When does interest on insurance proceeds accrue after the death of the insured?

Interest on insurance proceeds in Connecticut begins to accrue 30 days after the death of the insured. This regulation is in place to ensure that beneficiaries have a reasonable amount of time to prepare the necessary documentation and claim the benefits without the pressure of accruing interest immediately. This period allows for any necessary processing time for the insurer to review and validate claims after the death event.

While some might think that interest could start accruing immediately or after a shorter period of time, this provision offers a measure of protection to those awaiting payment and establishes a clear timeline for both insurers and beneficiaries.