When a loved one dies, life insurance can be a lifesaver for family members left behind. Although money cannot be brought to a loved one, it can provide financial security. As part of its suite of life insurance products, Prudential offers the Alliance Account Services program. A Union Account is a safe place for Prudential life insurance policy beneficiaries to keep any life insurance payments until they can decide what to do with that amount.
Choose a payment option
The beneficiary of prudential life insurance policy must decide whether to receive money once or transfer money to Alliance Account. Along with being secured, funds in the Union Account will enjoy interest as soon as they are deposited and continue to enjoy interest until the funds are withdrawn. To qualify for an Alliance Account, beneficiaries must receive at least $5,000 in life insurance payments.
If the beneficiary of the Prudential life insurance policy does not choose a lump sum payment or a Union Account, the money will automatically transfer to the Alliance Account in the beneficiary’s name.
Submit a Complaint Form
The beneficiary can find the form on the Prudential website and send it by mail to Prudential’s address on the form. A person can only open one Alliance Account in his or her name at any given time, so if an account holder receives life insurance benefits from multiple policies, then all funds will be transferred to one Alliance Account.
Withdraw funds as needed
Alliance account holders can access funds at any time via draft. Alliance account holders receive a draft book, similar to a checkbook, to take the money out of the account. When she is ready, the account holder can also use a draft to withdraw the entire amount in the account. The account holder can also choose to transfer funds to another investment account.
Access account information online
The Alliance Account website allows users to check their account balance, transaction history, and current interest rates. If the Alliance Account balance falls below $250, Prudential will cut the check for the account’s balance plus any interest the account earns in the month in which it falls below $250.
Assign your own beneficiaries
If the Alliance account holder dies, her beneficiary will receive any funds remaining in the account. To appoint a beneficiary, the account holder must fill out the Information Account form on the Prudential website.
Maintain your account
If the Alliance Account Holder does not withdraw funds or does not contact Prudential about the account after a certain number of years, Prudential considers the account to be inactive. The number of years that must pass before an account is deactivated varies from state to state. For inactive accounts, Prudential sends the balance check of the account to the last known address of the account holder.