D is the policy owner and insured for a $50,000 life insurance policy. If D dies without making any further changes after transferring ownership of his policy to his new wife, to whom will the policy proceeds be paid?

In this scenario, the key element lies in the ownership and beneficiary designations of the life insurance policy. When the ownership of a life insurance policy is transferred, the new owner assumes control over the policy, including the right to name beneficiaries.

If D transferred ownership of the policy to his new wife, she would typically be the policy owner, which means she can decide who ultimately receives the benefits upon D's death. However, it is essential to consider whether the beneficiary designation on the policy was updated to reflect the new ownership and intent. If the beneficiary remains as an ex-wife or is not changed, the insurance proceeds would be paid to the designated beneficiary at the time of death, which in this case, would be D's ex-wife.

If no beneficiary changes were made after the ownership transfer, the policy proceeds would not automatically go to the new wife; rather, they would flow to the beneficiary previously named on the policy, which is presumably the ex-wife. Therefore, it's crucial for policy owners to update beneficiary designations following any significant life changes, such as transferring ownership or marital status, to ensure that benefits are distributed according to their current wishes.