After people divorce, most do not intend for any of their assets or property to pass to their former spouses. While people may remember to change their wills, they may wrongly believe doing so will automatically change the person to whom their life insurance and retirement accounts will go to. The beneficiary designations on such accounts and policies supersede any contrary information in a will, however. It is thus vitally important that people review their designated beneficiaries in a divorce. Intended account beneficiaries may not be changed while a divorce is pending. Prior to filing the divorce, people are able to change their beneficiaries. For certain types of retirement accounts, both spouses will have to sign the beneficiary change form, though. If people share a financial adviser, they should be aware that the adviser might inform the other spouse of a change in beneficiaries as well. If changes are not made prior to filing for divorce, people will have to wait until the divorce is final to make the changes. In some divorce cases, a spouse agrees to continue carrying life insurance to benefit the other spouse after the divorce. As courts will sometimes find that the life insurance should instead go to a different person, the former spouse for whom the policy was intended may be out of luck. Following the divorce, they should make certain their spouse reaffirms them as the intended beneficiary to prevent this from occurring. In a high-net-worth divorce, the division of property may be

A recent report suggests that the long-term care required by older Massachusetts residents may be costly. According to one estimate, some individuals may be paying as much as $83,000 each year if they are seeking treatment in a skilled nursing facility. Furthermore, approximately 70 percent of individuals who are older than 65 will require some form of long-term care. The report goes on to state that these figures and Medicaid might be a driving force for an increase in divorce. Suggesting that approximately 66 percent of the aggregate cost of long-term care is covered by Medicaid, the report states that many individuals seek financial help from Medicaid long-term care benefits. These funds may be used to cover home health services or room and board for some individuals over the age of 21. Qualifying requires that the person meet federal guidelines on poverty. Individuals may also spend down their income in an attempt to qualify. Based on a five-year look back period and a recovery process that Medicaid might initiate against a person’s estate after they pass away, the report argues that the rules are promoting divorce. It suggests that if a couple is still married, the assets of the partner who is not receiving benefits are not protected unless they are no longer living together. However, if the couple divorces, they are allowed to live together, and the non-receiving party’s assets are not subject to estate recovery. As this information shows, there may be some financial benefits to seeking a