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North Carolina family told to wait weeks for life payout, then gets paid 24 hours after WBTV calls

The funeral home was going to charge $130 per day.

Papers and a pair of glasses are on a table, with documents related to life insurance policies visible.

Photo Credit: iStock

A Charlotte-area family was told to wait more than two weeks for a life insurance payout until WBTV got involved and the claim was resolved within 24 hours.

Here's what to know

According to WBTV, Craig Martin died on Sept. 23. His family filed a life insurance claim with TruStage on Sept. 28, and they said customer service told them the proceeds might not arrive until mid-October.

Meanwhile, the funeral home was going to charge $130 per day until the arrangements were finalized and paid for, adding to the financial strain during their grief.

The claim only began moving after WBTV went around customer service and contacted TruStage's communications team. Within a day, the company responded, and the family later confirmed the payment had arrived.

More background

TruStage serves tens of millions of Americans, and delays in life insurance processing can affect families immediately as funeral costs and other bills still have to be covered.

The insurer told WBTV it was struck by a cyberattack three months ago. Although it said that recovery is underway, callers still continue to face long waits, and life-claim processing has not yet been fully restored.

What's being done?

TruStage told WBTV it is continuing to process claims across the business, though some servicing requests still require manual review and may take longer than usual.

WBTV reported that the insurer told people to file through its Claims Contact Center at 1-800-356-2644 or via TruStage.com while recovery continues.

TruStage spokesperson Leah Huibregtse said: "While we cannot comment on specifics of an individual's claim for privacy reasons, we can share the claim was resolved favorably. We understand that delays can be frustrating during what's already a difficult time. We continue to make progress on full restoration, and while we are actively processing claims across our business, some servicing requests still require manual review and may take longer than usual."

Where can I learn more?

These articles follow other policyholders dealing with stalled payouts, fines over mishandled claims, and more scrutiny of insurer conduct.

• In Florida, homeowners said Citizens left them denied with no payment after a hurricane.

• Regulators fined insurers for some of the worst treatment of homeowners filing claims.

• In Florida, revelations about insurer tactics sparked calls for a massive probe and answers.

• California fire survivors said their policies were little more than an illusion when disaster hit.

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