Teach Me Your Ways, Oh Wise Ones!

[insuranceconceptscindy]

I have a wonderful couple who I've had for Medicare for many years.
We were having a chat about final expense policies and the question came up about how fast the company will pay.
They are Jewish and need to be buried very quickly. In your experience, have the funeral homes given families trouble when the check takes too long to arrive? What do you recommend in these situations?
I'm looking at an Assurity simplified issue Whole life policy. Are they slow?
How can I assure them that they can be buried on time and everything will be taken care of?
This is a whole new world to me and I'm learning. . .

 

[John Galt]

Probably the fastest I've heard of is settlers, they even publish how much In claims they pay each year, I'm not a huge fan of them but in this case u might want to consider them.

 

[WinoBlues]

I have a wonderful couple who I've had for Medicare for many years.
We were having a chat about final expense policies and the question came up about how fast the company will pay.
They are Jewish and need to be buried very quickly. In your experience, have the funeral homes given families trouble when the check takes too long to arrive? What do you recommend in these situations?
I'm looking at an Assurity simplified issue Whole life policy. Are they slow?
How can I assure them that they can be buried on time and everything will be taken care of?
This is a whole new world to me and I'm learning. . .

In my experience -

Yes, I have gotten calls from clients that the funeral home is calling them that X company has not cut the check yet. If the funeral home sells the note to a company like Forethought (at a cost to the client) it is the client asking about the balance of the death claim money. In my experience these companies are in no rush to get the claim done. Which seems odd to me.

I have not had an Assurity claim in years so I do not know. Unless it is United Heritage I tell people it will be 4 to 6 week after death. Usually closer to the 4 week span. If it is UH I tell them it is 24-48 hours after death.

This is assuming after any contestability period.

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Probably the fastest I've heard of is settlers, they even publish how much In claims they pay each year, I'm not a huge fan of them but in this case u might want to consider them.

That is good to hear. Unfortunately they are not in CA. What is their turn a round from time of death to fully paid?

 

[jdeasy]

Probably the fastest I've heard of is settlers, they even publish how much In claims they pay each year, I'm not a huge fan of them but in this case u might want to consider them.

I've never heard that settlers pays claims fast. I have heard that they pay the highest percentage of contested claims but not quickly.

For the OP, all companies are going to be slow paying contested claims. I had one tell me last week that the industry average is "5 months" on contested claims. They said that to me in the context of my complaining about one that 2 months in and the family and funeral home calls me every week so I in turn call the company.

I have one for a death in January that's not settled yet. Another for a death last Dec that's not settled.

That 5 month industry average would seem like warp speed to those families.

On non contestable claims, any funeral home in the United States can get paid within 24 hours by assigning the policy.

 

[rousemark]

If the policy is incontestable, it doesn't matter what company it is. the funeral home can take assignment and sell it off to a funding company. They will have the money in their account within 24 hours. There will be no problems with the immediate burial. If the policy is contestable, in TN less than 2 years old, it will take longer.

 

[insuranceconceptscindy]

OK, so what I'm hearing is that the funeral home will take assignment and proceed with the burial. Is this something that is done in advance or does the family do this while making arrangements?
Forgive me for all of these dumb questions- I'm trying to learn the details of this new world.

 

[WinoBlues]

OK, so what I'm hearing is that the funeral home will take assignment and proceed with the burial. Is this something that is done in advance or does the family do this while making arrangements?
Forgive me for all of these dumb questions- I'm trying to learn the details of this new world.

In my experience - Many will will take assignment some will not. Some that have do not now.

It is done at time of need.

 

[jdeasy]

OK, so what I'm hearing is that the funeral home will take assignment and proceed with the burial. Is this something that is done in advance or does the family do this while making arrangements?
Forgive me for all of these dumb questions- I'm trying to learn the details of this new world.

They do the assignment while making the funeral arrangements at the time of death. There is nothing to assign while the insured is alive.

Assignment can't be done on contestable policies.

 

[VolAgent]

OK, so what I'm hearing is that the funeral home will take assignment and proceed with the burial. Is this something that is done in advance or does the family do this while making arrangements?
Forgive me for all of these dumb questions- I'm trying to learn the details of this new world.

An insurance policy can be assigned at any time. While the insured is alive the owner does it, generally as a collateral for a loan. After death, the beneficiary would assign his/her interest in the policy. Unless it needs to be moved to a funeral trust for Medicaid purposes, there really is no advantage to doing it in advance.

 

[jdeasy]

In my experience - Many will will take assignment some will not. Some that have do not now.

It is done at time of need.

Any funeral home can do the assignment if they want the money right now. They may chose to not do so but they certainly can.