California Code of Regulations
Title 10 - Investment
Chapter 5 - Insurance Commissioner
Subchapter 2 - Policy Forms and Other Documents
Article 6.5 - Unemployment Compensation Disability Policies
Subarticle 4 - Form-Optional Provisions
Section 2245.5 - Facility of Payment

At the option of the insurer, any U. C. D. policy may contain a facility of payment provisions relative to the payment of benefits to persons other than the individual employee insured out of whose disability the insurer's liability for benefit arises, but any such provision shall be in the following form only or in the substance thereof. In the blank space an amount not exceeding $1,000 shall be inserted.

"All benefits shall be paid to the insured employee, except that (in event the insurer determines that he is incompetent or incapable of executing a valid receipt, the insurer may, during his lifetime, unless claim has been made by a duly appointed guardian or committee, pay any amount otherwise payable to the insured employee to the husband or wife or relative by blood of the insured employee, or to any other person or institution determined by the insurer to be equitably entitled thereto; or) in case of the death of the insured employee before all amounts payable under the policy have been paid, the insurer may pay any such amount to an aggregate of $__________to any person or institution determined by the insurer to be equitably entitled thereto. Any payment in accordance with this provision shall discharge the obligation of the insurer hereunder to the extent of such payment."