AN ACT TO AMEND SECTION 1901, CHAPTER 19, TITLE 12, DELAWARE CODE, TO EXCLUDE CERTAIN EMPLOYEE PENSION, INCENTIVE PLAN AND LIFE INSURANCE DEATH BENEFITS FROM THE ASSETS AND INVENTORY OF A DECEDENT'S ESTATE SUBJECT TO ADMINISTRATION AND CLAIMS OF CREDITORS AND OTHER BENEFICIARIES OF AN ESTATE.
Be it enacted by the General Assembly of the State of Delaware:
Section 1. § 1901, Chapter 19, Title 12, Delaware Code, is hereby amended by striking the present provisions of § 1901 and inserting in lieu thereof the following new § 1901:
§ 1901. Personal property constituting assets of estate; exceptions, including rights of beneficiaries of employee death benefit plans and insurance policies
(a) Estates in lands, tenements and hereditaments held by the decedent for the life of another shall be chattels; and such states, estates by elegit or for years, the crop of the decedent growing or begun (except on lands devised by him), bank and other stock, money (whether in hand or deposited), and all goods and chattels shall be assets and shall be included in the inventory.
() The following articles shall not be included in the inventory: the family Bible, the clothes of the widow and ornaments proper to her station, the clothes of the family and of the decedent, and the family stores laid in before the death of the decedent, or such part thereof as the appraisers shall deem proper to be used for the support of the family, provided the same do not exceed in value $80.
(a) If, under the terms of any insurance policy or contract or of any pension, bonus, stock option, or other employee benefit or incentive plan, a person, trust or corporation (other than the decedent or his estate's personal representative) is designated to receive, upon or after the death of the decedent, any property or other death benefit, such property or death benefit shall not be included in the inventory of the decedent as chargeable to his personal representative; and such person, trust or corporation shall be entitled to such property or death benefits as against the claim of any personal representative, creditor, legatee or next-of-kin of the decedent.
(d) The provisions of paragraph (c) above shall apply to designations whether made prior to or subsequent to the enactment of this paragraph with respect to decedents dying after June 30, 1969. This paragraph shall have no effect on the validity or other designations, nor shall it affect the calculations of Inheritance or Estate taxes with respect to any decedent.
Approved May 15, 1969.