Filing a life insurance claim is never a pleasant experience, but a little bit of preparation can make the experience much easier.
One of the most important preparations is to obtain several copies of the death certificate for the life insurance policyholder. This will make it easier to fill out the paperwork and get the process underway - the insurance company will require this from you.
Once those documents are in hand the next step is to contact the life insurance agent and inform them of the death of the insured person.
The insurance agent can help the family members fill out the required paperwork and get the life insurance benefits they deserve. The insurance agent can also help those family members determine which type of payment is the most appropriate - lump sum or some other option that may be available.
Some policies will provide beneficiaries with a choice of payments – including lump sum payments and regular monthly payments, or a checking account which you can write checks from as you wish.
Here is a glossary of life insurance terms to asset you in learning more about life insurance coverage and how it works.