Life Insurance Policies Misplaced

Make sure you stop and read what to do if you have lost a life insurance policy.  Misplaced or lost records can create havoc in the event of someone’s death. Family members may not be aware that any wills or life insurance policies even exist after that passing of a loved one, leaving them to sort out the assets and liabilities left behind.

"Unfortunately, there are no public records relating to life insurance transactions.  If a database existed it might be easier to determine if a deceased family member has obtained whole  life insurance, but no such database exists", said Vince Bagni of Paramount Life Insurance.

When faced with such a dilemma, some basic detective work may have to be employed in order to find missing policy information.  One of the first places to search is the deceased person’s bank.  Find out every bank that the person may have conducted business with, and you will first want to review all of their past bank account records.  Cancelled checks or automatic withdrawals for premium payments to an insurance company may have policy information on them.  Next, check out any safe deposit boxes as many people will keep life insurance policies in them. 

The next place to look is with insurance agents or brokers with whom the deceased may have conducted business.  Review address books for the names of agents, brokers or financial advisors.  Also, review any calendars or appointment books to see if there had been any recent visit with that type of professional. 

When reviewing address books and appointment books, look for evidence of transactions or correspondence with attorneys or accountants who may have conducted business with the deceased as well.  A call to one of those professionals may lead you in the right direction.

If you are able to locate an application completed by the deceased person, you can find out if they had any other policies, as the application will have a section where the applicant has to list all other term life insurance policies.  If the application is current, you may have an accurate account of existing policies but if it is an older application you may want to keep looking.

While public records do not provide a listing of who has a life insurance policy and who does not, some public records may be helpful.  In most states, a department deals with unclaimed funds from insurance proceeds.  If an insurer cannot locate a beneficiary, they may place the funds with the State Comptroller’s office as unclaimed funds.  A public listing of payments is available and can often be searched via the Internet.

"Finally, consider hiring a private company that conducts insurance searches.  These companies will contact insurance companies to make inquiries on your behalf for a fee.  This may not turn up any results, but will provide peace of mind that all avenues have been exhausted in the event that no policies are located", noted Bagni

End of life decisions and planning can be difficult when dealing with ill or elderly family members, but this process is essential to making sure that assets are protected in the event of death.  Be sure to communicate with your family members about their life insurance policies, and do not forget to relay information to them regarding the location of your own policies.