Our Out-of-Contract Life Claims Settlements Audit Report template provides a comprehensive framework to evaluate and enhance the management of out-of-contract life claims settlements. Organizations can expect to benefit from detailed guidelines and recommendations aimed at refining the assessment and approval processes for these claims. The tool outlines the necessity for clear documentation of the criteria used to assess claims, the implementation of a structured audit trail for all requests, and the importance of adhering to statutory accounting and compliance standards.

Moreover, it emphasizes the development of policies that ensure that all out-of-contract life claim settlement requests undergo the claims appeals process before consideration, thereby enhancing transparency and accountability in decision-making. The tool also highlights the need for periodic independent reviews to ensure consistent application of policies and procedures. By utilizing this audit report tool, you’re equipped with the necessary insights to foster a more controlled, compliant and efficient handling of out-of-contract life claims settlements, ultimately supporting the organization's risk management and regulatory compliance efforts.

Recommendations include:

• Create a log for all out-of-contract life claims settlement requests (approved and denied).
• Prepare an accounting policy for the accounting and financial reporting of out-of-contract life claims settlement payments.
• Charge out-of-contract settlement payments to the respective group sales office cost center to promote sales office management accountability.
• Implement a periodic, internal review/assessment of approved out-of-contract settlement payments by an appropriate level of management who does not report to benefit solutions division senior management.