§ 58-58-110. Interest payments on death benefits.
§58‑58‑110. Interest payments on death benefits.
(a) Each insureradmitted to transact insurance in this State which, without the written consentof the beneficiary, fails or refuses to pay the death proceeds or deathbenefits in accordance with the terms of any policy providing a death benefitissued by it in this State within 30 days after receipt of satisfactory proofof loss because of the death, whether accidental or otherwise, of the insuredshall pay interest, at a rate not less than the then current rate of intereston death proceeds left on deposit with the insurer computed from the date ofthe insured's death, on any moneys payable and unpaid after the expiration ofthe 30‑day period. As used in this subsection, the phrase"satisfactory proof of loss because of the death" includes, but isnot limited to, a certified copy of the death certificate; or a writtenstatement by the attending physician at the time of death that contains thefollowing information: (i) the name and address of the physician, who must beduly licensed to practice medicine in the United States; (ii) the name of thedeceased; (iii) the date, time, and place of the death; and (iv) the immediatecause of the death.
(b) Within the meaningof this section, payment of proceeds or benefits shall be deemed to have beenmade on the date upon which a check, draft or other valid instrument equivalentto the payment of money was placed in the United States mails in a properlyaddressed, postpaid envelope, or, if not so posted, on the date of delivery ofsuch instrument to the beneficiary.
(c) This section doesnot allow an insurer to withhold payment of money payable under any policyproviding a death benefit to any beneficiary for a period longer thanreasonably necessary to determine whether benefits are payable and to transmitthe payment.
(d) This section shallnot apply to policies of insurance issued prior to the effective date of thissection to the extent that such policies contain specific provisions inconflict with this section. (1977, c. 395, s. 1; 1983, c.749; 1985, c. 666, s. 45; 1991, c. 644, s. 8; 1995, c. 193, s. 46.)