Well in any event, he won’t collect a dime if he killed her. What happens first is, the insurance company stalls the payment of the policy because she isn’t known to be dead. Then when it appears that the beneficiary may have actually caused the death of the person on whom the policy was taken, they don’t pay it out at all. The only thing I am not certain about is if the policy ever ends up being paid out to the children; they may not be listed as beneficiaries, and I’m not sure they can skip FD, and hand the money over to some kind of trust for the kids.