UNMC Human Resources wants to remind employees to review or update beneficiary designations for life insurance and retirement accounts.
Beneficiary information is important because the chosen beneficiaries receive designated proceeds after someone's death. Anyone listed as a beneficiary in life insurance and retirement documentation will supersede any person indicated in a will.
Primary beneficiary: Anyone listed as a primary beneficiary will receive money first, but an employee can list more than one primary beneficiary.
Contingent beneficiary: Contingent beneficiaries who are named will inherit an account if the primary beneficiary were to die first and no other primary beneficiary was named.
Life insurance: Life insurance will not pay out to a minor, so employees wanting to designate someone under the age of 19 years old as a beneficiary are encouraged to set up a trust.
Taxes: Pay particular attention to tax-advantaged accounts such as the 401(a) basic retirement plan. If an employee does not name a beneficiary, an account may pass to that employee's estate. Once it is listed as part of your estate, there is a chance it will have to go through probate and be exposed to creditors. It also will cost heirs valuable tax deferral opportunities.
To update or review an Assurity life insurance beneficiary via Firefly, select the "Employee Self Service" tile, then the "Life Insurance Beneficiaries" tile. Employees then can add beneficiaries or edit existing ones. To review or update retirement beneficiary information, log in to TIAA or Fidelity retirement accounts online via the following links:
- TIAA: Go to this TIAA site, then click on the initials in the upper right-hand corner, followed by the "Beneficiaries" link.
- Fidelity: Go to this Fidelity site, then click on the "Menu" link, followed by the "Beneficiaries" app.
With questions, please email the Benefits Office or call at 402-559-4340.