Are Beneficiary Designations Protected in Oregon?
Check how divorce, creditors, and state laws affect your life insurance, retirement accounts, and other beneficiary designations.
Frequently Asked Questions
Beneficiary designations on life insurance, retirement accounts, POD bank accounts, and TOD brokerage accounts determine who receives those assets at death.ORS 112.315; ORS 107.118 to 107.131; ORS 112.455 to 112.555; ORS 112.572; ORS 59.535 to 59.585; ORS 708A.455 to 708A.515; ORS 723.474 to 723.498Verified May 27, 2026 These designations override the terms of a will or trust. Outdated designations remain in effect regardless of other estate planning documents.
No. Oregon does not automatically revoke an ex-spouse as beneficiary upon divorce.ORS 112.315; ORS 107.118 to 107.131; ORS 112.455 to 112.555; ORS 112.572; ORS 59.535 to 59.585; ORS 708A.455 to 708A.515; ORS 723.474 to 723.498Verified May 27, 2026 All beneficiary designations on life insurance, retirement accounts, and other assets must be updated manually after a divorce, or the ex-spouse may still receive those assets.
Oregon provides partial creditor protection for inherited IRAs.ORS 112.315; ORS 107.118 to 107.131; ORS 112.455 to 112.555; ORS 112.572; ORS 59.535 to 59.585; ORS 708A.455 to 708A.515; ORS 723.474 to 723.498Verified May 27, 2026 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 Oregon 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 Oregon'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 Oregon inheritance calculator.
No. Oregon does not default to per stirpes for beneficiary designations.ORS 112.315; ORS 107.118 to 107.131; ORS 112.455 to 112.555; ORS 112.572; ORS 59.535 to 59.585; ORS 708A.455 to 708A.515; ORS 723.474 to 723.498Verified May 27, 2026 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.
When you're ready, we're here.
Oregon Estate Planning Resources
In-depth guides covering Oregon probate laws, trust requirements, and estate planning strategies.
