-If the beneficiary murders the insured person, the person who committed the murder would not get the payout (again this is due to the slayer rule, which treats the murderer as having died before the murdered person for estate purposes)

-If the insured individual dies while doing something illegal. So if he had killed himself after killing his wife, *his* policy would not pay out. His wife's still would because she did nothing illegal.

-Suicide within x time frame (usually 2 years) of purchasing the policy, varies by policy.

-deaths due to war/terrorist attacks can also be excluded depending on the policy

But since in this case the wife/kids were not doing anything illegal, they would not be punished for the sins of their father at least from an insurance perspective.