“When some part of the whole falls, the one that remains is not sure.” Good Finance
The very concept of securing life already poses a somewhat rough scenario. However, the time to take out life insurance is the one that should be given the most attention, since choosing the insurance company and negotiating the clauses is decisive so as not to take surprises when demanding compensation and agreed services.
It is very advisable to have the advice of professionals, not be in a hurry when deciding, read all the proposals very well and ask and clarify everything that you have the slightest doubt.
How to collect life insurance?
When the unwanted moment of the death of the insured arrives, the first thing that your relatives have to do is check the Life Insurance Registry to have proof of all the insurance that is in force. Once in possession of that information, it is time to start the procedures to carry out the collections.
Life insurance is regulated by Law 50/1980 of the Insurance contract , modified by Law 30/1995 on the Regulation and supervision of Private Insurance . These laws should be consulted before starting the procedures, to resolve any doubts that may arise.
Insurance companies with the documents
The next step is to appear at the headquarters of the insurance companies with the documents obtained in the Life Insurance Registry and prove the ownership of the beneficiary (s) claiming compensation. Then, the documentation required by the insurer must be submitted.
Once all the requested documents have been submitted, the regulations indicate the following:
The insurer is obliged to pay the compensation at the end of the investigations and expert opinions necessary to establish the existence of the accident and, where appropriate, the amount of the damages resulting from it.
In any case, the insurer must make, within forty days of receiving the declaration of the accident, the payment of the minimum amount that the insurer may owe, according to the circumstances known by him.
It will be understood that the insurer incurs in default when he has not fulfilled his benefit within three months from the production of the incident or has not paid the minimum amount of what he may owe within forty days from the receipt of the declaration of the incident.
These interests will be considered produced for days
The compensation for default shall be imposed ex officio by the judicial body and shall consist of the payment of an annual interest equal to the legal interest of the money in force at the time it accrues, increased by 50%; These interests will be considered produced for days, without the need for a legal claim.
However, after two years from the production of the incident, the annual interest may not be less than 20% .
The problem usually appears when knowing what the minimum amount is , so it is very important that the clauses are very clear a priori to avoid subsequent surprises.
It should not be forgotten that the insurance companies require the presentation of the settlement of the inheritance and donation tax prior to the payment of the benefit. Normally, advances are usually granted to face the settlement of said tax.