If the primary benefiaciary of an insured policy diesprior to the death of the insured and no contigent beneficiary has been named,should the insurer be allowed to keep the death benefits? If not
2007-11-21 01:30:18 · 6 answers · asked by rainee 1 in Business & Finance ➔ Insurance
No, it normally goes to the estate of the deceased.
Once the insurer knows the person is deceased (aka, the claim is filed), they have to pay out. This is CONTRACT LAW.
2007-11-21 01:55:13 · answer #1 · answered by Anonymous 7 · 0⤊ 0⤋
The person being insured should contact the insurance company and change the name of the beneficiary of his policy. If the original beneficiary has died then the terms/conditions are altered so there should be provision for an alternative beneficiary on the policy.
2007-11-21 09:38:08 · answer #2 · answered by chris n 7 · 0⤊ 0⤋
The policy owner needs to contact their insurer and request a Beneficiary Change Form for a new assignation. They may want to check the insurers website as many have policy forms available for immediate download.
2007-11-21 11:30:58 · answer #3 · answered by kittie_in_ca 3 · 0⤊ 0⤋
The OWNER of the policy can name a new beneficiary. If he/she doesn't name a new beneficiary, the death benefit will be paid to the estate which is usually not a good way to settle it.
2007-11-21 10:24:51 · answer #4 · answered by J. B 3 · 0⤊ 0⤋
If there is no living primary or alternate beneficiary, the death benefits will probably be paid to the deceased person's estate and thus have to be probated.
2007-11-21 09:52:02 · answer #5 · answered by npk 7 · 0⤊ 0⤋
In that case, insurance company will pay the claim to the person having nearest blood relation.
2007-11-24 10:11:21 · answer #6 · answered by Yours Me 3 · 0⤊ 0⤋