Can Debt Collectors Take Life Insurance Money? 
If the debts belong to the person who passed away , and if the beneficiary on his/her policy is the estate , then the debt collectors will go after the life insurance proceeds to pay off the deceased person 's outstanding debts . If the beneficiary of the deceased person 's policy is a person , debt collectors can not go after the insurance proceeds unless the beneficiary was a co-signer of the debt along with the deceased person . If it is the beneficiary who has the debts , then the life insurance proceeds received will be fair game for debt collectors . 