Changing Beneficiaries After Divorce in Wyoming

Wyoming has a law that's supposed to protect you — Wyo. Stat. § 2-6-125 automatically revokes your ex-spouse's rights to inherit through your will, trusts, payable-on-death accounts, and other revocable instruments the moment your divorce decree is entered. It even strips their authority to serve as your executor, trustee, healthcare agent, or power of attorney.

On paper, that sounds like the law handles everything. In practice, there's a critical gap that could send your retirement savings straight to your ex.

What Wyo. Stat. § 2-6-125 Actually Does

When your divorce is finalized, the statute automatically:

• Revokes any revocable disposition or appointment of property to your former spouse in wills, revocable trusts, and POD/TOD accounts
• Revokes similar dispositions to your ex-spouse's relatives who aren't related to you by blood, adoption, or affinity
• Strips your ex-spouse of any fiduciary role — executor, trustee, guardian, healthcare proxy, power of attorney
• Severs joint tenancy with right of survivorship into tenancy in common

The statute treats your former spouse as if they disclaimed their interest or predeceased you. If you later remarry each other, the revoked provisions are automatically revived unless you've signed a written agreement saying otherwise.

The ERISA Exception: Where the Law Doesn't Protect You

Here's the problem. Federal law completely preempts Wyo. Stat. § 2-6-125 for employer-sponsored retirement plans and group life insurance governed by ERISA (the Employee Retirement Income Security Act).

For these accounts, the plan administrator is legally required to pay benefits to whoever is named on the plan's beneficiary designation form — regardless of your divorce decree, regardless of state law.

If you die with your ex-spouse still listed as the beneficiary on your employer's 401(k) or group life policy, the plan administrator must — by federal law — pay them. Your family can't challenge it, and your divorce decree doesn't override it.

What to Do Right Now

Start with the mandatory accounts. Contact your employer's HR department and request new beneficiary designation forms for your 401(k), pension, and group life insurance. Name your new beneficiaries and submit the forms. Keep copies.

Then update everything else. Even though state law technically handles revocation for non-ERISA accounts, proactive updates prevent processing delays. Life insurance companies may still pay an ex-spouse if they haven't received written notice of the divorce — Wyo. Stat. § 2-6-125 protects the payor from liability for payments made before they're notified of the status change.

Work through these:

• Individual life insurance policies
• IRAs and Roth IRAs
• Brokerage and investment accounts (TOD registrations)
• Bank accounts with POD designations
• Annuities
• HSA and FSA beneficiaries

Don't Forget Contingent Beneficiaries

If your ex was your primary beneficiary, check who's listed as the contingent. If it's "estate of the insured" or another default, you'll want to name a specific person — otherwise the asset goes through probate.

Also review any trust documents. If you created a revocable living trust during the marriage, the automatic revocation under § 2-6-125 applies, but an explicit amendment is cleaner and prevents any ambiguity.

The Wyoming After-Divorce Checklist includes a beneficiary audit worksheet that lists every account type, whether manual updates are mandatory or recommended, and tracks your progress through each one.

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