Short Answer

In North Carolina, if a life insurance policy has no named beneficiary and the insurer pays the proceeds to the estate, those funds are probate assets that must be listed in the inventory and accounted for. As a surviving spouse and heir, you can file an estate proceeding with the Clerk of Superior Court to compel an amended inventory and a full accounting, and to order distribution of your intestate share. If the personal representative refuses, the clerk can order compliance, remove the representative, or impose other remedies.

Understanding the Problem

You are the surviving spouse in North Carolina. Your spouse’s employer policy had no beneficiary, the insurer paid the proceeds to the estate, and the probate inventory filed by the personal representative (your spouse’s parents opened the estate) omits those funds. You want to know how you can make the Clerk of Superior Court require those proceeds to be listed, accounted for, and distributed so you receive your share.

Apply the Law

Under North Carolina law, life insurance proceeds with no named beneficiary that are paid to the estate are probate assets. They must appear on the inventory filed with the clerk and be included in accountings. The Clerk of Superior Court oversees estate administration and can compel inventories, accountings, and corrections, and can remove a personal representative who fails to perform duties. When someone dies without a will, the surviving spouse takes a statutory share of probate assets. The inventory is generally due within three months of qualification, and when the clerk orders an accounting, the personal representative must comply within a short, specified period.

Key Requirements

• Proceeds are probate assets: If no beneficiary is named and the insurer pays the policy to the estate, the funds belong to the probate estate and must be inventoried and accounted for.
• Standing as an heir: A surviving spouse is an interested party with the right to seek relief before the Clerk of Superior Court to protect their share.
• Inventory and accounting duties: The personal representative must file an inventory within about three months of qualification and must provide full, satisfactory accountings when ordered.
• Clerk’s enforcement powers: The clerk may order an amended inventory, compel an accounting, examine persons holding estate property, and remove or sanction a noncompliant personal representative.
• Intestate share: If there is no will and no children, but a parent survives, the spouse generally receives the first $100,000 of personal property, one-half of the remaining personal property, and one-half of the real property.

What the Statutes Say

• North Carolina Gen. Stat. § 28A-20-1 (Inventory within three months) – Requires a detailed inventory of all estate property received by the personal representative.
• North Carolina Gen. Stat. § 28A-21-4 (Order to render accounting) – Allows the clerk or an interested party to compel a full and satisfactory account within a set time.
• North Carolina Gen. Stat. § 28A-15-12 (Actions to recover estate property; examination) – Authorizes proceedings to examine persons holding estate assets and to recover property for the estate.
• North Carolina Gen. Stat. § 29-14 (Surviving spouse’s intestate share) – Sets the spouse’s share when there is no will.

Analysis

Apply the Rule to the Facts: Because the employer policy had no beneficiary and the insurer paid the proceeds to the estate, those funds are probate assets that belong on the inventory and in accountings. As a surviving spouse and heir, you have standing to ask the clerk to compel an amended inventory and a full accounting of the insurance proceeds, and to direct distribution of your intestate share. The clerk can order compliance, examine the personal representative about the funds, and, if necessary, remove the representative for failure to perform.

Process & Timing

1. Who files: You, as the surviving spouse (interested party). Where: Clerk of Superior Court in the county where the estate is pending. What: An estate petition to compel amended inventory and accounting, and to examine persons holding estate property; request issuance of an Estate Proceeding Summons (AOC‑E‑102). Reference that the personal representative must use Inventory for Decedent’s Estate (AOC‑E‑505). When: The inventory is due within three months of qualification; move promptly once the omission is discovered.
2. Ask the clerk to order a full accounting of the estate funds, specifically identifying the insurance proceeds. Upon service of the clerk’s order, the personal representative must file a full and satisfactory account, typically within 20 days.
3. If noncompliance persists, request additional relief: an order to appear and show cause, examination of the personal representative regarding the proceeds, recovery orders, or removal and appointment of a successor. Final outcome is an amended inventory, an approved accounting reflecting the proceeds, and court‑directed distribution of your share.

Exceptions & Pitfalls

• Do not confuse wrongful death proceeds with insurance proceeds payable to the estate; wrongful death recoveries are not estate assets and follow different rules.
• Some policies direct proceeds to “heirs” if no beneficiary is named; verify the policy terms. In your facts, the insurer paid the estate, which makes the funds probate assets.
• If a final account is filed and you are formally served with notice, failure to object by the deadline can limit challenges. Act quickly.
• Service and notice matter. Use proper Rule 4 service of the estate proceeding summons to avoid delays and enforcement issues.

Talk to a Probate Attorney

If you’re dealing with missing life insurance proceeds in a North Carolina estate inventory, our firm has experienced attorneys who can help you understand your options and timelines. Call us today at [919-341-7055].

Disclaimer: This article provides general information about North Carolina law based on the single question stated above. It is not legal advice for your specific situation and does not create an attorney-client relationship. Laws, procedures, and local practice can change and may vary by county. If you have a deadline, act promptly and speak with a licensed North Carolina attorney.