Many use insurance policies to secure part or all of their assets. This is because life insurance policies are considered unequivocal and unclear. But that’s not always the case. Let’s see the exceptions where insurance policies can be seized.
What article 1923 of the Civil Code says
It has always been thought that insurance is an inseparable and impenetrable tool. And for this reason they are often used as a safe to secure their assets. For example by making a social security policy in the name of his wife.
Or, to ensure that the estate reaches the children and cannot be affected by any legal proceedings. It is enough to register a social security policy for the children and that’s it.
But is it really so? Let’s start with the source that theoretically guarantees the unseenability and the imprecision of the insurance policies. The inequestableness and imprecision of life policies derives from thearticle 1923 of the Civil Code. This article specifies how the sums owed by the insurer to a policyholder, who has taken out a life policy, are unequivocal and unchallengeable.
But over time there have been many rulings of the Cassation to make exceptions to this rule. These do not deny the norm, but reduce its scope. With an emphasis on the purpose of life policies, some of which have a financial return objective.
Beware of those who have these insurance policies because they can be seized
The most recent sentence is from 2017 and was issued by the VI section of the Criminal Court of Cassation, number 47012 of 12 September 2017. What does the sentence say? Life policies that have as their purpose a purely social security objective are not subject to foreclosure. But if these are for investment purposes, then they can be seized.
In practice, for the Supreme Court, if the insurance contract is truly a life policy, then Article 1923 of the Civil Code is fully applicable. Under these conditions, the life policy cannot be seized. But if the policy has financial purposes, that is, it is an investment instrument aimed at creating a return, it can be seized.
And what are the policies that have these characteristics? These are the Index-linked and Unit-linked policies. So beware of those who have these insurance policies because they are seizable.
Deepening
You may have a policy and don’t know it and you may lose all your money
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