A new Idaho law aims to make sure that life insurance beneficiaries receive payments after policy holders die.
Since July 1, insurers have been required to check a list of their life insurance policy holders against a “death master file” at least twice each year, according to the Idaho Department of Insurance. If companies find a match, they are required to complete a good-faith effort to confirm the death, determine if benefits are due and to contact and assist beneficiaries within 90 days.
If beneficiaries are not located, assets will be transferred to state unclaimed property rolls.
Beneficiaries are not always aware they are due to receive benefits, Dean Cameron, insurance director, said in a news release.
“Have a conversation with your loved ones,” he said. “Be responsible about keeping your beneficiaries up to date on policy and contact information.”
Nearly two dozen states have similar laws requiring companies to search for beneficiaries.