Can a beneficiary be a minor child, and what happens if I name one?
You can name a minor as a life insurance beneficiary, but you generally should not name them directly, because insurers will not pay a large sum to a child. If a minor is the beneficiary when you die, a court typically must appoint a guardian or conservator to manage the money until the child reaches adulthood (usually 18), a slow, costly process that hands full control to your child the moment they come of age. Better options: name a trust for the child's benefit as beneficiary, set up a custodial arrangement under your state's Uniform Transfers to Minors Act, or name a trusted adult guardian. A trust lets you dictate when and how funds are released. Coordinate this with your estate documents so the beneficiary and the guardianship plan match.