TALLAHASSEE, Fla. (Legal Newsline) - Florida Attorney General Pam Bondi announced a multi-state, multi-agency settlement agreement with TIAA-CREF Life Insurance Company and its affiliates related to remitting payments to beneficiaries.
The settlements relate to TIAA's appropriate use of the U.S. Social Security Death Master File to locate beneficiaries and quickly remitting payment to the unclaimed property division of each state for beneficiaries that cannot be located. Under the terms of the agreement, TIAA must compare all insureds in its company records against the complete DMF within 12 months and on a monthly basis thereafter, provide quarterly reports about the execution and implementation of requirements of the agreement for 36 months following its conclusion and allowing follow-up examinations to determine compliance 39 months following the agreement's conclusion.
TIAA has returned more than $10 million to beneficiaries located as a result of the process. TIAA must return $6.2 million to participating states. Florida's share of the allocation amount is anticipated to be more than $304,000.
"This settlement includes requirements that TIAA-CREF complete its due diligence in locating life insurance beneficiaries and paying them the money that they are owed in a timely manner," Bondi said. "I am pleased that the company has taken the appropriate steps to honor its obligations to policyholders and the state of Florida."
The multi-state examination process is coordinated by a task force which includes the lead states of Florida, Pennsylvania, New Hampshire, North Dakota, Illinois and California.
The settlement with TIAA is the sixth life claim settlement for Florida. The six insurers represent more than 36 percent of the market for annuity and life products. Nationally, the examination continues on the 34 remaining top national life and annuity insurers.