It’s not something anyone wants to think about, but it’s a question insurance companies have to take seriously:
What happens if the person insured is murdered?
And what if the beneficiary is suspected—or convicted—of the crime?
Yes, life insurance can cover homicide.
But depending on the circumstances, the payout can be delayed, denied, or redirected.
In this article, we’ll break down:
- How homicide affects a life insurance payout
- The role of the “Slayer Rule”
- What happens when a beneficiary is under investigation
- And what you should do to protect your policy
💡 First—Does Life Insurance Cover Homicide?
Yes. Life insurance will pay out for homicide in most cases—as long as:
- The policy was active
- The beneficiary is not involved in the crime
- The death isn’t excluded under policy fine print
💥 In fact, life insurance is often one of the first things law enforcement looks at when investigating suspicious deaths—because of the financial incentive involved.
🔍 What Is the “Slayer Rule”?
The Slayer Rule is a legal doctrine that says:
A person cannot profit from the life insurance policy of someone they intentionally killed.
So what does that mean?
- If you murder someone and you’re listed as their life insurance beneficiary… you don’t get the payout.
- The benefit is either withheld, redirected to a contingent beneficiary, or held by the estate
This rule exists in every U.S. state, although the exact procedures vary.
🧾 What If the Beneficiary Is Accused, but Not Convicted?
If a beneficiary is a suspect, but not yet convicted:
- The insurer may pause the payout while the investigation unfolds
- If no charges are filed or the person is cleared, they’ll typically be paid
- If convicted, they’re disqualified under the Slayer Rule
💡 If the case is unsolved, insurers may hold the benefit in limbo or turn it over to the courts.
⚖️ Real Example: Homicide Payout Held in Court
In one well-known case:
- A woman was found murdered
- Her husband was listed as the sole beneficiary on a $1M policy
- He was arrested—but not convicted for 2 years
- The life insurance company froze the payout during the trial
- After he was convicted, the payout was redirected to the couple’s children
🚫 What If There Are No Other Named Beneficiaries?
If the primary beneficiary is disqualified due to the Slayer Rule, and no contingent beneficiary is listed:
- The payout typically goes to the estate of the insured
- From there, it’s distributed according to the will—or probate court if no will exists
⚠️ This can delay the payout by months or years—and opens the door for legal disputes.
🔐 What Can Delay a Payout After a Homicide?
- Active criminal investigation
- No named contingent beneficiary
- Disputed claim by multiple family members
- Policy was recently purchased (contestability period issues)
- Red flags in how the insured died (e.g., suspected foul play)
⏳ What Is the Contestability Period?
Most life insurance policies include a 2-year contestability clause.
If the insured dies within 2 years of starting the policy, the insurance company can:
- Investigate the claim in more depth
- Review the medical application for false statements
- Delay the payout while confirming all details are legitimate
If homicide occurs during this period, it raises red flags, and the investigation gets even more thorough.
🧠 What Should Beneficiaries Not Do During a Homicide Investigation?
- ❌ Don’t try to cash in the policy immediately
- ❌ Don’t pressure the insurance company or police
- ❌ Don’t make public statements if you’re a suspect
- ❌ Don’t hide or alter documents related to the policy
Instead:
- ✅ Cooperate fully
- ✅ Provide necessary documentation
- ✅ Let the legal process run its course
If you’re not involved in the crime, the payout will come—eventually.
🔁 Can the Beneficiary Still Inherit If the Death Was Accidental or Self-Defense?
If the killing was:
- Justified (e.g., self-defense)
- Accidental (e.g., car crash, mistaken action)
…the Slayer Rule usually doesn’t apply.
But the burden of proof is high—so the case may still be delayed until the circumstances are officially verified.
🧱 Who Gets the Money If the Slayer Rule Applies?
If the named beneficiary is disqualified due to homicide involvement:
- The payout goes to the contingent beneficiary, if named
- If none is listed, the estate receives the funds
- From there, the will (or state probate) decides who gets what
💡 In some states, minor children of the deceased are prioritized in these situations.
💳 Does the Slayer Rule Apply to Other Assets (Not Just Life Insurance)?
Yes—it can apply to:
- Inheritances
- Property
- Pension and retirement accounts
- Trusts
It’s a general principle: you can’t profit from your crime, regardless of the financial tool.
👁️🗨️ Homicide and Life Insurance Fraud: Red Flags for Insurers
Life insurance companies are trained to spot suspicious activity, especially when large payouts are involved.
Red flags include:
- Policy taken out shortly before death
- Sudden increase in coverage
- Unusual beneficiary changes
- Lack of medical records for new policies
- Death ruled as homicide with no suspect cleared
In those cases, insurance companies may delay, deny, or litigate the claim.
✅ What You Can Do to Protect Your Policy
- List a trusted contingent beneficiary
→ This ensures the payout doesn’t fall into probate if your primary is disqualified. - Use a trust if you’re concerned about conflict
→ A trust adds oversight and keeps the payout controlled. - Keep your policy records secure
→ Make sure only trusted individuals have access. - Tell your loved ones where the policy is stored
→ But not the exact benefit amount, unless necessary.
🧠 Final Thoughts: Yes, Life Insurance Covers Homicide—But Not for Killers
Life insurance can be a lifesaver for families facing tragedy—but it will not reward criminal behavior.
If you’re the beneficiary and not involved in the death, you will likely receive the payout, even if it’s delayed during investigation.
But if someone harms or kills the insured to get the money?
They’ll lose it. And often their freedom, too.
👉 Read Next:
The Truth About Accelerated Death Benefits (And How to Use Them)
If you were diagnosed with a terminal illness, could you access part of your life insurance payout early? Find out how accelerated death benefits work—and why they’re one of the most misunderstood features in life insurance.
