Can you have more than one beneficiary?

Yes, you can name more than one beneficiary on a life insurance policy. Most people split the death benefit among multiple beneficiaries by assigning a percentage to each. You can also layer your designations with primary and contingent beneficiaries to create a clear chain of who receives the benefit under different circumstances.

How to split the benefit

When naming multiple beneficiaries, you assign each one a percentage of the death benefit. The percentages must add up to 100 percent. For example:

• Spouse: 60 percent
• Child 1: 20 percent
• Child 2: 20 percent

If you prefer equal shares, you can divide evenly—but always confirm the math. Some policyholders accidentally list percentages that total more or less than 100 percent, which creates confusion during the claims process.

Primary vs. contingent beneficiaries

Primary beneficiaries are first in line. If all primary beneficiaries are alive when you die, they receive the benefit according to the percentages you set. Contingent beneficiaries are the backup—they receive the benefit only if all primary beneficiaries have died before you. You can name multiple contingent beneficiaries with their own percentage split.

Per stirpes vs. per capita

These terms determine what happens if one of your beneficiaries dies before you:

• Per stirpes: If a beneficiary dies before you, their share passes to their descendants. For example, if you name your two children equally and one dies, that child's share goes to their children (your grandchildren).
• Per capita: If a beneficiary dies before you, their share is divided among the surviving beneficiaries. The deceased beneficiary's descendants receive nothing.

Common mistakes to avoid

Naming "my children" without listing specific names can create disputes, especially in blended families. Always use full legal names, dates of birth, and Social Security numbers. Also avoid naming minor children directly—use a trust or custodial account instead to ensure the funds are managed properly.

What Truscott recommends

Multiple beneficiaries are common and perfectly appropriate, but the details matter. Incorrect percentages, vague designations, or missing contingent beneficiaries can create delays and legal headaches. A Truscott policy checkup will review your beneficiary designations to make sure everything is clear and enforceable. Contact us for a review.