Generally speaking, life insurance is exempt from creditors in Utah if the beneficiary is a person. If the beneficiary is the estate, then creditors can try to collect on the unpaid debt owed them from the life insurance proceeds. But they cannot take the life insurance benefit from an individual who received it as a beneficiary, unless that person co-signed the debt.
In the state of Utah death benefit proceeds are exempt from creditors as long as the proceeds are paid to either the spouse or a child of the insured and the policy was in force for more than one year.
Cash surrender values are protected from both bankruptcies and non-bankruptcies with the exception of monies placed into the contract one year prior to the creditor claim.
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Cash surrender values are protected from both bankruptcies and non-bankruptcies with the exception of monies placed into the contract one year prior to the creditor claim.