ND HB1171

Creates new chapter requiring life insurers to compare in-force policies and retained asset accounts against Social Security Administration death master file by November 1, 2014, then semiannually thereafter to identify potential matches of deceased insureds.

Requires insurers to complete good-faith efforts within 12 months to confirm death, locate beneficiaries, and provide claims forms; prohibits charging fees for these comparison and verification activities.

Directs insurers to notify the state abandoned property office and submit unclaimed life insurance benefits plus accrued interest within 12 months of potential match if beneficiaries cannot be located after documented good-faith efforts.

Amends unclaimed property law to change presumption of abandonment for life insurance death benefits from three years to one year after funds become due and payable.

Establishes that failure to comply is an unfair trade practice violation, but provides insurers protection from liability once benefits are submitted to the state in compliance with the law.