Wisconsin Life InsuranceWisconsin life insurance laws deal primarily with claims issues. However, familiarizing yourself with some basic regulations is still key to making wise coverage decisions.
This page:
Briefly describes Wisconsin life insurance regulations.
Explains the Wisconsin Insurance Security Fund's protection.
Links to more information about life insurance in Wisconsin.
Life Insurance for as Little as $20/Month?
Wisconsin life insurance rights and regulationsThe insurance industry in Wisconsin is regulated under Chapter 632 of the Wisconsin Statutes. These codes outline claims procedures and policy requirements for the benefit of consumers and insurers alike.
In Wisconsin, life insurance companies are obligated to settle claims in a timely manner. If an insurer has not settled within 30 days of receipt of proof of death, the benefits begin earning interest (which will be included in the final payment).
Another consumer protection is the 20-day "free look" period insurers must allow when a policyholder is replacing an old policy with a new one. During this window, coverage can still be declined for a full refund of premiums. Many Wisconsin insurers will also include a 10-day "free look" period on all policies (not just replacements).
And while insurers in Wisconsin are permitted to share policyholder information, you will be informed of the manner and scope of that information at the time of application. Policyholder requests for information should be honored within 30 days.
However, Wisconsin law extends some protections to insurers, too. Insurers retain the right to challenge any statements made on a policy or its application for the policy's first two years. An insurer can choose to charge exta premims or cancel coverage if any misstatements are found.
Wisconsin insurers are also exept from having to honor claims made within the first two policy years where suicide is the cause of death. Sidebar
If you are ready to apply for a Wisconsin term life insurance policy, or if you just want a quick online quote, visit Insured Street now.
If you are not sure about what type of life coverage you want, you can also try InsureME. They will put you in touch with agents who can answer any questions that you might have.
The Wisconsin Insurance Security FundLicensed life insurance companies in Wisconsin pay annual fees to the Wisconsin Insurance Security Fund. This fund is designed to protect insurance consumers, like you, by helping to cover policies lost through insurance company insolvency.
However, there are restrictions on this protection. In Wisconsin the compensation for lost death benefits is limited to $300,000 per individual. This limit applies even in the event of multiple policies with a higher total amount of coverage.
And your insurer must be licensed in Wisconsin to qualify for the fund's backing. To check the status of an insurer, you can call the Wisconsin Office of the Commissioner of Insurance at (608) 266-3585 in Madison or toll free at 1-800-236-8517. Sidebar
Apply for a quote with confidence at Insured Street
(for Wisconsin term life insurance), or InsureME.
Your insurer will be licensed in Wisconsin.
Other notes on Wisconsin life insuranceViatical settlements, which are purchasing agreements, are allowed in Wisconsin. Under a viatical settlement, a third party purchases a life insurance policy from the insured, pays the premiums, and becomes the policy's beneficiary. It's wise to seek the help of a licensed agent before arranging a viatical settlement.
Insurance illustrations, which are financial projections made by an insurer, are also permitted in Wisconsin. However, they must follow a specific format and contain certain elements.
More WI life insurance helpIf you want more help getting the best value on your WI life insurance policy, start with our guide to term life insurance or sign-up for our free life insurance course (see below).
To find out more about WI life insurance laws and regulations, visit the official website of the Wisconsin Office of the Commissioner of Insurance.
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