How You Can File a Life Insurance Claim

How You Can File a Life Insurance Claim

Filing a life insurance claim is something you hope you never actually have to do, but when life throws a curve ball at us, it’s always best to be prepared for the worst. 

A life insurance policy provides financially for an individual, group of people, or a business when a wage earner, key person, or business owner passes away. A personal life insurance policy can cover things like funeral costs, mortgage payments, the cost of raising children and their mind-blowingly high cost of college tuition.  The use of money paid by the life insurance policy is generally not restricted to specific uses.  Some spouses are wise enough to take out an insurance policy so that their partner doesn’t have to suffer a financial crisis if they die and their income is suddenly taken out of the equation. Here are the steps in which you can file a life insurance claim and get everything taken care of as quickly as possible.

1) Calling your insurance agent is likely the easiest way for you to file this claim. They will help you act as an intermediary with the insurance company.

2) Submit the official death certificate from the funeral director with the policy claim. Once the claim is submitted, a settlement should be issued to you shortly. But it’s up to you to determine how the proceeds will be distributed:

  • Life income option: You receive a guaranteed income for life. The amount of income depends on the death benefit, your gender, and your age at the time of the insured’s death.
  • Lump sum: You receive the entire death benefit in a single amount.
  • Interest income option: The company holds the proceeds and pays you interest on them. The death benefit remains intact and will go to a secondary beneficiary upon your death.
  • Specific income provision: The company pays you in both principal and interest on a predetermined schedule.

The best way to find a life insurance policy that will best suit your needs is to work with the right insurance agent. Contact the professionals at Lou Aggetta Insurance Agency in Pleasant Hill, California. We will work with you to make sure you have the protection you deserve, all at the right price.