 Posted: Fri Sep 11, 2009 8:14 pm Post subject: once life insurance is paid completely, does it draw interes |
|
|
| my motherinlaw passed away last month and she had a life insrance policy that had been paid up for years, like maybe 40 years, will that policy draw interest? say it was for $5000. |
|
pinkybanks
New member
Joined: 11 Sep 2009
Posts: 1
1.26 Dollars($)
|
| Posted: Fri Sep 11, 2009 8:44 pm Post subject: |
|
|
| The answer depends on several factors, particularly what kind of policy it was. Generally, a paid up policy would continue to acrue interest on any cash value but unless it was a UL with an increasing death benefit option this would not likely result in a death benefit higher than the original face amount. However, if the beneficiary has not claimed the death benefit interest for the the time between death and disbursement is usually credited. |
|
Fishman
Preferred member
Joined: 04 Apr 2008
Posts: 143
45.31 Dollars($)
|
