Insurance Beneficiary Revocation When There’s a “Legal Wife” (Philippines): A Complete Guide

Philippine context • Life insurance on a natural person (individual and group policies) • Focus: changing/revoking beneficiaries; clashes between legal wife and other designees; effects on taxes, conjugal property, and claims • General info, not legal advice.

1) The fast answer

Default rule: A life-insurance beneficiary is revocable unless the insured expressly made the designation irrevocable in the policy/endorsement.
Who can revoke/change? The insured/owner of the policy (not the spouse, not the existing beneficiary) by written change-of-beneficiary filed with and accepted by the insurer before death.
Special bar: Even without a change, a designee who is civilly disqualified to receive donations (e.g., a current paramour in an adulterous/concubinage relationship with a married insured) cannot validly receive life-insurance proceeds. The law treats such a designation as void; proceeds bypass that person.
“Legal wife” angle: Being the legal wife does not automatically make her the beneficiary, does not automatically revoke other valid designees, and does not give her a unilateral right to change the insured’s beneficiary—unless the insured dies and the existing designation is void or forfeited by law, or the policy is owned by the wife.

2) Legal pillars you need to know (plain-English)

Insurance Code (life insurance on one’s own life)
- Revocation/change: Allowed any time before the insured’s death unless the beneficiary is irrevocably designated. If irrevocable, most policy acts (change, loan, assignment, surrender) need the beneficiary’s written consent.
- Slayer rule: A beneficiary who kills (principal/accomplice) the insured forfeits the proceeds; they go to the nearest heirs or as the policy provides.
- Order of payment: If the beneficiary predeceases the insured and there’s no contingent beneficiary and no new designation, the proceeds go to the insured’s estate.
Civil Code overlays
- Art. 739 & Art. 2012: Persons incapable of receiving donations also cannot be life-insurance beneficiaries. This covers paramour relationships (both guilty of adultery/concubinage at the time of designation), among others.
- Donations between spouses rule does not invalidate naming one’s spouse as beneficiary; life-insurance in favor of a spouse is valid.
Family/Property
- Premiums paid with conjugal/absolute community funds don’t convert the policy proceeds into conjugal property. Life-insurance proceeds belong to the beneficiary, not to the conjugal/common fund, unless the policy says otherwise. (Spousal remedies exist only if the premium payments themselves violated property rules, in which case the spouse may seek reimbursement, not the proceeds.)

3) Revocable vs. irrevocable beneficiary: what changes

Feature	Revocable (default)	Irrevocable (only if expressly made so)
Change/cancel beneficiary	Insured alone may do it	Needs beneficiary’s written consent
Policy loan/assignment/surrender	Insured may act	Often requires beneficiary consent
Estate tax	Included in gross estate if beneficiary is revocable (proceeds payable to estate or revocable beneficiary)	Generally excluded from gross estate if irrevocable beneficiary (and not payable to estate)
Creditor reach	Estate/creditor exposure higher	Better shielded (subject to fraudulent transfer rules)

Practical tip: Many people think they made someone irrevocable but never signed the proper endorsement. What the insurer has on file controls.

4) How to revoke or change a beneficiary properly

Check who owns the policy. If the insured is also the owner, they sign. If the legal wife owns the policy (e.g., she bought a policy on her husband’s life with his consent), she, as owner, controls beneficiary changes (subject to insurer rules and any irrevocability).
Complete the insurer’s form (Change of Beneficiary/Designation), stating:
- Policy number, insured, owner.
- New primary (and contingent) beneficiary(ies), shares, and whether revocable or irrevocable.
- Attach KYC IDs; marital status disclosure when relevant.
Submit and obtain acknowledgment. A change is effective only when recorded/accepted by the insurer (or as the policy states). If the insured dies before acceptance, the last recorded beneficiary wins (subject to legal disqualifications).
Group life (employer plans): Use the group plan’s change form; HR usually forwards it. Same revocable default applies unless the plan says otherwise.
Wills vs. policy: A will cannot override a policy beneficiary already on record. Use the insurer’s process, not a testamentary clause.

5) “Legal wife vs. other beneficiary” – common scenarios

A) Husband names legal wife as beneficiary → Later names someone else

If the original designation was revocable, the later recorded change controls. The legal wife cannot block it as a matter of right.
If the original designation was irrevocable, the change is void without the wife’s written consent.

B) Husband names a paramour (while still married)

A beneficiary who, at the time of designation, is in a relationship disqualified under Art. 739 (e.g., paramour in adultery/concubinage) cannot validly receive proceeds.
Effect at claim time: The insurer may deny payment to the paramour and pay the nearest heirs or follow the policy’s fallback (often the estate) or pay the contingent beneficiary if validly named.

C) Husband names children (with or without the wife)

Valid. Minors can be beneficiaries; insurer will pay to a trustee/guardian or the legal representative per policy/law.

D) Husband divorces abroad/obtains annulment/legal separation

No automatic revocation of beneficiaries. The insured must file a change if desired. (Philippine law generally does not recognize foreign divorce for a Filipino spouse unless the foreign spouse obtained it and other requirements are met; either way, beneficiary designations don’t auto-update.)

E) Beneficiary predeceases insured; no contingent named

Proceeds go to the estate of the insured; they then pass by succession (legal wife/heirs share under the Civil Code), not because she is “wife” under the policy.

F) Beneficiary kills the insured (slayer rule)

Beneficiary forfeits proceeds; pay to nearest heirs (which can include the legal wife and children), or as the policy provides.

6) If you’re the legal wife and want to protect your position

While the insured is alive: You cannot force a change if the beneficiary is revocable; it’s the insured/owner’s prerogative. If you own the policy, you control it.
If a disqualified beneficiary is on file (e.g., paramour): Do not expect the insurer to change it based on your letter while the insured lives. Document the facts and be ready to contest at claim time (or persuade the insured/owner to change now).
If premiums were paid with community/conjugal funds: That does not give you the proceeds. Your remedy, if any, is reimbursement of conjugal funds from the estate or responsible party—not to displace a valid beneficiary.
Estate/Tax planning: If the insured insists on keeping you as irrevocable beneficiary, that can reduce estate-tax exposure on the proceeds. If they switch to revocable/estate, estate tax applies on the proceeds.

7) If you’re contesting a payout after death

A) Grounds that work

Legal disqualification (Art. 739/2012): prove adulterous/concubinage relationship at the time of designation.
Slayer rule: beneficiary killed or conspired to kill the insured.
Formal invalidity: alleged “change” never accepted/recorded by insurer before death; last valid record controls.
Forgery/lack of capacity/undue influence in the change request (prove with credible evidence).

B) What usually doesn’t work

“We’re married, so I automatically get it.” (No.)
“Conjugal funds paid the premiums.” (At most a reimbursement claim, not the proceeds.)
“There’s a will leaving me everything.” (Policy beneficiary designation wins over a will, absent estate fallback.)

C) Process playbook

Notify insurer in writing to hold payment; submit a Claimant’s Adverse Notice stating grounds and attaching prima facie proof.
Expect the insurer to interplead (deposit proceeds with court) if claims are contested; be ready to litigate.
File the appropriate civil action (e.g., declaratory relief/interpleader participation, nullity of beneficiary designation, damages) and, where applicable, criminal or family-law actions that establish disqualification facts.

Evidence to gather: marriage certificate; timeline of the relationship; communications proving the illicit relationship when the designation was made; policy records; insurer acknowledgment letters; death certificate; police/prosecutor records (if slayer rule).

8) Tax and estate consequences of revocation/choice of beneficiary

Proceeds to revocable beneficiary or estate → generally part of the gross estate for estate tax purposes.
Proceeds to an irrevocable beneficiary (not the estate) → generally excluded from gross estate.
Income tax: Life insurance proceeds paid by reason of death are not subject to income tax (the estate/beneficiary distinction here is about estate tax, not income tax).

Revoking an irrevocable designation late in life may increase estate-tax exposure. Coordinate with tax counsel when making late-stage changes.

9) Conjugal/community-property angles (common misconceptions)

Paying premiums with conjugal funds does not transform proceeds into conjugal property. The beneficiary still gets the money.
A spouse may claim reimbursement to the conjugal/community property for improper premium payments (e.g., grossly excessive payments that impair family support), but that is separate from the insurer’s duty to pay the named beneficiary.

10) Practical checklists

Change/Revocation (insured/owner doing it right now)

☐ Read the policy: is current beneficiary irrevocable?
☐ If irrevocable: secure written consent of the beneficiary.
☐ Complete insurer Change of Beneficiary form; name contingents; mark revocable/irrevocable.
☐ Submit and get insurer acknowledgment before any health event; keep copies.

Legal-wife contest (after death)

☐ Request insurer to suspend payment; file adverse claim with evidence.
☐ Gather: marriage cert; policy/endorsements; insurer acknowledgments; proof of disqualification (Art. 739) at time of designation; slayer-rule evidence if applicable.
☐ Prepare to join/commence interpleader/declaratory case; seek injunctive relief if needed.

Insurer/HR (group policies)

☐ Keep latest beneficiary forms in file; time-stamp receipt.
☐ Require full civil-status declarations; warn members that certain designees may be disqualified by law.
☐ If conflicting claims arise, consider interpleader promptly.

11) Mini-templates you can adapt

A) Change of Beneficiary Request (Cover Note to Insurer)

Re: Policy No. ______ (Life) – Change of Beneficiary I, [Name], the insured/owner, request that the beneficiary be changed as per the attached form to: – Primary: [Name(s), share %, relationship] (revocable) – Contingent: [Name(s), share %, relationship] Kindly confirm recording/effectivity. Attached are my IDs and specimen signature.

B) Legal Wife – Adverse Claim Letter (Post-Death)

Re: Policy No. ______ – Adverse Claim/Request to Hold Payment I am the lawful spouse of the deceased, [Insured]. The recorded beneficiary, [X], is legally disqualified to receive under Art. 739/2012 because [facts at the time of designation: adulterous/concubinage relationship]. Please hold payment and furnish me with the policy and beneficiary-change records. I am prepared to file/participate in an interpleader action. Attached are supporting documents.

12) FAQs

Q: Can the legal wife herself revoke the husband’s beneficiary? A: No, not unless she owns the policy or holds a valid SPA from the owner, and the current beneficiary is revocable.

Q: If the husband named his paramour, is the designation automatically void? A: The law disqualifies such a beneficiary, but insurers usually require proof. Expect a contested claim or interpleader for a court to decide.

Q: Does separation (de facto or legal separation) revoke a spouse-beneficiary? A: No. Only a recorded change or a legal disqualification affects payout.

Q: What if the policy says “estate” as beneficiary? A: Then the proceeds go to the estate, subject to estate tax and succession rules (the legal wife/heirs share per law).

Q: Can a will redirect life-insurance proceeds? A: No. Use the insurer’s change process. A will does not supersede a recorded beneficiary.

13) Bottom line

The insured (or policy owner) controls beneficiary revocation/changes—not the legal wife, not the current beneficiary—unless the beneficiary is irrevocable, in which case consent is needed.
A beneficiary civilly disqualified (e.g., a paramour) cannot validly receive; expect a challenge or court interpleader.
Conjugal funds used for premiums don’t shift proceeds; at most, they support a reimbursement claim.
Get the paperwork right and recorded with the insurer; after death, the last valid record and legal disqualifications decide who gets paid—and whether estate tax applies.

If you share the policy setup (owner/insured, current designation, revocable/irrevocable) and your goal (protect wife’s claim, change beneficiary, or contest a payout), I can draft a tailored change request or a post-death adverse claim package you can use immediately.