When a life ends, the family of the deceased is overcome with sadness. The last emotion someone in mourning needs to deal with is stress. Organizing your life insurance policy information and benefit records in advance and making that information available to your family is the best way to eliminate stress.
New Insurance Policy Due Diligence
When you obtain a new life insurance policy, what should you do? Make sure each policy contains the following information:
? Name and location of insurer and parent company if applicable
? Policy number and date the policy was issued
? Type and terms of policy (traditional, universal, variable, or term--life term or decreasing, whole life)
? Name and address of your insurance broker or agent
? Details on how to file a claim
? The amount of the death benefit
It is important to keep track of as much detail as possible for each type of life insurance policy you have. You may have different life insurance policies from:
? Your employer
? Your financial program
? Lending institution
Keeping Your Life Insurance Policy Safe
Where should you keep your life insurance policy records?
? Set up a file system or binder in a safe place in your home where you maintain other critical paperwork (especially insurance policies) and be sure all members of the family know where you keep it
? Keep a second complete copy of all paperwork outside your home in a safe deposit box or other safe place
You may also want to include the following personal information as well:
? Full name
? Social Security number
? Bank and investment account information
? Credit card information
? Safe deposit box information
? Copy of your will and the name of executor, lawyer, or friend who knows how to retrieve it
The more organized your life insurance policy records and other information is, the less stressful this sad time will be for your family. Just a reminder that you want to shred all obsolete paperwork in order to avoid the possibility that someone could use your information fraudulently.
Alicia S. Isero is a contract freelance writer. She has worked in Executive Education and Alumni Relations at the Stanford University Graduate School of Business for over 15 years. She has extensive background in professional development, event planning, marketing, collateral design, and building relationships.
Save on Term Life Insurance in Virginia!
Q. Will my policy pay off my car loan if my car is totaled?
A. An explanation of what happens if your car is totaled out when you still owe money on your car loan or lease. Read More
Q. Will car insurance cover my stolen personal items?
A. If someone steals personal items from your car, will car insurance cover those items? Read More
Best Life Insurance Rates