Act of Terrorism Death Claims

[WinoBlues]

Will Life insurance companies pay death claims resulting from an act of terrorism?

I believe that most large companies would quickly pay. How about smaller Fe type companies or Fraternals?

 

[Newby]

Will Life insurance companies pay death claims resulting from an act of terrorism?

I believe that most large companies would quickly pay. How about smaller Fe type companies or Fraternals?

AFBA/5-Star has it right in their FE brochure. No exclusions for acts of war or terrorism.

 

[FEX Quotes]

Will Life insurance companies pay death claims resulting from an act of terrorism?

I believe that most large companies would quickly pay. How about smaller Fe type companies or Fraternals?

Never saw this exclusionary language with a life policy, but on the P&C side of the business, terrorism exclusions are wide spread. The TRIA is a real nusiance. This is one piece of Bush era legislation, I wouldn't mind seeing repealed..

Terrorism Risk Insurance Act - Wikipedia, the free encyclopedia

 

[WinoBlues]

Just spoke to one of the claims offices.

We used the Boston murders and OIF as the examples. Life policy with waiver of premium and accidental death benefit.

On non contestable death claims. Base plan would be paid upon notification from the funeral home, No exclusions. Accidental death would not be paid till cause of death. Paid if terrorism not paid if act of war. Act of war exclusion. Waiver of premium if terrorism but not if act of war. Act of war exclusion.

Each company is different.