Toulouse v. New York Life Insurance

This appeal presents a challenge to the validity of an agreement between an insurer and an insured, where the insured, exercising one of the optional methods of settlement offered by an endowment policy on maturity of the policy, elected to leave the proceeds of the policy with the insurer, subject to withdrawal on demand, any amount remaining in the insured’s possession at the insured’s death to be distributed to designated third parties.

In this case the executor of the insured’s estate contends that the portion of the agreement which relates to distribution to the designated third parties…