2009 Iowa Code
Title 13 - Commerce
Subtitle 1 - Insurance and Related Regulation
CHAPTER 511 - PROVISIONS APPLICABLE TO LIFE INSURANCE COMPANIES AND ASSOCIATIONS
511.38 - INTEREST ON DELAYED CLAIMS PAYMENTS.

        511.38  INTEREST ON DELAYED CLAIMS PAYMENTS.
         1.  When an insurance policy provides for the payment of its
      proceeds to a beneficiary upon the death of an individual and,
      without the written consent of the beneficiary, the company fails or
      refuses to pay the proceeds within thirty days after receipt of
      satisfactory proof of death, the company shall pay interest on the
      proceeds or any amount of the proceeds not paid within the thirty
      days, provided, however, if the policy requires a beneficiary to
      survive for a designated period after the death of the insured, the
      company shall pay interest on the proceeds or any amount of the
      proceeds not paid within thirty days after the designated period.
         2.  The interest owed on any amount of the proceeds of a policy
      under this section shall be computed from the date of receipt of the
      proof of death.  The rate of interest shall be the higher of the
      following:
         a.  The effective rate of interest charged by the company on
      policy loans under section 511.36 on the date of receipt of proof of
      death.
         b.  The effective rate of interest paid by the company on
      death proceeds left on deposit with the company.
         3.  A payment of interest shall not be required under this section
      in any case in which the beneficiary elects to receive the proceeds
      under the policy by any means other than a lump sum payment.  

         89 Acts, ch 321, § 35
         Referred to in § 507B.4