Insurers tell Florida: Don’t make us look for beneficiaries

Published: Updated:

TALLAHASSEE, Fla. (AP) – Four companies that sell life insurance in Florida are suing to block a new law that requires them to annually check to see if policy holders have died and then try to find beneficiaries when they have.

The companies filed a lawsuit in early May against Chief Financial Officer Jeff Atwater, since Atwater’s agency is responsible for enforcing the new law. The four companies are United Insurance Company of America, Reliable Life Insurance Company, Mutual Savings Life Insurance Company and Reserve National Insurance Company.

Atwater pushed for the Legislature to pass the measure this year. Atwater said that many insurance companies were deliberately shielding themselves from knowledge that policy holders had died so they wouldn’t have to pay out benefits.

But the lawsuit filed in Leon County contends the new law is unconstitutional because it applies to 150,000 policies issued since 1992.

Copyright ©2024 Fort Myers Broadcasting. All rights reserved.

This material may not be published, broadcast, rewritten, or redistributed without prior written consent.