How Does Life Insurance Payout?

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2 responses to “How Does Life Insurance Payout?”

1. 

   August 30, 2013

   Peggy Mace

   Life insurance can be paid out in a lump sum, or it can be paid out in regular payments over a set period of time. If paid out in payments, interest is added to what the beneficiary gets, to compensate for the insurance company being able to hang onto the proceeds of the policy longer.
2. 

   August 30, 2013

   Steve Savant

   Upon the death of the policy insured, the policy owner and/or the policy beneficiary notify the life insurance company. The company sends their death claim form upon request. Once the form is filled out, the certificate of death and newspaper obituary are mailed to the life insurance company and the proceeds are generally received 30 to 60 days later.