Jessica Simpson's parents are splitting the baby in their divorce ... going halfsies on Jessica's massive life insurance policy.
TMZ has obtained the legal docs outlining the terms of Joe and Tina Simpson's divorce -- and Jessica's life insurance policy is just the tip of the iceberg.
Joe and Tina have also agreed to split their interest in Jessica and Ashlee's management fees ... a huge number in itself.
As for the couple's remaining division of property ... here's the breakdown:
Joe gets half of their Sherman Oaks house, all his personal effects and bank accounts, the 2012 Mercedes SLS and 2011 Mercedes S63, and a bunch of stocks ... including Twitter. He also gets $237,285 in an escrow account from the sale of their other L.A. home.
Tina gets the house in Waco, TX, over ten bank accounts, a 2010 Range Rover Sport, 2011 Porsche 997 coupe, and other stuff.
TMZ broke the story ... Joe and Tina's divorce was just finalized after 34 years of marriage.