Who receives the death benefit if the primary beneficiary has passed away?

When a primary beneficiary has passed away, the contingent secondary beneficiary is the next in line to receive the death benefit. Insurance policies are typically structured to include a primary beneficiary who is designated to receive the benefits first. In the event that this individual is no longer available or has died, the policy will then look to the contingent beneficiary as the alternative recipient. This ensures that the death benefit is distributed in an orderly manner according to the insured's wishes outlined in the policy.

The insured's estate generally receives the death benefit only if no beneficiaries have been named or if all named beneficiaries are deceased and there are no contingent beneficiaries to take their place. Minor beneficiaries often cannot directly receive death benefits due to legal restrictions; instead, benefits may need to be held in a trust or managed by a guardian. The insurance company is responsible for paying out the death benefit but does not have a role in determining the recipient if a beneficiary has passed away. Thus, the correct receiver of the death benefit in this situation is the contingent secondary beneficiary, who is designated to step in under such circumstances.