How Long After Filing a Life Insurance Claim Do You Receive Payment?

Having filed a life insurance claim is no doubt an emotional affair. This means you have just lost someone important to you. And while you grieve, you have to worry about all the bureaucratic processes at the same time. If you have already made sure that you have filed the claim properly and you haven’t been contacted yet, you might be wondering how long it takes before you receive the payment promised by the insurance company.

The amount of time that it takes for an insurance company to remit the money to the beneficiary or beneficiaries varies. The general practice in most states is that insurance companies are given 30 days to investigate, approve or deny the claim that was filed. After they have verified and approved your claim, the insurance company is given 60 days to pay the beneficiaries the promised amount. Some insurance companies observe this rule, some don’t, and some respond much more quickly than the allotted period of time.

Most companies see to it that the filed claims receive a response within 2-3 days or a week. The company might inform you that they are still processing the claim you’ve filed or that they need more time to process your claim. A person called an Adjuster or a company agent is usually sent by the company to settle the preferred options on how the beneficiary or beneficiaries wish to receive the payment. Adjusters or agents are the ones to be consulted if you are experiencing any form of difficulty in the claim you’ve filed. They are also the ones you should contact for an update if you feel that the process is taking too long.

If you still haven’t received any form of response from the company after the allotted time period of investigation by the law, you should start considering filing a complaint. A written letter to the company with documents proving that you have filed the claim on a specific date would help strengthen and support your case.

Receiving the Money
After settling the preferred option on how you want to receive the money, you should get the amount promised by the insurance company.

There are various options on how one could get the money. A common option that most beneficiaries choose is through a lump sum payment. This option ensures that you receive the full amount promised by the insurance company all at once. Another option is called Specific Income and this is considered to be an uncommon preference. This option allows you to receive the money annually for a specified number of years that you prefer and agree with the company. There are also other options available and they vary for every insurance company.

The length of time that it takes for you to get the payment is very subjective and it all depends on the insurance company and the time it takes them to process everything. You should consult your agent or anyone from the company that is responsible for a more definite answer if you still feel uncertain.