3 Ways to Claim a Life Insurance Benefit: Which Is Right for You?

Life insurance is commonly used to provide an immediate source of funds for a surviving spouse or family member. As a financial planner working with those who lost a loved one, I've seen first-hand the impact an insurance policy can have on the surviving family. A life insurance death benefit helps the family carry on, maintain the family standard of living and provide immediate -- and sometimes essential -- funds to pay bills or provide a source for future expenses like college. Either way the impact can be enormous.

What most life insurance beneficiaries don't realize, however, is that there is more than one option available when it comes to receiving the insurance benefit. Though taking a lump-sum is the popular choice, insurance carriers do offer other death benefit