Florida/Georgia Personal Injury & Workers Compensation

...cash value to pay the premium. When Greene’s ex-husband died, Great West was informed verbally by the agent who wrote the policy. Great West, on numerous occasions, then sought formal claim documents so that it could settle the policy pursuant to section 627.461, Florida Statutes....

...As to the interest, Great West paid the statutory rate on the proceeds from the date it received the claim documentation (in connection with another policy) from the personal representative of the estate of the ex-husband. 2 It contended that this payment, although made, was not legally required as section 627.4615, Florida Statutes (1993), states that interest is payable only from the date the insurer receives written due proof of the death of the insured, not from the date of death as Greene argues....

...Being bound by the terms, Greene was not entitled to the disputed payment. Massachusetts Mut. Life Ins. Co. v. Pinellas Cent. Bank & Trust Co., 175 So.2d 245 (Fla. 2d DCA1965). 2. Great West is also correct in its argument that Greene is not entitled to additional interest beyond that which has been paid to her. Section 627.4615, Florida Statutes (1993), provides for interest only from the date the insurer receives written proof of death and surrender of the policy....

...the insurance company holding or owing the funds, but property described in paragraph (3)(b) is presumed unclaimed if such property is not claimed for more than 2 years. The amount presumed unclaimed shall include any amount due and payable under s. 627.4615. ... (3) For purposes of this chapter, a life or endowment insurance policy or annuity contract not matured by actual proof of the death of the 2  insured or annuitant a...

...company shall take reasonable steps to pay the proceeds to the beneficiary. (Emphasis added). Because section 717.107 references the time at which proceeds become due and payable “as established from the records of the insurance company,” the parties also rely on section 627.461, Florida Statutes (2013), which sets forth requirements for insurance contracts. Every contract shall provide that, when a policy becomes a claim by the death of the insured, settlement shall be made upon receipt of due proof of death and surrender of the policy. § 627.461, Fla....

...Declaratory Statement Thrivent sought a declaratory statement that life insurance funds become “due and payable as established from the records of the insurance company” under subsection 717.107(1) when the insurer receives proof of the insured’s death and surrender of the policy, as provided in section 627.461. DFS issued a declaratory statement finding that life insurance funds are “due and payable” under subsection 717.107(1) upon the death of the insured, at which time the dormancy period is automatically triggered....

...We find that DFS’ interpretation of section 717.107 is contrary to the plain language of the statute and, therefore, is clearly erroneous. The plain language of subsection 717.107(1) states that life insurance funds “become due and payable as established by the records of the insurance company.” Section 627.461 states that payment “shall be made upon receipt of due proof of death and surrender of the policy.” Therefore, the records of the insurance company do not establish funds as “due and payable” under subsection 717.107(1) unt...

...For the reasons discussed above, we find DFS’ interpretation of section 717.107 is clearly erroneous. Life insurance funds become “due and payable” under subsection 717.107(1) at the time the insurer receives proof of death and surrender of the policy as contemplated by section 627.461; or, funds become “due and payable” under subsection 717.107(3) when the insurer knows that the insured has died, or when the insured attained or would have attained the limiting age. Therefore, we REVERSE. ROWE, J., and PARKE...