DCI Reminds Consumers to Focus on the Future During Life Insurance Awareness Month

NASHVILLE — Tennessee Governor Bill Lee has proclaimed September as Life Insurance Awareness Month in Tennessee. 

To support the proclamation, the Tennessee Department of Commerce & Insurance (“TDCI”) highlights the importance of life insurance coverage, which can help families protect their futures and ease financial burdens after a loved one’s death.

“Life insurance is a critical insurance product, and I am thrilled to fully support Governor Lee’s proclamation—which serves as a reminder to all Tennesseans to assess their families’ financial needs and decide if life insurance is right for them,” said TDCI Commissioner Carter Lawrence. “During Life Insurance Awareness Month, I encourage consumers to evaluate their current benefits, seek advice from qualified insurance professionals, and take the actions necessary to achieve a financially secure future for their loved ones.”

Consumers who need help locating a loved one’s life insurance policy can use the National Association of Insurance Commissioners’ (“NAIC”) Life Insurance Policy Locator Service, a free tool, to determine if an individual is a beneficiary of a life insurance policy.

So far in 2024, the locator services helped located over $13.6 million in benefits for Tennesseans.

“Life insurance policies are intended to help cover financial burdens such as medical bills, funeral costs, and other financial obligations that can occur after losing a loved one,” TDCI Assistant Commissioner for Insurance Bill Huddleston. “I encourage consumers who have questions about whether they are beneficiaries of a policy to file a search request or contact our team today.”

For more details about the locator service, visit our blog or contact our team at 1-800-342-4029 or (615) 741-2218.

Life insurance policies can be taken out by anyone who can prove they have an insurable interest in the person — that is, financial or emotional interest in the insured person’s life. If you have a life insurance policy, your responsibility does not stop with the paperwork. As a policyholder, there are important steps you should take now and in the future to help your loved ones:

• Have you had a life-changing event such as the birth of a child or a divorce? It is important to update your policies after a major life event to make sure that you have the appropriate beneficiaries listed.
• Check your policies once a year to make sure that all beneficiaries are included and that the contact information for those listed beneficiaries is correct.
• Let your beneficiaries know about the policies. Good communication can save everyone time and reduce confusion in the long run.
• Provide beneficiaries or trusted advisors (such as accountants and attorneys) with the name of the life insurance company holding the policy.
• Place a current copy of the policy with your will or other estate paperwork in a safe place where family and beneficiaries will be able to easily find it.
• In Tennessee, there is a “free-look” period of 10 days after the purchase of a life insurance policy. You can return the policy with a full refund without fees or penalties within those 10 days.
• An insurance company has 60 days to pay a death claim to beneficiaries. If a claim is not paid within 15 days of the date of death, the company must also pay interest.
• There is a grace period of 30 days for missed payments in Tennessee. If you miss a payment, you will be covered for 30 days even if the missed payment is not made up.

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