Insured’s estate, exclude designated policy proceeds

(1) Where a beneficiary has been designated, the insurance money, from the time of the happening of the event upon which the insurance money becomes payable, does not form part of the estate of the insured and is not subject to the claims of the creditors of the insured. (2) While a designation in favour of a spouse or child of a policyholder or any of them is in effect, the rights and interests of the policyholder in the insurance money and in the contract are exempt from execution or seizure. (3) For the purposes of sub-section (2), “child” has the meaning assigned to it by section 110(3).