A fair few life insurance policies are left forgotten about or unclaimed each year. Forgetting to tell your relatives about your policy could result in your life insurance money not being paid out. We've put together some useful information to help make your family aware of your life insurance A plan.
Let your family know about your life insurance policy
Don't leave your family in a situation where they are left scrambling around trying to find your policy document at a sensitive time. Give yourself some peace of mind by telling them what type of life insurance policy you have, who it's with and where you've stored it. Be organised and put the policy information in a folder with other important documents. You could even make duplicate copies to be extra safe.
It may be helpful to look at your life insurer's claims procedure. Be aware though that procedures can change over time. Most companies will require the insurance policy document, a death certificate and will ask your representative (the person making the claim) to complete a claims form. Depending on the size of the estate, they may require your representative to go through probate (or confirmation in Scotland).
The Association of British Insurers has developed a best practice guide on a new claims process to try and speed the claims process up. Your representative should ask the insurance company if they can apply this new process. Visit the ABI website to find out more.
Life insurance isn't something you want to spend lots of time thinking about, but being prepared and telling your family about what they need to do and where they need to go can help to relieve some of the stress at a difficult time.
Note: Whilst we take care to ensure Hub content is accurate at the time of publication, individual circumstances can differ so please don’t rely on it when making financial decisions. OneFamily do not provide advice so it may be worth speaking to an independent financial advisor about your own circumstances.