Matilda Ledger will be receiving her dad’s Oscar award when she turns 18, but the pretty 3-year-old has been given something better – a private life.

Last month, the life insurance company finally paid out its policy on Heath Ledger and an L.A. judge agreed to keep the details of Matilda’a trust sealed.

L.A. judge Luis Lavin said, “She is not a celebrity. She is a minor child.” Lavin agreed to lawyers’ requests that details of the settlement remain confidential, adding that Matilda had “a right to privacy.”

The late Heath Ledger took out a $10 million life insurance policy 7 months before his death. Although coroner’s ruled the actor’s death as accidental, the Minnesota-based ReliaStar Life Insurance Co. had refused to shell out, claiming that the actor committed suicide, thereby voiding his policy. Yesterday, however, the insurance company decided to change its decision and a settlement has been reached.

“We think it’s great that she will be protected,” Levy said.

I’m pretty sure Matilda’s mom Michelle Williams is more than happy that her baby’s privacy is being protected. Michelle has always been openly saying that she doesn’t want her child to grow up in the limelights, even saying that if it’s possible, she wants Matilda to become a doctor.

When Heath Ledger died earlier this year, his ex-wife Michelle Williams stayed away as possible from the limelight. With two films to promote – ‘Wendy and Lucy’ and ‘Synecdoche, New York’, Williams started talking about her private life.

Williams opens up about living under a microscope while coping with Heath Ledger’s death, explaining how she feels about an exposed life, “It’s such a funny line to walk as an actor. There’s some great quote I think Dustin Hoffman gave when he was doing ‘The Graduate’: ‘The more you know about me, the harder my job is’.”

When asked about how she’s handling Heath’s death, Williams explained, “It’s so sad. I guess it’s always changing. What else can I say? I just wake up each day in a slightly different place—grief is like a moving river, so that’s what I mean by ‘it’s always changing’. It’s a strange thing to say because I’m at heart an optimistic person, but I would say in some ways it just gets worse. It’s just that the more time that passes, the more you miss someone. In some ways it gets worse. That’s what I would say.”

The interview seemed hard for Michelle Williams, especially since it has been the first time she’s talked about how she felt about her life this past year.

Check out some pictures of Michelle Williams from both her films…