Does money obtained as a life insurance beneficiary count in a divorce?

My husband received money from his mom’s life insurance when she died. He put that money in his checking account and a certificate of deposit. We are getting divorced now and I’m curious if I’ll get half of that money. We live in a community property state.

Asked on December 11, 2011 under Family Law, Texas


M.D., Member, California and New York Bar / FreeAdvice Contributing Attorney

Answered 8 years ago | Contributor

In a divorce settlement certain property is considered to be "marital property"; some is considered to be "separate property". Even if an asset is initially separate property, it can become marital property if it is "co-mingled" with marital assets. That having been said, a gift or inheritance (and life insurance proceeds would be included here) are separate property not subject to the rules community property in a divorce. Further, since this has been kept in a separate account in his name only, there as been no co-mingling of assets. Therefore, you will in all likelihood have no claim to these proceeds.

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