Unclaimed money/Death benefit?

[Mike63]

What is the name of your state? Indiana

Can anyone help me with a rather odd situation? I recently found out by doing a search on an unclaimed money web site that some money was owed to my mother by an insurance company. Apparently my great-grandmother took out a life insurance policy on herself with my mother as the beneficiary. This would have been several years ago, possibly in the 50's or 60's even, I do not know as of yet. My mother (the beneficiary) passed away first, in 1985, then my great-grandmother passed away in 1995, and I found out about the unclaimed money a month ago. The web site lists it as proceeds due from a matured policy. I settled both of their estates and was the sole heir, and had no idea this policy existed.

Can anyone tell me if it is possible for there to be a death benefit payable under these circumstances instead of the maturity, or cash value? Prudential insurance is claiming I have to contact my state's attorney general, as this is where the proceeds have been sent, and the state is claiming that I have to contact Prudential, and neither side claims to have any information concerning the nature or terms of the policy. Aren't insurance companies supposed to keep records of their policies and insured customers, and where did the amount of the matured policy come from for them to send to my state if they have no information? Are there time limits on when they have to pay out on a death benefit? It sounds like I am being given the runaround. I don't want to accept the cash value if there is a death benefit that the estate is rightly owed. Please help!

Mike

 

[CIAA]

The Insurance company apparently did the right thing in escheating the unclaimed funds. You should be able to do the paper work, etc. to get the funds from the state.

Record keeping..... you can check the insurance statutes and regs., maybe ask your state department of insurance. As I recall, it's around 7 years after expiration, termination or last activity.

Finally , every policy we have seen contains a time limit on filing a claim. While many states follow the "prejudice rule", it is most likely that 7-8 years is to long to overcome. You may want to consult an attorney and it is doubtful that obtaining the funds from the state would waive your rights to pursuing other claims.

We are not attorneys and do not give legal advice or legal opinions. Any opinions or comments in our response should not be regarded as a substitute for professional legal advice.

 

[Dandy Don]

I don't understand the question you are asking--the maturity/cash value is the total amount that will be paid out and I don't understand why you think there might be a separate amount as a death benefit.

(1) How much money is in the unclaimed account? For example, if she was paying monthly premiums on a policy whose total value was $10,000, then the matured amount is the full total amount of face value of the policy which you should have gotten as beneficiary and you are getting full value, not a discounted/reduced amount, and the only problem was that the insurance company "claims" they couldn't find you or whoever the designated beneficiary was (even though they have access to credit bureau databases and private investigators who COULD have found you very inexpensively). In other words, the amount showing in the unclaimed department IS most likely the correct amount of death benefit that the policy is paying.

(2) Have you already begun the process of filing a claim with the State of Indiana for this money? If you were the official executor of the estate (who received letters testamentary from the probate court) then you should have no problems being able to claim this money, if you can provide a certified copy of your letters testamentary.

Please send me an e-mail because I have a confidential tip that may be able to benefit your situation, if you mention the names of both decedents so that I can check some additional asset databases.

DANDY DON IN OKLAHOMA ([email protected])

 

[JETX]

This really should be relatively simple.

From your post, it appears that 'unclaimed property' was turned over to the Indiana Attorney Generals office (as required by statute). The AG's office should now have 'custody and control' of those funds.
Contact them as executor of the estate(s) and reclaim them.
To find out what is required to reclaim, send them an email at:
[email protected]