# ‘Chosen families’ as well as charities being named as life insurance beneficiaries - Link: https://fundraising.co.uk/2026/03/13/chosen-families-and-charities-named-as-life-insurance-beneficiaries/ - Published: 2026-03-13T07:05:00+00:00 - Author: Howard Lake **Research from Compare the Market reveals that assumptions about inheritance are evolving, as more and Britons choose to name their “chosen family”, rather than blood relatives, and charities as beneficiaries of their life insurance.** A survey of 2,000 people found that * **21%** of Britons would name a friend to receive a life insurance payout, and 20% would name their partner, over any other relative. * **14%** have named a charity or community cause as their beneficiary. The research was undertaken to understand how traditional assumptions around family, inheritance, and financial dependency might be changing. It asked Britons who they were naming as their beneficiaries, and who would be most financially impacted by their death. ## Advertisement [⌊Posthub advert. You create the campaign. We'll handle the postal journey. Get started at post-hub.co.uk.⌉](https://fundraising.co.uk/ads/posthub-20261007-300x250/) The results were announced in **Free Wills Month**. ## Immediate family most financially affected Not surprisingly 46% of those polled said that their immediate family would be most financially affected by their death. At the same time one in seven believed their“ chosen family” (which includes friends who are not blood relatives) would be the most financially affected by their deaths. As a result, **21%** of Britons surveyed named their life-long friend as a life- insurance beneficiary. This suggests people are prioritising life-long friends, mentees and even charities over traditional legal heirs. The most common non-blood beneficiary mentioned in the research was an unmarried partner (21%), followed by a lifelong friend (21%) and **a charity or community cause (14%)**. ## “Responsibility tends to follow love” **Dr Daniel Glazer**, Clinical Psychologist and family dynamic expert, commented on the findings:  “Closeness becomes defined more by how safe and understood a person feels rather than by any shared history or genetics. The families we choose are the ones who see who we really are, and that can be much more emotionally meaningful than prescribed family roles”. He added: “Responsibility tends to follow love. Financial planning, naming beneficiaries, and safeguarding long-term protection all underscore who means most to us. By naming a friend or partner, we are aligning our formal arrangements with the emotional reality of our daily lives. Many legal and financial systems are still set up for narrow definitions of family, so people have to be more intentional about making sure their chosen relationships are protected.” **Emily Barnett**, Life Insurance expert at Compare the Market, commented on the findings, saying: “Life insurance should reflect your real-life dynamics, not just a legal definition of a family tree. Whether it’s a partner you aren’t married to, a close friend, or a cause you care about, your policy should protect the people who matter most to you. “To ensure these nominations are legally binding and your wishes are met, it’s worth considering writing your policy ‘in trust’. A trust is a legal arrangement that allows you to leave assets to your chosen beneficiaries.**^( )**  “Writing your life insurance in trust also means the proceeds from your policy aren’t counted as part of your estate when you die. As such, they won’t be subject to inheritance tax.^( ) “For unmarried couples, who, unlike married couples or those in a civil partnership, aren’t exempt from inheritance tax, writing your insurance policy in trust is a way to financially protect your partner when you die if they are your chosen beneficiary.” ^( ) If you are the policy owner, you can typically change your nominated beneficiary, or beneficiaries, at any point before a claim. However, if your policy is held in a trust, such as an ‘absolute trust’, these choices may be fixed, so it is important to check your specific policy terms. The survey of 2,000 adults was conducted between 20 and 22 January 2026 by Censuswide. * **[Life insurance company raises £1 million in one year for Macmillan](https://fundraising.co.uk/2004/01/23/life-insurance-company-raises-1-million-one-year-macmillan/)( 23 January 2004) * **[Aviva becomes first pensions insurance provider to join dormant assets scheme](https://fundraising.co.uk/2023/06/05/aviva-becomes-first-pensions-insurance-provider-to-join-dormant-assets-scheme/)( 5 June 2023) * **[Insurance company offers €1 million to community projects in Ireland](https://fundraising.co.uk/2016/04/07/insurance-company-offers-e1m-community-projects-ireland/)( 7 April 2016)**