How to Ensure Your Life Insurance Benefit Will be Paid
Nobody wants to deal with the fact that we pass away at some point, and most of us would rather stick our heads in the sand when it comes to death.The fact is that we have to deal with death, whether we like it or not, especially for the sake of the ones we leave behind.Insurance is no doubt most important and unavoidable and as we start earning, the first thought that strikes our minds is to get a life insurance.It can be effectively incorporated into your portfolio if you know and understand how the death benefits for the same will be paid.Even if you are a stay-at-home-mom who doesn’t provide an income, you will still leave a major financial gap should you pass away as you run the household and take care of all the domestic aspects of the family.
On an average, life insurance benefits are paid when the insured person has died.Very few instances occur when the company takes more than sixty days to claim the benefit after the death of the insured, subject to their requirements and needs to confirm the claim.The beneficiary should know that not all claims are handled quickly or immediately and take a while to be processed.Most life insurance companies require an original death certificate instead of a copy.Seek advice on pre-death benefits and deceased beneficiary payouts and these can be clarified by your insurance company or the agent that deals with your life insurance policy.
Take out life insrance while you are healthy and young
By doing this will save you substantially compared to taking out life insurance when you’re older and have dependants.
Compare as many options as possible
Do some online-research to compare various life insurance cover packages and narrow down your options.
You shoud not be under insured
Do your calculations and determine how much money your beneficiaries would need.
Beware cheap policies
Remember that saving a little bit on premiums every year by taking out life cover at a risky insurance company may not work to your advantage in the long run, come crunch time.
Stick to the facts
Health problems that you have managed to conceal initially may come to light at a later stage, resulting in non-payment or expensive court battles for your family members.
Ask yourself these questions:
What would happen to your loved ones if you died tomorrow?What does your investment portfolio look like?Would they be able to afford to pay for your funeral, your debts and your medical bills?They should answer all your questions.
One of the most important aspects of getting the claims is to reach out to your agent as well as the life insurance company immediately.