life cover payout problems

adamcarvell

it also says they both are covered and both own the policy. on the document.

Marcon

How awful for your poor daughter, and everyone else who knew him.

This may not be quite as dire as you fear. You'd need to check, but it is quite possible that the payout might be made to a 'responsible adult' (i.e. your daughter) to be used for the benefit of the children, as opposed to the insurer insisting it is put in trust until the age of 18.

As suggested earlier in this thread, contacting the insurer's bereavement team is likely to be the least stressful way forward at what can only be a truly grim time for you all.

Nearlyold

If it's a jointly owned joint life policy. then the proceeds of the claim should be paid to the survivor.

When you contacted the insurer was it to formally make a claim, who contacted them was it you or your daughter?

adamcarvell

I personally haven’t called them her fiancé father spoke to them yesterday it was an enquiry call. They did say about appeal if we have to how do we proceed with that does anyone know what where to start?

Flugelhorn

It sounds to me like the insurance company are being eye-watering unhelpful in such difficult circumstances - would be tempted to contact the bereavement dept of Nationwide and see if they can help

poppystar

adamcarvell said:

I personally haven’t called them her fiancé father spoke to them yesterday it was an enquiry call. They did say about appeal if we have to how do we proceed with that does anyone know what where to start?

I really wonder if the person he spoke to was in full possession of the facts - policy number etc. There are so many types of policy. To suggest appeal so early on does sound odd. Also I would be surprised he could get past a general enquiry call handler as he is not a formal representative of either the deceased or your daughter. Again, check the paperwork regarding who suggested this policy and to clarify it was intended to pay off the mortgage, speak to Nationwide bereavement department and/or try to speak to someone in detail about the actual policy at L&G

I expect everyone’s heads are all over the place at this difficult time. I would prioritise contacting Nationwide, as the mortgage provider, to notify them of the death  - especially if this may affect the ability to make mortgage payments in the near future. 

Nearlyold

adamcarvell said:

I personally haven’t called them her fiancé father spoke to them yesterday it was an enquiry call. They did say about appeal if we have to how do we proceed with that does anyone know what where to start?

Did his father give the policy number and policy details to whoever he spoke to or was it more of "my son has passed away what happens with his policy?" conversation with no confirmation as to the type of policy held.

The information given by L&G is correct for a single life policy owned by the deceased but incorrect for a joint life policy jointly owned with your daughter, the latter being the type of policy you describe your daughter and her late partner as having  taken out.

I would suggest your daughter as joint policy holder contacts the life policy claims dept. for clarification.

The L&G life claims number is 0800 137 101, have the policy to hand when calling.

sheramber

It should be stated on the policy document what happens on the first death.

While the policies were to potentially cover the outstanding mortgage that may have been the intention of the couple , but not built in to the policy they purchased.
i.e.
Money paid out to beneficiary of policy and then used to pay off mortgage . 

adamcarvell

She is filling out the reverent forms today the bereavement department didn’t want to speak to him until they have received the paperwork. So I’d assume a general enquiry at this stage.

Malthusian

adamcarvell said:

She is filling out the reverent forms today the bereavement department didn’t want to speak to him until they have received the paperwork. So I’d assume a general enquiry at this stage.

If she doesn't want to speak to them, she should either sign a letter confirming she is happy for them to release her information to her father (listing his name and address), or ring them up herself, then ask them to speak to her father and pass him the phone. No more "general enquiries", it sounds like they have caused your family enough problems already.
Based on this bit - "it also says they both are covered and both own the policy. on the document" - it is very simple, the payout goes to her as the surviving policyholder. (Assuming it has not been assigned to the lender or anyone else. But it is vanishingly unlikely that they decided to assign away the benefits to their kids.)