Bill > H1084

This bill modernizes the process for changing beneficiaries on life insurance policies by establishing new verification requirements for insurance companies. Specifically, the bill mandates that life insurance companies must verify the identity of any person requesting a change to a policy's beneficiary designation through reasonable and practicable means. Acceptable verification methods could include having a disinterested person (defined as someone over 18 who is not named in the beneficiary change) witness the signature, or through other proof acceptable to the insurance company. Additionally, after accepting and processing a beneficiary change request, the insurance company must send written notification of the change to the policy owner at their last known address. This legislation aims to add an extra layer of security to prevent unauthorized or fraudulent changes to life insurance beneficiary designations, protecting policy owners from potential unintended or malicious alterations to their policies.

Budget and Finance, Business and Industry

https://malegislature.gov/Bills/194/H1084