HB4633 - Unclaimed Life Insurance Benefits Act

• Requires insurers to conduct initial comparison of policyholders against the Social Security Administration's Death Master File by December 31, 2017, then at least semi-annually thereafter to identify deceased insureds, annuitants, and retained asset account holders.

• Insurers must use good faith efforts to locate beneficiaries within 120 days of death notice and provide appropriate claims forms or instructions, with minimum standards for locating beneficiaries established by administrative rule.

• Requires the Department of Insurance to develop and maintain a "lost policy finder" service to help requesters locate unclaimed life insurance benefits, with insurers responding to requests within 30-45 days.

• Unclaimed benefits plus accrued interest must be paid to designated beneficiaries first, and if beneficiaries cannot be found, reported and delivered to the State Treasurer under the Uniform Disposition of Unclaimed Property Act.

• Violation of act requirements with sufficient frequency to constitute a general business practice is defined as an unfair or deceptive practice under Illinois Insurance Code Section 424; no private right of action is created.