Author: David Olsen

FLORIDA PROBATE & DIVORCE

Divorce has a strong impact on an estate plan in Florida. Under Fla. Statute Section 732.507(2), a provision of a Last Will and Testament affecting a spouse will become void upon divorce. Section 736.1105, which is part of the Florida Trust Code, DOES THE SAME FOR TRUST PROVISONS.  Consequently, for example, a man listed his spouse as the sole beneficiary of a valid Last Will and Testament. Upon divorce and the husband’s subsequent death, the surviving ex-spouse will no longer qualify as a beneficiary under his Last Will and Testament. In fact, under these circumstances, a probate court would treat the distribution of the ex-husband’s assets as though they should pass if the ex-spouse had predeceased. Basically, a divorce generally has the effect of not allowing an ex-spouse to inherit from his or her ex. However, it is always strongly recommended that everyone update their estate plan after significant life events such as a divorce. Therefore, if an individual has gone through a divorce, it would be beneficial as well as recommended to meet with an estate planning attorney to ensure his or her assets pass to whomever they wish upon their death.

As for other assets –Section 732.703, entitled “Effect of divorce, dissolution, or invalidity of marriage on disposition of certain assets at death,” provides that former spouse’s interest in the following types of accounts will be nullified on divorce automatically:

  • life insurance
  • qualified annuity, or other similar tax-deferred contract held within an employee benefit plan
  • employee benefit plan.
  • individual retirement account described in s. 408 or s. 408A of the Internal Revenue Code of 1986
  • payable-on-death account.
  • security or other account registered in a transfer-on-death form.
  • life insurance policy, annuity, or other similar contract that is not held within an employee benefit plan or a tax-qualified retirement account.

The foregoing rules do not apply if the divorce decree/final judgment in dissolution of marriage or marital settlement agreement provides otherwise.  In addition, if the account is governed by ERISA (Employee Retirement Income Security Act), which is a Federal employee benefit statute, Florida law does not apply.  Florida law has attempted to make the effect of divorce on an estate plan what the majority of ex-spouses would want to have happen, i.e., to cancel the right to inherit of the former spouse.

Please call an Attorney at CASERTA & SPIRITI to discuss your situation, concerns and needs.

Rental Reimbursement Is An Important Coverage On An Automobile Policy

Rental Reimbursement coverage is relatively inexpensive and convenient when you need it. Quite often, after an accident caused by another driver, there may be a delay of days or sometimes weeks before their insurance company can be ascertained, and then, that carrier must be given an opportunity to investigate the incident to determine liability and whether they accept responsibility for the crash.  Frequently, the other driver fails to report the crash, or said driver does not have an insurance card at the scene of the accident or are driving someone else’s motor vehicle and does not know the owner’s insurance company. On various occasions, the responsible driver has no insurance, or it was cancelled prior to the accident. These and other situations may delay having the driver’s insurance company provide you, the innocent party, a rental car, or not provide one at all.

In an accident, if you do not exchange sufficient information with the other driver or vehicle, awaiting a police report for said information may take weeks or even a month.

Further, if you have an accident with a driver of a rental vehicle, the Rental company must investigate first if the driver had separate coverage or purchased coverage from the Rental company and must investigate the accident to determine liability as well.  All this takes time!

Having rental coverage allows you to get a car without paying out of pocket and it avoids a major annoyance as well as difficulty for you. The coverage has a minimal cost, probably less than $15-$20 every six months and is definitely worth the expense.

For any additional QUESTIONS regarding the various automobile insurance coverages, contact your insurance agent or call an Attorney at CASERTA & SPIRITI before an accident occurs!!