Term Life Ins policy owner/beneficiary, effect me if I choose to rent subsidized apartment housing, State of Virginia.?

Insurance Pickle.com

Term life has zero value.

Coffee Drinker

a standard term life insurance has no cash value, and is therefore not considered an asset in any context. If the insured person dies and you collect a large amount of money from the policy then that money is obviously an asset and could cause you to become ineligible for need-based assistance programs such as subsidized rent. I'm not sure what financial benefit you think you're getting from keeping this policy. If your ex (the insured person) does not die, then you get nothing. If your policy has any sort of cash value or an account with a balance tied to it, then its not a term life policy. It might be a whole life or universal life, or possibly some complex hybrid policy. But nonetheless, there's no valid reason to keep this policy unless your ex is on their death bed. The purpose of life insurance is to protect you if someone you depend upon financially dies and leaves you without income. You shouldn't be financially dependent on your ex, so you don't need life insurance on them.

STEPHEN

Term assurance is not considered an asset if it only pays out on death and never acquires a cash in value.

car253

Term life has no cash value so it is NOT an asset. So, your fine. If your ex dies then you get the death benefit, then you would not qualify for government benefits. But that's only if he dies.

A Hunch

A term life plan has no cash value. Unless your former spouse died, there is no access to money. When the money is paid, it is an "asset" (cash is an asset). You will have to research how this impacts your subsidized housing Have you applied for SSI? If your income is low enough you would be eligible for SSDI and SSI.

Casey Y

Term policy has no cash value...so its not an asset. If there were any surrender value (which you only get with permanent products anyway), then it would be an asset.

babyboomer1001

No. There is no way around it. It would be considered income and you would be kicked out.