ABC Insurance Company fails to pay death proceeds after satisfactory proof of loss was submitted. When must ABC begin paying interest on the death proceeds?

In North Carolina, when an insurance company fails to pay death proceeds after satisfactory proof of loss has been submitted, it is required to begin paying interest on those proceeds after 30 days. This timeline is established to ensure that insurers process claims in a timely manner and that beneficiaries are compensated appropriately for any delays in payment.

The stipulation of 30 days acts as a standard measure to encourage prompt payment, aligning with the broader purpose of insurance regulations which aim to protect policyholders and beneficiaries. Consequently, if the insurance company does not disburse the death benefit within this period after receiving the necessary proof of loss, they are obligated to pay interest on the amount due from that point forward.