What happens to your life insurance in the event of bankruptcy?
The number of bankruptcies in Australia fell 11.2% in the March quarter 2015 (4,379), compared to the March quarter 2014 (4,932) and increased 4.8% compared to the December quarter 2014 (4,179)1. So what is the treatment of life insurance proceeds, both outside and inside super, in the event of bankruptcy?