Probate
The legal procedure for managing a deceased person's estate, which involves validating their will, settling debts, and paying taxes, and distributing the remaining assets to the beneficiaries.
Detailed Explanation
Life insurance proceeds can sometimes avoid probate if a beneficiary is directly named.
Practical Example
Emily named her husband as the direct beneficiary of her life insurance policy. As a result, the death benefit will likely be paid directly to him without having to go through the probate process.
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