Notify insurance companies

Providing proper notification to life insurance companies can get the ball rolling on obtaining the associated monetary benefit. Remember that life insurance might be a non-probate asset, meaning the money distributed will not go back into the estate but will go to the beneficiary listed in the policy. If you have questions about this, the estate’s attorney should be able to help.

It is important to understand that life insurance companies will generally not seek you out to pay out claims. You must typically reach out to them for payment on the policy. Many of these policies are paper-based so policies may be stored in desk drawers or other places where the will writer kept important files.

It is also important to understand that a life insurance agent delivering a payment on a policy will likely approach you about ways to invest that money in other policies or other investments. In most cases, developing a comprehensive personal financial plan with your financial advisor, and then determining how insurance may fit into that plan is the best way to approach purchasing future insurance – not buying it prior to having that plan in place.

Don’t forget that you need to notify medical insurance companies of the death, too. Canceling medical insurance will allow you to get rid of an unnecessary expense in the estate, helping you to protect the estate assets better.

You might need to provide your address to insurance companies so they can send you any final paperwork and notices. It might be easier to get this information directly than have to wait for the forwarding of this important mail.

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