What is a death benefit?

With NobleOak Life Insurance, the Death and Terminal Illness Benefit functions to provide financial support to those nominated in your policy after you pass away. If you have life insurance coverage with NobleOak when you pass away, NobleOak will pay a specified amount as a lump sum to your nominated beneficiaries or estate. Additionally, if you become terminally ill, NobleOak can advance the death benefit lump sum (in situations where death is likely to occur within 24 months). A death benefit can help your family with bills and other financial obligations during a time when they need it most. Whether they require funds to keep up with mortgage or rent payments the death benefit payment will help to make a difficult time less overwhelming.

Who can claim death benefits?

If you have been nominated as a beneficiary in the life insurance policy of the deceased, you will be eligible to make a death benefit claim. A 'nominated beneficiary' is an individual who is named in the policy, and the policy holder can nominate more than one beneficiary to receive the death benefit. A beneficiary may or may not be a dependent - while it's most common for a beneficiary to be a direct family member (such as a spouse or child), it could also be a friend. If no beneficiaries are nominated or the nomination is invalid, the death benefit will be paid to the estate and distributed according to the will or intestacy laws.

Can beneficiaries be changed?

A beneficiary in a life insurance policy can typically be changed. The process generally involves contacting the insurer and then completing a form. The insurer will then process the request and confirm the change.

What happens if a beneficiary is a minor?

Death benefits cannot be paid directly to minors under the age of 18. Instead, the benefit is typically held in trust or managed by a legal guardian until the minor legally becomes an adult.

What happens if you don't nominate a beneficiary?

If you don't nominate a beneficiary in your life insurance policy, the death benefit will typically be paid to your estate. In this circumstance, the death benefit will be subject to the probate process, which can delay the distribution of funds to your heirs.

How to claim death benefits

If you are the beneficiary for a Life Cover policy with NobleOak, you can make a death benefit claim through our insurance claim page. Our team is proud to process genuine claims quickly and with care. We'll also quickly advance your family $15,000 of your life cover amount to assist with funeral expenses, upon evidence of age and receipt of the death certificate. We will also provide a grief counselling benefit reimbursing up to $1,000 of the cost of grief counselling services for you, your spouse or partner if we pay a benefit for death or terminal illness.

Is there a lump sum death benefit?

NobleOak's life insurance provides a lump sum payment to the nominated beneficiaries in the event of the policyholder's death. This benefit can also be paid if the policyholder is diagnosed with a terminal illness and has a life expectancy of 12 months or less.

How long does a death benefit payment take?

The time it takes for a death benefit payment to be made by NobleOak can vary based on several factors, but the process is designed to be as prompt and efficient as possible. The process begins when NobleOak is notified that the policy holder has passed away. Then, the document submission phase usually takes around 1-2 weeks. Once all required documents are received, NobleOak will review and assess the claim. Every claim will take a different amount of time to be assessed depending on the nature and complexity of the claim.

Can death benefits be used for any purpose?

Death benefits from a life insurance policy can be used for any purpose. Once the beneficiaries receive the lump sum payment, they have complete discretion over how to use the funds. Common uses include covering funeral and burial costs, paying off outstanding debts such as mortgages or personal loans, funding education expenses, providing for daily living expenses, and investing for future financial security.

Can a death benefit be contested?

A death benefit can be contested, typically by potential heirs or other interested parties who believe they have a rightful claim to the benefit. Contesting can occur if there are disputes over the validity of the beneficiary designation, allegations of undue influence, or concerns about the mental capacity of the policyholder at the time of making the designation.