An estate planning attorney could be helpful before signing a divorce decree.
Divorce agreements often include child support and life insurance requirements but as the National Law Review points out in “How Divorce Can Impact Your Estate Plan,” these life insurance provisions in divorce agreements are often flawed from an estate planning perspective.
Divorce attorneys do not normally also work with estates. From a divorce perspective a provision to have one parent obtain life insurance is adequate. However, from an estate planning perspective such provisions often leave out important details.
For example, the mere requirement to obtain life insurance would not stop the receiving spouse from using the entire sum for his or her own benefit. Even if the benefits are to be put in a trust for the benefit of the child, divorce settlement agreements often leave out instructions regarding what happens to any funds left in the trust after the child reaches the age of majority.
An estate planning attorney can guide you through any life insurance provisions of a divorce agreement.
Reference: National Law Review (May 19, 2016) “How Divorce Can Impact Your Estate Plan“
