Long established as the preferred investment of the French, life insurance has advantages, from its favorable taxation to its very flexible operating methods, not to mention its inheritance interest.

But while nearly one in two marriages ends in divorce, many savers become disillusioned when they discover that they will have to share the fruits of their personal investment with their ex-spouse ...

The decisive matrimonial regime

Indeed, in the event of separation, the future of your life insurance will depend on your matrimonial regime, as explained by Christèle Biganzoli, founder of Ritchee.fr, a web platform for wealth management advice.

Simply put, "if you have established a separation of property contract or are united by a PACS without any special clause, any contract signed in your name will remain your property and your spouse will have no rights over it if you divorce".

Conversely, if you have opted for a universal community contract (infrequent), all your possessions acquired before or during the union are deemed to belong to both members of the couple.

Therefore, "it will then be necessary to pay your ex-spouse 50% of the surrender value - and not of the premiums - of your life insurance on the day of separation".

In France, however, three quarters of marriages are celebrated without any contract and therefore subject to the regime of the community reduced to acquests.

Everything that was yours personally before the union then remains your sole property, while everything that is acquired by the spouses must be shared equally in the event of a divorce.

The trap of the origin of funds

The whole difficulty then lies in the origin of the money used to fund your investment. Indeed, and contrary to what one might think, your salaries and income from your professional activity, but also the rents from a personal rental investment, enter the community as long as they are received during the marriage. . Logical consequence, "a life insurance opened after your union and fed by mutual funds implies an obligation of reward for the other spouse in the event of divorce", analyzes Christèle Biganzoli. The subscriber can thus choose to reimburse 50% of the surrender value, if he wants to keep the product, or to liquidate the contract to split the sums in two.

More complex, life insurance could be opened before marriage (own property), then funded during the union with mutual funds.

The tracing of the money and the interest generated is inextricable here.

Most often, the division will be done in two.

Preserve your personal capital

In the absence of a marriage contract, the only way to keep the benefit of your life insurance for yourself, whether it is opened before or during your union, is to supplement it with own funds.

But this category comes down to sums received by gift or inheritance and, anecdotally, to compensation obtained in compensation for bodily or moral injury.

In the event of an inheritance, it is therefore wise to invest the money in a dedicated life insurance policy, funded by nothing else, and to record it with a certificate.

Ultimately, "the ideal is to open an investment for each project and manage the source of funds depending on", concludes the founder of Ritchee.fr.

In order to say "yes" in full knowledge of the facts, it is also better to get information beforehand from a notary or a wealth management advisor.

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Beware of the beneficiary clause

Too often drafted in haste, the beneficiary clause of a life insurance policy can have serious consequences. Imagine you just entered Mr. X's name. He will inherit the funds when you die if you forget to change the contract after the divorce. Likewise, knowing that this type of procedure can drag on, it is better to avoid the sole mention of the "spouse" who will be until the official pronouncement ... As a precaution, it is therefore customary to specify: "to my spouse no legally separated from the body, failing which my children, born or to be born, alive or represented, in equal parts; failing this, my heirs, by equal shares ”.

In addition, the beneficiary could previously express his acceptance of this state to the insurer without the contract holder being informed.

However, this “accepting clause” prevents any subsequent modification of the life insurance without the authorization of this famous beneficiary.

What to get hold of the funds despite a separation.

Since 2017, the clause has therefore been signed in agreement with the subscriber.

  • Life insurance

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  • Divorced

  • Couple

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