A settlement agreement may also contain a provision that when a spouse remarries, when the children reach adulthood, the policy may be terminated. How you handle life insurance requirements is determined by your current and future life insurance needs, as well as the affordability of policy retention. Suppose, for example, that you and your spouse each have high-risk life insurance and choose to maintain the policies. You can choose to be both the owner and beneficiary of the other person`s policy. .