The National Association of Insurance Commissioners (NAIC) today announced a national service that provides consumers with search capabilities to help them find a deceased person's lost life insurance policies and annuities.
The NAIC's Life Insurance Policy Locator provides nationwide access for assistance with finding life insurance policies and annuities. An estimated $1 billion in benefits from life insurance policies are unclaimed, according to Consumer Reports. The new tool builds on the life insurance policy locator programs developed separately in a number of states before this launch.
“Our locator gives consumers the means to easily search for lost life insurance policies. This national tool gives families and consumers a genuine time-saving option when trying to get their financial affairs in order,” said John M. Huff, NAIC President and Missouri Insurance Director. “This locator leverages NAIC technology to help consumers collect what was promised by insurance contracts.”
Consumer requests are encrypted and secured to maintain confidentiality. Participating insurers will compare submitted requests with available policyholder information and report all matches to state insurance departments through the locator. Companies will then contact beneficiaries or their authorized representatives.
“Many people don’t know where to begin when searching for a lost life insurance policy or annuity,” said Nick Gerhart, Iowa Insurance Commissioner and Life Insurance and Annuities (A) Committee chair. “This policy locator simplifies the process for consumers and insurance companies.”
In 2015, life insurers paid more than $74 billion in insurance policy benefits to consumers nationwide. Since 2010, state insurance regulators have investigated unclaimed life insurance benefits. To date, nearly 23 regulatory actions have resulted in returning more than $6.75 billion life insurance proceeds to U.S. consumers.