20-1312. Beneficiary; change of beneficiary;
payment
A. Each policy shall have a space on the front or back page of the policy for the
name of the beneficiary designated with a reservation of the right to designate or change
the beneficiary after the issuance of the policy.
B. The policy may also provide that no designation or change of beneficiary shall
be binding on the insurer unless endorsed on the policy by the insurer, and that the
insurer may refuse to endorse the name of any proposed beneficiary who does not appear to
the insurer to have an insurable interest in the life of the insured. Such a policy may
also provide that if the beneficiary designated in the policy does not surrender the
policy with due proof of death within the period stated in the policy, which shall be not
less than thirty days after the death of the insured, or if the beneficiary is the estate
of the insured or is a minor, or dies before the insured, or is not legally competent to
give a valid release, then the insurer may make payment thereunder to the executor or
administrator of the insured, or to any of the insured's relatives by blood or legal
adoption or connection by marriage, or to any person appearing to the insurer to be
equitably entitled thereto by reason of having been named beneficiary, or by reason of
having incurred expense for the maintenance, medical attention or burial of the
insured. The policy may also include a similar provision applicable to any other payment
due under the policy.
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