[E093]

exculpatory statute

In a community property state, both spouses jointly own all property acquired during the marriage. However, a life insurance policy (property) may be established by one spouse without the other knowing, with a beneficiary who may not be the spouse. An exculpatory statute allows the insurer to pay the proceeds from the policy as the policy directs without being obligated to also pay the surviving spouse what should have been his/hers as it relates to their community property.