When it Comes Time to File a Claim

What good is life insurance if the people you love cannot cash in on it when you pass away. That is the very time that you have had coverage for and you need to make sure that it all works out. Your loved one will need to know how to file a claim. This will ensure that they properly get the money that they have been left behind. Read through the following information and make sure that your loved ones read through it as well. If they do not know how to file the claim then they might be wasting money. You need to make sure that this is something that is not going to happen after all your hard work.

Getting the Process Going

The first thing that you will need to do when you go to file a claim is get some copies of the death certificate. This will be a needed item. You also need to be in contact with your agent because they will help you fill out the proper forms. The reason you contact the agent is because the process can go quicker. If you do not know who the agent is then just contact the company. Whenever you fill out the forms you will need to submit that and your death certificate. All these forms should not take long to process so make sure that you are staying on them. Do not let them get away from you.

Options of Payment

There are a few ways that you can receive payment, so know which meets your needs better. If you want a lump sum then you will get the entire amount of money at one time. There is an option for you to receive your funds, plus interest on a scheduled basis. This is called a specific income provision. A life income option means that you get income for the remainder of your lifespan. The amount depends on the benefit you get, your gender, your age, and other factor’s at the time of death of the insured. The company could also hold the money and pay you interest on it. The original settlement remains in tact and while go to a second beneficiary upon the death of the first beneficiary. This is called an interest income option.

Now Might Be a Good Time to Revisit Your Plan

Now that you know a little bit more about filing a life insurance claim, you might want to revisit your own plan. Does your plan make it easy for your loved ones to file a claim? You also might want to change the coverage. Either way, make sure that everything that is being offered to your loved ones will be beneficial and they will be able to take advantage of it. Also revisit your plan from time to time, because that will help make sure that everything is alright. You want to put them in a position to succeed when you are no longer around.