N.J. Admin. Code § 17:6-8.2

Current through Register Vol. 56, No. 23, December 2, 2024

Section 17:6-8.2 - Construction of beneficiary designation

(a) A beneficiary designation will be construed according to the following provisions:

1. Any statement in a beneficiary designation referring to a beneficiary's relationship to the participant is for convenience or information only, and has no effect in the construction or interpretation of the beneficiary designation.

2. A beneficiary designation will be construed to dispose all the remaining Plan account and all benefits. For example, if a beneficiary designation specifies shares that total less than 100 percent of the benefit, the Plan Administrator may adjust the shares pro rata so that the shares equal 100 percent.

3. Except as otherwise provided by the Program, a beneficiary designation that uses a term or phrase that would have significance in construing or interpreting a conveyance or disposition of a decedent's estate will, except as otherwise specified by the participant, be construed or interpreted according to Title 3B of the New Jersey Statutes (without regard to the participant's domicile at the time he or she made the beneficiary designation or at the time of his or her death). Likewise, if a beneficiary designation remains ambiguous after applying all provisions and construction rules stated by this chapter but would be resolved by applying the rules of construction and interpretation of the Uniform Probate Code for construing a beneficiary designation or conveyance, such rules will apply to the beneficiary designation, except as otherwise provided by the Program. Notwithstanding the preceding sentences, the Plan Administrator will not give effect to any Uniform Probate Code provision concerning the effect of divorce or marital separation. Also, the Plan Administrator will not give effect to any Uniform Probate Code provision or any construction or interpretation principle that would require the Plan Administrator to consider information not in the Program's records.

N.J. Admin. Code § 17:6-8.2