Officials helps Pennsylvanians locate $62 million in lost policy benefits

Latrobe Bulletin, The (PA)

HARRISBURG – In keeping with Gov. Josh Shapiro's commitment to "serve Pennsylvanians more effectively and efficiently," the Pennsylvania Insurance Department (PID) on Tuesday announced that more than $62 million in benefits and annuities has been found from nearly 4,000 life insurance policies since January through the National Association of Insurance Commissioners' (NAIC) Life Insurance Policy Locator and has been paid back to Pennsylvanians.

"Gov. Shapiro is committed to ensuring that Pennsylvanians are afforded all of the benefits to which they are owed, and protecting consumers continues to be a top priority of his administration and PID," said Pennsylvania Insurance Commissioner Michael Humphreys. "Thousands of Pennsylvanians have identified millions of dollars in unpaid benefits through this comprehensive insurance locator tool which makes it considerably easier to determine whether a loved one had a life insurance policy or annuity with payable benefits. Life insurance can add peace of mind when planning for your family's future, and we encourage Pennsylvanians to explore purchasing or expanding their coverage, and if you need more information or have questions about your policy, remember the Insurance Department is always available to help."

Pennsylvania law requires all companies selling life insurance policies in Pennsylvania to participate in the life policy finder service. The Life Insurance Policy Locator provides a comprehensive search of insurers to determine whether a deceased individual had a life insurance policy. When a request is received, the NAIC will ask participating life insurance companies to search their records to determine whether they have a life insurance policy or annuity contract in the name of the deceased. The insurance company will contact the requester if a policy is found, and the requester is named as a beneficiary.

In recognition of Life Insurance Awareness Month, observed in September, Humphreys also reminds Pennsylvanians of the value of life insurance policies that can provide families with financial security after the loss of a loved one. He encourages Pennsylvanians to plan for financial security by considering their current and future financial needs and the role life insurance may play in providing financial protection to family members and loved ones.

According to the American Council of Life Insurers, in Pennsylvania, 6.1 million individual life insurance policies were in force in 2021, averaging $143,000 in death benefit protection. Life insurers paid out $11.8 billion in life insurance and annuity benefits to Pennsylvania families.

Life insurance provides financial protection for a family and ensures that dependents and other family members are not burdened with the cost for final arrangements, such as funeral costs, and may provide for future expenses such as college tuition and weddings, as well as ongoing activities of daily living.

Pennsylvania consumers can learn more about life insurance and access the life insurance policy locator services on the PID website's life insurance page. Information and assistance are also available by calling the department's Consumer Services Bureau at 1-877-881-6388.