Probate
The court process that validates a will and authorizes an estate to be settled, which can delay and cost money.
Last reviewed July 28, 2026
Reviewed for accuracy and clarity by Sandeep Singh before publication. Learn about our editorial process.
What it means
Probate is the legal process of confirming a will is valid and giving the executor authority to administer the estate. It typically involves court fees (based on the estate's value in most provinces) and can take months, during which assets going through the estate may be tied up.
Why it matters
A life insurance payout with a named beneficiary generally bypasses probate entirely, going directly to that person — one of the more overlooked reasons beneficiary designations matter beyond just 'who gets the money.'
Common misunderstandings
- Naming your estate as the beneficiary (instead of a person) sends the payout through probate — usually the opposite of what people intend when they skip naming someone directly.
- Probate isn't unique to large estates — even modest estates can go through it if a will exists and assets aren't otherwise structured to avoid it.
Where you'll see it
In estate planning conversations, and as a reason advisors recommend naming a direct beneficiary on insurance and registered accounts.
Related terms
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