26.1-55-02. Insurer conduct
1. Before November 1, 2014, an insurer shall perform a comparison of the insurer's
insureds' in-force life insurance policies and retained asset accounts against a death
master file in order to identify potential matches of the insurer's insureds.
Semiannually, an insurer shall perform a comparison of the insurer's insureds' in-force
life insurance policies and retained asset accounts against the revised death master
file in order to identify the potential matches of the insurer's insureds.
2. For each potential match identified as a result of a death master file or revised death
master file match, within twelve months of the potential match, the insurer shall:
a. Complete a good-faith effort, which the insurer shall document, to confirm the
death of the insured or retained asset accountholder against other available
records and information;
b. Review the insurer's records to determine whether the individual who has died
purchased any other products with the insurer; and
c. Determine whether benefits are due in accordance with the applicable policy or
contract, and if benefits are due in accordance with the applicable policy or
contract the insurer shall:
(1) Use good-faith efforts, which the insurer shall document, to locate the
beneficiary or beneficiaries; and
(2) Provide the appropriate claims forms or instructions to the beneficiary or
beneficiaries to make a claim, including the need to provide an official death
certificate, if applicable under the policy or contract.
3. With respect to group life insurance, for each potential match identified as a result of a
death master file or revised death master file match, the insurer shall confirm the
possible death of an insured if the insurer maintains at least the following information
of those covered under a policy or certificate:
a. The social security number or the name and date of birth;
b. Beneficiary designation information;
c. Coverage eligibility;
d. Benefit amount; and
e. Premium payment status.
4. Every insurer shall implement procedures to account for:
a. Nicknames, initials used in lieu of a first or middle name, use of a middle name,
compound first and middle names, and interchanged first and middle names;
b. Compound last names, maiden or married names, and hyphens, blank spaces,
and apostrophes in last names;
c. Incomplete date of birth data and transposition of the month and date portions of
a date of birth; and
d. Incomplete social security numbers.
5. To the extent permitted by law, for each potential match identified as a result of a death
master file or revised death master file match, the insurer may disclose minimum
necessary personal information about the insured or beneficiary to:
a. A person the insurer reasonably believes may be able to assist the insurer locate
the beneficiary; or
b. A person otherwise entitled to payment of the claims proceeds.
6. An insurer or an insurer's service provider may not charge an insured, accountholder,
or beneficiary for any fees or costs associated with a comparison, search, or
verification conducted pursuant to this section.
7. The benefits from a life insurance policy or a retained asset account, plus any
applicable accrued interest must be first payable to the designated beneficiaries or
owners and if the beneficiaries or owners cannot be found, escheat to the state as
unclaimed property as provided under this chapter.
8. Within twelve months following a potential match identified as a result of a death
master file or revised death master file match, an insurer shall:
a. Notify the state abandoned property office that a life insurance policy beneficiary
or retained asset accountholder has not submitted and completed a claim with
the insurer and that the insurer has complied with subsections 2 and 3 and has
been unable, after good-faith efforts documented by the insurer, to contact the
retained asset accountholder, beneficiary, or beneficiaries and unable to complete
the necessary payment; and
b. Submit any unclaimed life insurance benefits or unclaimed retained asset
accounts, plus any applicable accrued interest, to the state abandoned property
office under chapter 47-30.2.
9. Except as otherwise provided under this chapter, chapter 47-30.2 applies to the
escheatment of unclaimed life insurance benefits or unclaimed retained asset
accounts.
