Life Insurance in Missouri

According to the American Council of Life Insurers, there are 557 life insurers licensed to do business in Missouri. Of these, 28 are domiciled in the state. The residents of Missouri own 4 million individual life insurance policies, with coverage averaging $75,000 per policyholder. In addition, group life insurance coverage amounts to $170 billion. If you are one of Missouri's almost six million residents and have a question about life insurance, the information below can help you.

Missouri Office Responsible for Life Insurance

Consumers may visit Missouri's Department of Insurance to verify the licenses of any life insurance company they're thinking of doing business with. In addition, the website offers summaries of the various types of insurance, laws and regulations, and a consumer page where one may check to see if there have been complaints filed against any particular life insurance company. If necessary, consumers can also file a complaint against a company form the website, if necessary.

Missouri's Department of Insurance site provides a special caution on STOLIs (Stranger-Oriented Life Insurance) policies. The Missouri Department of Insurance describes STOLIs as the "sale of a life insurance policy to a third party. At one time, most STOLIs were sold by people with a life-threatening illness. Now, it is often promoted to individuals between the ages of 65 and 85, not facing a health crisis, who may sell their life insurance policies to get cash. In many cases the purchase of the policy is for the sole purpose of selling the policy to a third party, immediately or in the future." Such sales can have implications on purchasing future life insurance, and may also have tax implications.

If your insurance company has been declared insolvent, you may still be able to get your policies paid, by contacting the Missouri Life & Health Insurance Guaranty Association, which was created by statute. If a member company goes bankrupt, they will meet its liabilities.

The legal statutes that regulate life insurance are defined in Missouri's Title XXIV, Chapters 374 - 385. These regulations cover every step in the life insurance process from how companies become licensed to how they must conduct their business.

Contacting the Missouri Department of Insurance