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Hi, I'm Heather, an attorney with 15 years experience and I'd like to assist you with your question for informational purposes. What a difficult situation for you. I'm so sorry to hear about this.
Normally life insurance policies can be changed and modified by the insured. This means, that your dad is free to change the beneficiary as he sees fit. This is probably not what you wanted to hear, but it would not do you any good for me to give you anything less than an honest answer.
Sometimes, however, people can establish trusts that are irrevocable. There are strict requirements for irrevocable trusts, and the fact that they are irrevocable must be specifically stated. I'm sure that if your father's concern is, as you say, to keep the life insurance money from potential creditors, since you are being sued, then he should have no problem setting up an irrevocable spend thrift trust, which is a trust that creditors cannot trust. Spend thrift trusts are normally set up when the beneficiary is someone who wastes their money, and the trust prevents or minimizes waste, but they can also be set up when there is a danger of creditors who might attempt to take property away from the beneficiary (which sounds like the case in your situation, since you are being sued and may have to pay some type of restitution). See http://lewislawoftrusts.lawbooks.cali.org/chapter/spendthrift-trusts-and-creditors/ for more information on spend thrift trusts. I hope this has helped and given you some ideas. Best of luck.
The simple way is for your dad to just put your name on the life insurance policy. If he is afraid to do that, but he wants you to get the money, or at least part of it, he is going to have to set up a trust, or - - - - you are stuck putting your "trust" in what he has set up. (Sorry for the pun - I couldn't help myself.) I know it's a really tough spot for you.
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