Oregon Life Insurance
What is Life Insurance?
If you have life insurance you can better guarantee that your loved ones will be able to maintain their own livelihood, even if you die. A policy can provide money (known as a death benefit) to help them cover sudden costs or ongoing expenses you might otherwise have supported had you remained alive.
Your death will cause your loved ones to lose the income and support you once provided them. That could deal a blow to their long-term security. Instead, you might want to leave them life insurance to help them support themselves. Policies can provide financial help for the people and things dear to you, both during their bereavement and later.
Life insurance is regulated on a state-to-state level, so each state has its own unique laws. It is important to know the laws in each state so when you are purchasing a policy you know what to expect.
Rules and Regulations in Oregon
In Oregon, there is no free look period when it comes to life insurance. Free look periods allow new policyholders to review their new policy for a couple weeks and if they decide they do not want it during that time they have the option to cancel and get a full refund. This means that in Oregon, once you sign the life insurance policy you are legally bound to it. However, many life insurance providers will offer policy holders a free look if they choose to sign up.
If you miss a premium payment for your life insurance policy, then you have a grace period where you can pay the premium without the life insurance company canceling your policy. The grace period is 30 days.
Life insurance companies in Oregon are legally required to make payment on claims within 30 days of receiving proof of death. If the life insurance company is not able to pay the beneficiary the death benefit on time, then the beneficiary’s account will accrue interest and the life insurance company will face legal repercussions.
Oregon State Guaranty
If for some reason your life insurance company goes out of business during your term, then in the state of Oregon you will still be protected for life insurance. You can be protected for up to $300,000 in lost death benefits and for up to $100,000 in lost cash surrender from The Oregon Life and Disability Insurance Guaranty Association. $300,000 is the max amount that will be paid, even if the person deceased had policies that totaled a greater amount. If this does happen to you, in order to qualify, your insurer must be legally licensed to practice business in the state of Oregon.
RWM Insurance Brokers is an industry award winning, independent life insurance brokerage firm, providing expert services for Oregonians since 1970. We can help any resident in the Beaver State get covered with exceptional protection. Get your free quote today – click here.