Are you absolutely sure that, in the event of a sudden death, you will receive the benefits of your spouse’s life insurance?
When a policyholder with life insurance dies, there are many circumstances that can make their partner unable to collect the life insurance benefits. When a spouse applies to receive these benefits, there are a large variety of reasons as to why you could be denied, and unless you get lucky and raise enough attention to the issue that the company accedes, these benefits can be lost forever.
So how to avoid this situation and get your benefits with no hiccups or stress? The following are some useful tips for ensuring that your spouse gets life insurance benefits without any problems;
- Ask Questions
When you are not sure about something, it is always advisable to ask questions for clarity. On the other hand, policyholders are also expected to be honest when responding to questions or providing any information. Life insurance companies can deny you benefits based on incomplete or inaccurate information, turning you down for not reporting even minor ailments or medical conditions that could have nothing to do with your or your partner’s death.
- Ask for Temporary Cover During the Underwriting Process
Death can occur before the policy becomes operational and that is why there is a need for temporary cover. Otherwise, you cannot go to claim life insurance benefits before the underwriting process has been finalized. Arranging temporary cover during underwriting requires you to pay premiums, which will be refunded when the policy kicks in.
- Keep Notes
When having a conversation with representatives of a life insurance company, it is advisable to keep notes of everything you discuss, even the minor details that you wouldn’t think you need to keep track of. If nothing else, your notes should include dates and names of the life insurance agent serving you. Such information or documents come in handy as evidence in instances of denial. Your agent should provide you with a copy of all the interview statements during the application process.
- Read Guides before Purchasing a Policy
Bodies such as the National Association of Insurance Commissioners and the American Council of Life Insurers have some useful guides that one should look at before purchasing a life insurance policy.
- List a Secondary Address
Your policy should have a secondary address as this ensures that you receive reminders when you forget to your premiums. This typically happens when you change banks or move to a new neighborhood.
