ENGROSSED
Senate Bill No. 513
(By Senators Anderson, Ross, Holliday,
Minard, Walker and Schoonover)
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[Originating in the Committee on Small Business;
reported February 21, 1994.]
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A BILL to amend and reenact section fourteen, article thirteen,
chapter thirty-three of the code of West Virginia, one
thousand nine hundred thirty-one, as amended; and to amend
article fourteen of said chapter by adding thereto a new
section, designated section thirty, all relating to the
payment of claims to beneficiaries of life insurance
policies; and providing for interest on delayed proceeds.
Be it enacted by the Legislature of West Virginia:
That section fourteen, article thirteen, chapter thirty-
three of the code of West Virginia, one thousand nine hundred
thirty-one, as amended, be amended and reenacted; and that
article fourteen of said chapter be amended by adding thereto a
new section, designated section thirty, all to read as follows:
ARTICLE 13. LIFE INSURANCE.
§33-13-14. Payment of claims.
There shall be a provision that when a policy shall become
a claim by the death of the insured, settlement shall be madeupon receipt of due proof of death and, at the insurer's option,
surrender of the policy and/or proof of the interest of the
claimant. If an insurer shall specify a particular period prior
to the expiration of which settlement shall be made, such period
shall not exceed two months from the receipt of such proofs.
An insurer shall pay the proceeds of any benefits under a
policy of life insurance not more than thirty days after the
insurer's receipt of due proof of death. If the insurer fails to
pay the proceeds within this time period, the insurer shall pay
to the beneficiary interest on the life insurance proceeds at the
rate paid on proceeds left on deposit with the insurer for the
time period beginning at the end of this thirty day period to the
date the payment is issued.
ARTICLE 14. GROUP LIFE INSURANCE.
§33-14-30. Payment of claims.
An insurer shall pay the proceeds of any benefits under a
policy of life insurance not more than thirty days after the
insurer's receipt of due proof of death. If the insurer fails to
pay the proceeds within this time period, the insurer shall pay
to the beneficiary interest on the life insurance proceeds at the
rate paid on proceeds left on deposit with the insurer for the
time period beginning at the end of this thirty day period to the
date the payment is issued.