Section 632.47. Assignment of life insurance rights.

 

(1)   General. Except as provided in sub. (3) , the owner of any rights under a life insurance policy or annuity contract may assign any of those rights, including any right to designate a beneficiary and the rights secured under s. 632.57 or any other statute. An assignment valid under general contract law vests the assigned rights in the assignee subject, so far as reasonably necessary for the protection of the insurer, to any provisions in the insurance policy or annuity contract inserted to protect the insurer against double payment or obligation.

(2)   Relative rights of assignee and beneficiary. The rights of a beneficiary under a life insurance policy or annuity contract are subordinate to those of an assignee, unless the beneficiary was effectively designated as an irrevocable beneficiary prior to the assignment.

(3)   Prohibition on assignment. Assignment may be expressly prohibited by any of the following:

(a) A group contract providing annuities as retirement benefits.

(b) An annuity contract that is subject to transferability restrictions under any federal or state tax, employee benefit or securities law.

1975 c. 373 , 375 , 422 ; 1999 a. 30 .