How do beneficiary designations work in Louisiana?

Beneficiary designations on life insurance, retirement accounts, POD bank accounts, and TOD brokerage accounts determine who receives those assets at death (La. R.S. 9:2449.1; La. R.S. 22:911.1 (both Acts 2024, No. 94, eff. 8/1/2024, prospective only); La. R.S. 22:901(D) (insurance slayer rule); La. R.S. 9:1711-1711.9 (Louisiana Uniform TOD Security Registration Act, Acts 2021, No. 167, eff. 1/1/2022); La. R.S. 13:3881(D); La. Civ. Code arts. 941, 1505, 1608(5), 2334, 2338, 2346, 2347). These designations override the terms of a will or trust. Outdated designations remain in effect regardless of other estate planning documents.

What happens to beneficiary designations after divorce in Louisiana?

Yes. Louisiana automatically revokes an ex-spouse as beneficiary upon divorce for the following asset types: life insurance, retirement accounts, annuities (La. C.C. art. 1608(5); La. R.S. 9:2449.1; La. R.S. 22:911.1). However, ERISA-governed employer plans such as 401(k)s and pensions are subject to federal law and must be updated manually regardless of state rules.

Are Beneficiary Designations Protected in Louisiana?

Check how divorce, creditors, and state laws affect your life insurance, retirement accounts, and other beneficiary designations.

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This tool provides general information about state beneficiary designation laws. It does not constitute legal advice. ERISA-governed plans are subject to federal law which may differ from state law. Consult a licensed attorney for advice specific to your situation.Data verified 2026-07-13

Frequently Asked Questions

Beneficiary designations on life insurance, retirement accounts, POD bank accounts, and TOD brokerage accounts determine who receives those assets at death. These designations override the terms of a will or trust. Outdated designations remain in effect regardless of other estate planning documents.

Yes. Louisiana automatically revokes an ex-spouse as beneficiary upon divorce for the following asset types: life insurance, retirement accounts, annuities. However, ERISA-governed employer plans such as 401(k)s and pensions are subject to federal law and must be updated manually regardless of state rules.

Louisiana is a community property state, but it does not require a spouse's consent to name a non-spouse beneficiary. Each spouse manages their own community property, and the other spouse's claim to their half of community-funded assets is raised after death rather than through a consent form. Federal ERISA rules separately require spousal consent for qualified retirement plans such as 401(k)s.

Louisiana provides partial creditor protection for inherited IRAs. The level of protection may depend on whether the IRA was inherited from a spouse or non-spouse, and whether the case is in state or federal court.

Yes. The federal Employee Retirement Income Security Act (ERISA) preempts state law for employer-sponsored plans such as 401(k)s, pensions, and group life insurance. Even if Louisiana automatically revokes an ex-spouse upon divorce, ERISA-governed plans follow the designation on file with the plan administrator. The Supreme Court confirmed this in Egelhoff v. Egelhoff (2001) and Kennedy v. Plan Administrator (2009).

When no valid beneficiary designation exists, the asset typically passes to the account holder's estate and is distributed through probate under Louisiana's intestacy laws. This can result in delays, additional costs, and the assets going to someone other than the intended recipient. See who inherits with the Louisiana inheritance calculator.

No. Louisiana does not default to per stirpes for beneficiary designations. If a named beneficiary dies before the account holder, the share typically lapses unless the designation explicitly includes per stirpes language or names contingent beneficiaries.

Beneficiary Rules in Louisiana

Louisiana automatically revokes an ex-spouse as beneficiary upon divorce (Yes). This applies to state-governed assets such as life insurance and POD accounts, but not ERISA-governed employer plans. Automatic revocation does not extend to federally governed accounts.

Spousal consent in Louisiana is No for retirement accounts funded with community property. Federal ERISA rules add a second layer of consent requirements for employer-sponsored plans. The Louisiana inheritance calculator shows how assets pass with and without valid designations.

Inherited IRA creditor protection in Louisiana is Partial creditor protection. Since the Supreme Court ruled in Clark v. Rameker (2014) that inherited IRAs are not protected under federal bankruptcy law, state statutes are the primary source of protection.

Louisiana's per stirpes default is No. Without contingent beneficiaries, a lapsed designation routes assets through probate. Estimate coverage needs with the Louisiana life insurance calculator.

SimplyTrust Editorial·Updated July 13, 2026

Legal Sources

Data sourced from Louisiana statutes and official state code. How we research.

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