Legal Question in Wills and Trusts in Virginia

No, since such proceeds normally pass outside the estate to the beneficiary named in the policy and are therefore not considered part of

the estate of the deceased.

Mr. Herdrickson is correct as to the probate estate, but the life insurance proceeds would be a part of the estate subject to estate taxation. The beneficiary of the proceeds would have no responsibility to report the proceeds unless the beneficiary is also the executor or administrator of the estate. That said, if the death occurred in 2010, there would be no estate tax to pay unless Congress changes the law presently in effect.