What happens to my pension if i die BEFORE I can collect? (Not married)

Question

Our client initiated the process by calling Fidelity and requesteing the lump sum payout option. Named AXA as the payee, and died before signing the AXA application. Now Fidelity wants to pull the funds back and keep the money because she is deceased and can't call to designate a new payee.

Answer 1

This should normally be handled by a WILL.

Answer 2

Since she never signed the application, then the terms in existence would take precedence.  If the pension had a death benefit, it would go to the original beneficiary.  If this was part of an employer fund, then it stays put.  

Sorry, I think you had bad luck on this one.  I hope you didn't already spend the commission.

Answer 3

Unless there was a death benefit and a designated beneficiary then they get to keep the money.  If there was a death benefit, then it goes to the estate and then is disbursed according to the beneficiaries listed in the will or trust.