Inheritance of a One-Time Death Benefit in Ukraine

A One-Time Death Benefit (hereinafter referred to as the "Benefit") is a state-guaranteed payment provided under the Law of Ukraine "On Social and Legal Protection of Servicemembers and Members of Their Families." From a legal perspective, this payment is neither part of the deceased person's estate nor a conventional insurance benefit. Instead, it is a special social guarantee granted by the State in specific circumstances, such as the death of a servicemember. The occurrence of such an event gives eligible persons the right to receive this financial assistance.

Article 16-1 of the Law of Ukraine "On Social and Legal Protection of Servicemembers and Members of Their Families" establishes an exhaustive list of persons entitled to receive the Benefit. These include the surviving spouse, parents, minor children, and individuals who were financially dependent on the deceased servicemember.

At first glance, the Civil Code of Ukraine appears to create grounds for inheriting a One-Time Death Benefit. Under Article 1227 of the Civil Code of Ukraine, social payments that were due to a deceased person but were not actually received during their lifetime because of death are transferred to the deceased's family members or to persons who lived together with the deceased. However, this provision applies only if the competent authority had already issued a decision awarding the relevant payment before the person's death. This distinction is crucial when determining whether the Benefit may be inherited.

It is equally important to note that Article 1219 of the Civil Code of Ukraine expressly excludes from the estate any rights and obligations that are inseparably connected with the deceased person's identity, including the right to receive state benefits and other social payments established by law. Accordingly, the right to be awarded a One-Time Death Benefit is a personal right that cannot be inherited. By contrast, the right to receive an amount that has already been awarded constitutes a property right and may form part of the deceased's estate.

This legal approach is consistently reflected in the case law of the Supreme Court of Ukraine. In its judgment of 28 March 2025 in case No. 160/4344/24, the Supreme Court reaffirmed this position by dismissing the cassation appeal filed by the sister of a deceased servicemember. In that case, the servicemember's father had applied for the One-Time Death Benefit but died before the competent authority made its decision. Subsequently, the deceased father's daughter applied to the Ministry of Defence of Ukraine seeking payment of the Benefit through inheritance.

The Supreme Court held that the right to inherit a One-Time Death Benefit arises only if the payment had already been awarded during the deceased beneficiary's lifetime or had been granted by a final and legally binding court judgment. The right to obtain the initial award of the Benefit, if not exercised during the beneficiary's lifetime, remains a personal right that does not pass to heirs.

The Court also noted that the deceased servicemember's sister did not belong to the statutory category of persons entitled to receive the Benefit following the servicemember's death. Accordingly, her claims could not be satisfied.

Another important issue is determining who is legally entitled to receive the Benefit. It is essential to distinguish between inheriting a One-Time Death Benefit and having the original statutory right to receive it. Ukrainian law establishes an exhaustive list of persons eligible to receive this payment following the death of a servicemember. If one of those eligible persons dies after submitting an application but before the Benefit is formally awarded, that person's share is redistributed among the remaining eligible beneficiaries. However, if an eligible beneficiary submitted an application, received a positive decision, but died before the payment was actually made, the awarded amount becomes part of that person's property rights. In such circumstances, the unpaid but awarded Benefit may be inherited by the deceased beneficiary's heirs in accordance with the Civil Code of Ukraine.

If you have any questions regarding the inheritance of a One-Time Death Benefit or other inheritance matters, please contact our inheritance lawyer for professional legal assistance.