Life Insurance Companies Profit Billions From Uninformed Beneficiaries

Life insurance companies across the country are struggling with the issue of tracking down beneficiaries owed death benefits. While some states have very strict and specific laws about insurer practices in these situations, others make it possible for insurers to admittedly keep the owed money. In Illinois, this problem has risen to several billions of dollars owed to beneficiaries but kept by insurers. The practice has meant that life insurance companies aren’t paying death benefits to spouses, children and other people who simply don’t know that they are beneficiaries.