WeVote
Log In

Bill

Bill

HB 1058

Insurance; authorize tax-exempt organizations to be beneficiaries of employee group life insurance policies

2025-2026 Regular Session Introduced by Debbie Buckner and 5 co-sponsors

Authorizes Georgia tax-exempt organizations to receive direct beneficiary designations on employee group life insurance policies, expanding workplace benefit flexibility.

House Committee Favorably Reported By Substitute
#insurance
0
WeVote Research Nonpartisan
Bill Summary · HB 1058

Legislative bill overview

HB 1058 would amend Georgia's insurance code to permit tax-exempt organizations (such as nonprofits and charities) to be named as beneficiaries on employee group life insurance policies. Currently, Georgia law restricts group life insurance beneficiary designations in ways that may exclude or limit such organizations. This change would align Georgia with practices in other states and expand beneficiary options for policyholders.

Why is this important

Employee group life insurance is a common workplace benefit, and beneficiary flexibility matters significantly to workers—particularly those who support charitable causes or have complex family structures. For tax-exempt organizations, this change could facilitate planned giving strategies and strengthen relationships with supporters. However, the practical impact depends on how broadly "tax-exempt" is defined and whether insurers have existing concerns about such arrangements.

Potential points of contention

  • Definitional scope: The bill's language around which "tax-exempt organizations" qualify could be ambiguous—does it include only 501(c)(3) nonprofits, or broader categories? This affects implementation and potential abuse risks.
  • Insurer concerns: Insurance companies may have underwriting or administrative objections to non-individual beneficiaries, including verification challenges and claims settlement complications.
  • Donor intent and tax implications: Unclear guidance on how naming a nonprofit as beneficiary interacts with federal tax law and whether it creates unintended consequences for the employee's estate or the organization's tax status.

Compiled from official sources — confirm details with the bill’s official record.

Sign in to ask a question.