Life Insurance in South Carolina
A life insurance policy represents a contractual agreement between yourself and a life insurance company for them to pay a predetermined sum of money, known as a death benefit, to your survivors in the event of your death. This death benefit can help them cover your final expenses and help make up for the lack of your income.
Regulations regarding South Carolina life insurance usually come into play when a claim is filed and have to do with payment terms and other issues surrounding the disbursement of death benefits.
Why do I need life insurance?
With life insurance coverage, you can feel secure knowing that your beneficiaries will have some help covering your final expenses and other financial needs they’ll face without you.
South Carolina was ranked 42nd out of 50 states and the District of Columbia in life expectancy in 2014, with a life expectancy of 76.89. With this in mind, people living in South Carolina may want to consider their life insurance options.
South Carolina life insurance specifics
South Carolina regulates its insurance industry through The State Insurance Code of South Carolina. Under the code, those purchasing life insurance in South Carolina are afforded certain protections such as:
- Free Look Period
According to the South Carolina state code, life insurance companies are required to give you a Free Look Period to review your policy and decide if you want to keep it. If you decide during this period (within 10 days of the issuance of the policy) that you don’t want to keep it, you can cancel the policy for a full refund.
- Grace Period
A grace period is allowed on all late payments under the South Carolina state insurance code. If you miss a premium payment for any reason, all South Carolina life insurance providers must give you at least 31 days to bring the account current before the insurer can cancel the policy for non-payment.
South Carolina life insurance state resources
South Carolina Department of Insurance
The purpose of the Department of Insurance is to faithfully execute the state insurance laws in a manner that protects insurance consumers and the South Carolina life insurance industry.
South Carolina Life & Health Insurance Guaranty Association
The state guaranty association is there to provide protection and continuing life insurance coverage in South Carolina, even in the event that a life insurance company becomes insolvent.
Life Insurance Company Ratings From A.M. Best, Standard and Poors and Moody’s
A.M. Best and Standard and Poors provide ratings for life insurance companies based on financial strength and past performance.