When you purchase a life insurance policy, you must designate a beneficiary. This is the person, charity, or trust that will receive the benefit of your policy after your death. It's an important step in the process of ensuring that your final wishes are followed.
Some carriers are suing to rescind policies issued to smokers who were dishonest in completing their applications for life insurance. Today, accelerated underwriting procedures may allow for quick approvals on limited health data. But as these carriers acquire more medical data after issuing a policy, they've turned to the courts earlier instead of waiting to fight a claim later for the non-payment of the benefit down the road.