In Beneficiary Succession, which term refers to the third person in line?

In Beneficiary Succession, which term refers to the third person in line?

• A. Primary
• B. Contingent
• C. Tertiary
• D. Quaternary

Answer: (C)

In beneficiary designations, there’s an ordered list that decides who gets the proceeds if the person first in line isn’t able to receive them. The first in line is the primary beneficiary. The next person in line is the contingent beneficiary, who gets the proceeds if the primary can’t receive them. The third person in line—the one who would receive if both the primary and the contingent can’t receive—is the tertiary beneficiary. So the term for the third in line is tertiary. For contrast, the primary is the first, the contingent is the second, and the fourth in line would be the quaternary. Example: if Alex is primary, Morgan is contingent, and Jordan is tertiary, then Alex would receive first; if Alex can’t receive, Morgan would receive; if both cannot receive, Jordan would receive.

In beneficiary designations, there’s an ordered list that decides who gets the proceeds if the person first in line isn’t able to receive them. The first in line is the primary beneficiary. The next person in line is the contingent beneficiary, who gets the proceeds if the primary can’t receive them. The third person in line—the one who would receive if both the primary and the contingent can’t receive—is the tertiary beneficiary. So the term for the third in line is tertiary. For contrast, the primary is the first, the contingent is the second, and the fourth in line would be the quaternary. Example: if Alex is primary, Morgan is contingent, and Jordan is tertiary, then Alex would receive first; if Alex can’t receive, Morgan would receive; if both cannot receive, Jordan would receive.