SB1783 - Unclaimed Life Insurance Benefits Act

• Requires insurers to compare life insurance policies, annuity contracts, and retained asset accounts against the Social Security Administration's Death Master File at least semi-annually to identify deceased policyholders.

• Insurers must complete good faith efforts within 90 days of a Death Master File match to confirm death, determine if benefits are due, locate beneficiaries, and provide claims forms or instructions.

• Benefits plus accrued contractual interest must be paid to designated beneficiaries first, and if beneficiaries cannot be located, the funds shall escheat to the state Treasurer under the Uniform Disposition of Unclaimed Property Act.

• Prohibits insurers from charging beneficiaries or authorized representatives any fees or costs associated with Death Master File searches or verification.

• Establishes that repeated failures to comply with the Act constitute unfair methods of competition and deceptive practices under the Illinois Insurance Code, with no private right of action created.