Vermont § 3708 - Group insurance

§ 3708. Group insurance

• (a) A policy of group life insurance or group disability insurance or the proceeds thereof
  payable to the individual insured or to the beneficiary thereunder, shall not be liable,
  either before or after payment, to be applied by any process to pay any debt or liability
  of such insured individual or his or her beneficiary or of any other person having
  a right under the policy. The proceeds thereof, when not made payable to a named
  beneficiary or to a third person pursuant to a facility-of-payment clause, shall not
  constitute a part of the estate of the individual insured for the payment of his or
  her debts. (b) This section shall not apply to group insurance issued to a creditor covering his
  or her debtors, to the extent that such proceeds are applied to payment of the obligation
  for the purpose of which the insurance was so issued. (Added 1967, No. 344 (Adj. Sess.), § 1 (ch. 2, subch. 1, § 8).)