Quora Answer: Does Life Insurance Go to Next-of-Kin?

The following is my answer to a Quora question: “Does life insurance go to the next of kin?” 

Unless the insurance policy is nominated to the preferred beneficiary, the policy is paid out to the estate of the deceased life insured.  There, it undergoes the probate process, and is paid out according to the will, or failing which, the guidelines of the public trustee office.  To avoid probate and ensure that the preferred beneficiaries benefit the most from the claim, it is always prudent to nominate the beneficiaries for the policy.  This means that once a claim is approved, the monies reach them in a matter of days.