When grieving the loss of a loved one, practical matters like making a life insurance claim can be difficult to handle. That’s why it’s important to be well-informed on the claims process ahead of time. Learn more about what to do in the guide below. 

Life Insurance Claim FAQ

How do you make a claim?

The first step is to contact the insurance company responsible for issuing a claim. When making the call, have a copy of the policy handy. You’ll also need to send them a copy of the death certificate and fill out a claim form. 

How long does it take for benefits to be paid?

While the timeline may vary, you can expect to receive death benefits about 30 to 60 days after filing the claim. If the insurer requests additional documents, that will add to the time frame.

Why would a claim be delayed?

The cause of death might delay the distribution of benefits. This usually occurs when the case involves homicide, which requires an exhaustive investigation. New policyholders may also be delayed for up to a year. Many policies have a clause that states people who die within a few years of taking out insurance can be investigated for fraud. When delays happen, keep in touch with your insurance agent about what’s happening and when it will be resolved. 

How will you receive a payout?

Installment payments are provided to beneficiaries based on a predetermined schedule. You can also choose an annuity option, which pays out over the recipient’s lifetime. Lump sum payments are the most common. 

Mutual Underwriters of Honolulu strives to make the life insurance claims process as smooth as possible for their clients. They offer universal whole, term, and variable life policies so you can find coverage suitable for your situation. They also provide disability plans and long-term care insurance. Schedule a consultation today by calling (808) 532-2888. You can also learn more about their life insurance options on the website.