probate jurisdiction in a contested matter. See Texas Estates Code 22.007 - Estate: means a decedent's property, as that property:
(1) exists originally and as the property changes in form by sale, reinvestment, or otherwise;
(2) is augmented by any accretions and other additions to the property, including any property to be distributed to the decedent's representative by the trustee of a trust that terminates on the decedent's death, and substitutions for the property; and
(3) is diminished by any decreases in or distributions from the property. See Texas Estates Code 22.012 - Guardian: A person legally empowered and charged with the duty of taking care of and managing the property of another person who because of age, intellect, or health, is incapable of managing his (her) own affairs.
- Ward: means a person for whom a guardian has been appointed. See Texas Estates Code 22.033
(c) The guardian of the estate must apply to the court for an order to:
(1) continue the policy, the contract, or both according to the existing terms of the policy or contract; or
(2) modify the policy or contract to fit any new developments affecting the ward’s welfare.
(d) Before the court grants an application filed under Subsection (c), the guardian must file a report in the court that shows in detail the financial condition of the ward’s estate on the date the application is filed.