Life Insurance, Superannuation & Death Benefits
Life insurance death benefits
Traditional life insurance is in the form of “term” or “whole of life” cover which matures at a particular age or on death. But some hybrid or “recuperator” policies provide for unexpended benefits being paid out as a death benefit on the insured’s death.
It is essential for executors and administrators to consider all policies to determine whether any death benefit is available.
Even some income protection and critical illness policies might respond with a death benefit payment in the event of the insured’s death.
The first place for the executor or administrator to investigate is the deceased’s insurance broker. Where there is no broker, the policy itself should be sourced from each insurer so that they can be carefully scrutinised to determine what if any benefits can be recovered for the benefit of particular beneficiaries or the estate as a whole.