Question
When is a person entitled to intrest for a life insurance claim?
My Grandmother had a small policy ($10,000) with Globe life insurance company. She died on January 27, 2003 and claim was sent in on Febuary 13th (had to wait for certified death certificate) They et to hold it for 7-14 days before "keying it in" or marking it as recieved. They marked it recieved on March 3. The check was cut March 14, 2003 and then it was held for another week and mailed out March 27th, 2003. I recieved it on March 31, 2003 - But they printed my madien name on the check. When I called to confirm myself as the benificary I checked that the name was my married name and when I sent in all claim information it was filled out with my married name and signed with my married name - yet they claim the policy lists my madien name. So now I have to send the check back to them and wait all over again for them to cut and send a new check! I am entitled to intrest at any point in time?
Thank you!
Sara
Answer
"I am entitled to intrest at any point in time?"
*** No.
Answer
Perhaps.....depends on the state.
Answer
I did not enter a state because I did not know which state would apply. The policy was originally taken out in IL, but my grandmother lived in FL and I live in KY... My guess is that the state where it was originally taken out from would be the state which the laws would apply, but the company is a national company.
Answer
I believe that the insurance laws in the state of residence would prevail.
Florida
627.613 Time of payment of claims.--
(4) An insurer shall pay or deny any claim no later than 120 days after receiving the claim.
(1) All overdue payments shall bear simple interest at the rate of 10 percent per year.